DraftKings Stock Slides on Wider-Than-Expected Quarterly Loss and Revenue Miss
the online sports betting company, was falling Friday after reporting a third-quarter loss wider than analysts’ expectations and revenue that missed forecasts.
(ticker: DKNG) posted a quarterly loss of $1.35 a share on revenue of $213 million.
Analysts expected DraftKings to report a third-quarter loss of 98 cents a share on revenue of $236.9 million. Revenue a year earlier was $133 million.
The company said third-quarter revenue would have been $40 million higher if more NFL games went the company’s way.
Operating expenses in the quarter rose to $759 million from $481 million. Sales and marketing costs rose to $304 million from $203 million.
The company said average revenue per monthly unique player was $47 in the third quarter, a 38% increase from the same period in 2020.
The company boosted the midpoint of its revenue guidance for fiscal 2021.
DraftKings said it expects fiscal-year revenue of $1.24 billion to $1.28 billion, vs. previous guidance of $1.21 billion to $1.29 billion. Analysts have been calling for fiscal-year revenue of $1.29 billion.
For fiscal 2022, DraftKings said it expects revenue of $1.7 billion to $1.9 billion.
(PENN) reported Thursday that third-quarter earnings fell almost 40% from a year earlier, coming in well below analysts’ expectations. The company blamed Hurricane Ida for slowing momentum into the second half of August and into September.
DraftKings shares fell 2.2% to $43.71. The stock has fallen 6.1% year to date.
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