DraftKing’s growth story continues with 20 per cent first quarter surge
For the three months ended March 31, 2025, DraftKings reported revenue of $1,409m, an increase of $234m, or 20 per cent, compared to $1,175m during the same period in 2024.
The increase in the Company’s first quarter 2025 revenue was driven primarily by continued healthy customer engagement, efficient acquisition of new customers, higher structural Sportsbook hold percentage, and the impact of the acquisition of Jackpocket Inc., which closed on May 22, 2024, partially offset by customer-friendly sport outcomes.
“Recent product enhancements are driving outperformance in our core value drivers, and our customer metrics continue to be strong through an evolving macroeconomic environment,” said Jason Robins, DraftKings’ Chief Executive Officer and Co-founder. “If not for customer-friendly sport outcomes in March, we would be raising our fiscal year 2025 revenue and Adjusted EBITDA guidance.”
“We have a healthy balance sheet and repurchased 3.7m shares in the first quarter under our existing stock repurchase program,” said Alan Ellingson, DraftKings’ Chief Financial Officer.
Monthly Unique Payers (MUPs) increased to 4.3 million average monthly unique paying customers in the first quarter of 2025, representing an increase of 28 per cent compared to the first quarter of 2024. This increase reflects strong unique payer retention and acquisition across DraftKings’ Sportsbook and iGaming product offerings and the impact of the acquisition of Jackpocket. Excluding the impact of the acquisition of Jackpocket, MUPs increased by approximately 11 per cent compared to the first quarter of 2024.
Average Revenue per MUP (ARPMUP) was $108 in the first quarter of 2025, representing a 5% decrease compared to the same period in 2024. The decrease was primarily due to lower ARPMUP for Jackpocket customers, when compared to customers of DraftKings’ existing product offerings prior to the acquisition. Excluding the impact of the acquisition of Jackpocket, ARPMUP increased approximately seven per cent compared to the first quarter of 2024.
DraftKings is revising its fiscal year 2025 revenue guidance to $6.2bn to $6.4bn, a decrease from our previous guidance of $6.3bn to $6.6bn announced on February 13, 2025.
