DraftKings posted a second quarter loss that was wider than anticipated by analysts. However, the sports fantasy & betting company’s revenue exceeded analysts’ estimates.
Furthermore, Bloomberg reported that the Internal Revenue Service would require fantasy sports companies to pay federal excise tax on their entry fees.
The company’s second-quarter loss was -55 cents a share, compared to analysts' expectations for a loss of -20 cents.
Revenue of $70.9 million beat expectations of $66.4 million.
According to the company, it experienced increased engagement on its platform toward the end of the quarter as sporting events began to resume.
According to Tickeron's Intraday Commentary, the ticker opened at $34.00, with a gap down of -5.68% from last trading session’s closing price of $36.05. The current price now trades in the range of 9.06% of the opening price.