"The company reported earnings on Thursday, which showed revenue of nearly $2 billion-an increase of 43% year-over-year-and earnings per share of $0.25. "We closed 2025 on a high note. Fourth quarter revenue increased 43% year-over-year and we achieved records for revenue and Adjusted EBITDA. Our core business is strong as we enter 2026," said Jason Robins, DraftKings' Chief Executive Officer and Co-founder, in a statement included with the earnings release."
"However, despite the strong numbers, DraftKings' stock was down more than 15% during pre-trading on Friday morning, and is now down almost 30% since the beginning of the year. Further, over the past calendar year, it's down more than 45%. The catalyst? Future uncertainty. Specifically, the company is forecasting "fiscal year 2026 revenue guidance range of $6.5 billion to $6.9 billion and a fiscal year 2026 Adjusted EBITDA guidance range of $700 million to $900 million," which is below estimates and softer than anticipated."
DraftKings reported nearly $2 billion in quarterly revenue, a 43% year-over-year increase, and earnings per share of $0.25. The quarter produced record revenue and Adjusted EBITDA, indicating a strong core business entering 2026. The stock declined sharply despite the results, falling more than 15% pre-market and roughly 30% year-to-date, with a drop exceeding 45% over the past year. Fiscal 2026 guidance of $6.5–$6.9 billion in revenue and $700–$900 million in Adjusted EBITDA came in below estimates. Broader risks include evolving regulation, potential state taxation, and competition from prediction-market firms such as Kalshi and Polymarket. DraftKings offers a predictions app in 38 states and sports betting in 28 states; peers such as Flutter Entertainment also saw share weakness.
Read at Fast Company
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