New England Patriots quarterback Stephon Gilmore, 24, extends during the New England Patriots practice session in Foxborough, MA, on October 22, 2020.
Barry Chin | Boston Globe | Getty Images
Shares of sports betting company DraftKings jumped more than 5% on Friday morning after the company reported fiscal gains for the fourth quarter of 2020 that exceeded revenue expectations and the growth of paying customers. .
Here are the key numbers:
- Loss per share: 24 cents, against an expected loss of 47 cents, according to a Refinitiv survey conducted by analysts
- Income: According to Refinitiv, $ 322 million versus $ 232.6 million projected
DraftKings said it now had more than 1.5 million customers paying in the fourth quarter alone. It is estimated to report 1.43 million, according to Factset. Average monthly single-payer income was $ 65 a quarter, DraftKings said. The company surpassed one million users in its third quarter.
The company also increased its revenue forecast for fiscal year 2021, from $ 750 million to $ 850 million, from $ 900 million to $ 1 billion. DraftKings noted strong user activation due to 2020 marketing spending, the launch of mobile sports betting and iGaming in Michigan, and mobile sports betting in Virginia and its performance in the fourth quarter.
“This guide also assumes that all the announced professional and university sports calendars are coming to fruition and that we continue to operate in the states we live in today,” the company said.
The growing sports betting market in the United States has also allowed DraftKings to expand its reach in the market since it was made public through a SPAC last April.
Currently, 20 states, plus Washington, DC, allow online sports betting, up from 19 this past quarter. Five states have legalized sports betting, but they are not yet operational, and 16 states are working on legislation, six and two, respectively.
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