DraftKings Inc. (Nasdaq: DKNG) released this morning its financial results for Q3 2021, highlighting a quarterly revenue of US$212.8 million. This is a decline from Q2 2021’s revenue of US$297.6 million but an increase from Q3 2020’s revenue of US$132.8 million.
However, the company is increasing the midpoint of its fiscal year 2021 revenue guidance to US$1.26 billion and is narrowing the guidance range to US$1.24 – US$1.28 billion. To date, the company’s revenue for the first nine months of the year came in at US$822.7 million.
The company incurred operating expenses bigger than its quarterly revenue, the highest of which is US$303.7 million in sales and marketing expenses. This led to an operating loss of US$546.5 million for the quarter compared to the operating losses of US$321.6 million last quarter and US$395.7 million last year.
The firm’s net loss ended at US$545.0 million for the quarter, down from last quarter’s net loss of US$305.5 million and last year’s net loss of US$395.7 million. This quarterly loss translates to US$1.35 per share.
The quarterly adjusted EBITDA came in at a loss of US$313.6 million, down from last quarter’s US$95.3 million loss and last year’s US$197.1 million loss.
The company ended the quarter with cash, cash equivalents, and restricted cash balance of US$2.88 billion coming from the US$2.10 billion balance at the beginning of the period. Current assets and current liabilities came in at US$2.99 billion and US$939.9 million, respectively.
The firm also relayed its 2022 revenue guidance of US$1.7 – US$1.9 billion, projecting a 43% year-on-year growth.
The online sports gaming platform relayed that it engaged an average of 1.3 million unique paying customers monthly during the quarter compared to 1.1 million last quarter. The average revenue per user came in at US$47 for the quarter, down from US$80 per user in the last quarter.
DraftKings last traded at US$44.68 on the Nasdaq.
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