Draftkings Inc (NASDAQ:DKNG) shares rocketed higher after the company comfortably beat revenue expectations and upped its full-year guidance.
The sports gambling company reported revenue of $769.7 million, up from $417 million a year earlier and topping Street expectations of $704 million. Its loss was $0.87 per share, narrower than $1.07 last year.
DraftKings shares surged more than 13% to $24.18 in after-hours trading after a 2.8% decline to $21.31 Thursday.
Looking ahead, DraftKings upped its 2023 revenue guidance range to $3.14 billion to $3.24 billion from $2.85 billion to $3.05 billion previously.
“We now expect to be approximately break-even on an adjusted EBITDA basis in the second quarter, supported by fixed costs that are projected to only grow at a single digit rate year-over-year during the quarter,” chief financial officer Jason Park wrote in a letter to shareholders. “We also expect to generate nearly $150 million of Adjusted Ebitda in the fourth quarter.”
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