DraftKings posted fourth quarter earnings that exceeded expectations. However, the sports betting company issued a much wider loss over the coming year.
The company’s revenues for the three months ending in December surged +47% year-over-year to $473 million, beating the Street expectations of $447 million.
Marketing and expansion costs, at $128 million, squeezed the group's bottom line. Nevertheless, its loss of -35 cents per share was narrower than analysts’ anticipated loss of -81 cents.
Looking ahead, DraftKings expects overall revenues for 2022 to be around $1.9 billion at the mid-point, higher than its prior forecasts linked to the launch of mobile sports betting in New York and Louisiana earlier this year. However, it projects a much wider-than-expected adjusted loss range of between -$825 million and -$925 million for the year, vs. -$676 million in 2021.