DK reports its second financially successful three-month period
In a remarkable quarter, DraftKings, the popular online sports betting and gaming company, reported revenue of $1.51 billion for Q2 2025, surpassing consensus estimates of $1.43 billion. This figure represents a significant 37% year-over-year increase and a testament to the company's robust growth.
The strong earnings have propelled DraftKings' stock, which is up over 16% year-to-date in 2025, outperforming both the S&P 500 and NASDAQ. Analysts remain optimistic about DraftKings' future, with Susquehanna’s Joseph Stauff setting a price target of $64 for the company, implying a potential upside of about 48% from the current price.
DraftKings' Q2 2025 results also saw earnings per share (EPS) of $0.30 and a net income of approximately $158 million. These figures reinforce positive financial momentum for the company. Notably, the EPS was lower than consensus estimates of $0.41, but the overall performance has been impressive.
The company's growth can also be seen in its expanding user base. DraftKings reported an average of 3.3 million monthly users in Q2 2025, marking a 6% increase from Q2 2024 and a staggering 57% increase from Q2 2023. The average revenue per user also increased to $151, up 29% from the same quarter in 2022 and 10% from 2023.
CEO Jason Robins discussed the potential of a prediction markets offering with Sportico earlier this year, hinting at a potential new growth strategy for the company. DraftKings' geographical footprint is also growing, as sports betting and iGaming moves state by state across the U.S.
DraftKings, which went public in April 2020, had only one previous profitable quarter, which was Q2 of 2024, with earnings per share of $0.12. The company's Q2 2025 presentation suggests the possibility of the company offering its own futures market product in the future.
In a recent development, DraftKings' stock increased by approximately 6% in after-hours trading on Wednesday, following the release of its Q2 2025 earnings report. This growth comes after a 11% increase over the past month.
Robins also published a separate letter to shareholders on Wednesday, expressing interest in exploring ways to enhance shareholder value through the prediction markets opportunity. Discussions around share buybacks following the company's Q2 earnings performance have also been noted.
As DraftKings continues to navigate the expanding digital sports betting and online casino gaming market, its strong financial performance, growing user base, and optimistic analyst outlooks position the company well for future success.
- The optimistic financial momentum and strong growth of DraftKings have resulted in a significant increase in its stock, with a year-to-date growth of over 16% in 2025, surpassing both the S&P 500 and NASDAQ.
- Analysts, such as Susquehanna’s Joseph Stauff, are confident about DraftKings' future, setting a price target of $64 for the company, which indicates a potential upside of about 48% from the current price.
- DraftKings' growth strategy appears to be expanding beyond sports betting and gaming, with plans for a possible prediction markets offering mentioned by CEO Jason Robins and discussions around share buybacks following the company's Q2 earnings performance.
