DraftKings Inc. (Nasdaq: DKNG) released this morning its financial results for Q2 2021, highlighting a quarterly revenue of US$297.6 million. This is a notable increase from Q2 2020’s revenue of US$70.9 million.
However, the company incurred total operating expenses of US$619.2 million leading to an operating loss of US$321.6 million for the quarter, a decline from last year’s operating loss of US$160.4 million.
With gains from warrant liability adjustments and interest income, the firm’s net loss ended at US$305.5 million for the quarter, up from last year’s net loss of US$524.8 million. This translates to a US$0.76 loss per share.
The quarterly adjusted EBITDA came in at a loss of US$95.3 million, primarily after adjusting a US$171.7 million stock-based compensation expense from the quarter’s net loss. This is a dip from last year’s loss of US$57.5 million.
The company ended the quarter with cash, cash equivalents, and restricted cash balance of US$2.96 billion coming from US$2.10 billion balance at the beginning of the period. The inflow is impacted by the net proceeds valued at US$1.2 billion raised from issuing convertible notes earlier this quarter.
Following the quarterly results, DraftKings is increasing its fiscal year 2021 revenue guidance to US$1.21 billion-US$1.29 billion from US$1.05 billion-$1.15 billion. For the six months ending June 30, 2021, the company has so far earned US$609.9 million.
The online sports gaming platform relayed that it engaged an average of 1.1 million unique paying customers monthly during the quarter, raking in average revenue of US$80 per user.
This is the company’s first quarterly report since going public through a reverse merger with special-purpose acquisition company Diamond Eagle Acquisition Corp. (Nasdaq: DEAC) and SBTech (Global) Limited.
DraftKings last traded at US$50.58 on the Nasdaq.
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