DraftKings stock saw its price soar on Friday after the company reported strong second-quarter earnings and improved end-of-year guidance. The stock jumped by 15% during regular trading hours Friday before settling down, with DKNG seeing more than four times its daily average volume of 44.9 million.
DraftKings reported $875 million in second-quarter revenue, an increase of 88% compared to this time last year. The Boston-based bookmaker and daily fantasy sports provider also reported an adjusted EBITDA of $73 million, its first quarter without a loss. DraftKings management also looks forward to positive EBITDA to finish the fiscal year on December 31.
DraftKings Bookmaking Operation Experiences Serious Growth
Fueling the positive earnings was some serious growth in DraftKings’ sports betting arm. DraftKings saw its sports betting handle (the total amount of money wagered) grow by 53% in the second quarter of 2023 to $7.2 billion. DraftKings also saw its gross gaming revenue (GGR) soar by 50% to $1.5 billion.
Its growing online casino business, prohibited in Illinois, also fueled DraftKings’ strong earnings. The popular bookmaker also reported its casino handle growing by 120% in the second quarter to $1.3 billion, growing its casino GGR by 90% to $300 million.
The strong earnings and guidance from DraftKings have seen its stock grow by more than 200% year-to-date, making it one of the best-performing stocks in the market.
DraftKings in Illinois
Illinois sports bettors should be highly interested in DraftKings’ strong performance. The company is Illinois’s second-leading sports betting operator, with a market share of roughly 23%. DraftKings is prohibited by Illinois law from operating an online casino, but if they ever do, DraftKings offers one of the best online casinos in the country.
DraftKings Illinois plays a significant role in the Illinois sports betting growth. DraftKings has earned nearly $420 million in revenue since 2020 and runs neck and neck with FanDuel as one of the top bookmakers in the state.
Illinois Top Five Sports Betting States in Nation
The State of Illinois ranked second in the US in sports betting handle through May of 2023 and third in revenue since the US Supreme Court made its historic PASPA ruling.
Illinois sports bettors seeking a solid betting platform should find DraftKings Illinois to their liking. The No. 2 sportsbook operator in the US offers a massive catalog of betting options with an easy-to-navigate app or at its Casino Queen brick-and-mortar location.