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Sentiment · FY2026 Q2
DraftKings opened 2026 with first-quarter revenue up 17% year-over-year to more than $1.6 billion and adjusted EBITDA up 64% to $168 million, its second consecutive quarter of positive GAAP net income. Management said core profitability is inflecting, with adjusted EBITDA that would have topped $200 million absent Predictions investment and the Arkansas launch, and pointed to core-business EBITDA above $1 billion for the year. Sportsbook led, with revenue up 24% to $1.1 billion, net revenue margin up 140 basis points to 7.8%, and parlay mix up nearly 300 basis points. The company reaffirmed FY2026 guidance of $6.5-$6.9 billion revenue and $700-$900 million adjusted EBITDA while committing $200-$300 million to a fast-scaling Predictions push (April CACs down more than 80%, market-making already profitable, proprietary exchange imminent) ahead of the World Cup; iGaming NGR growth decelerating to 9% was the quarter's soft spot.
Demand | Product Launch | Margin | Competitive Dynamics | Regulation Policy | Guidance Reliability | Geographic Expansion | Revenue Growth | |
|---|---|---|---|---|---|---|---|---|
| 2024Q4 | 5 | 4 | 4 | 2 | 3 | 2 | 2 | 2 |
| 2025Q1 | 4 | 3 | 4 | 2 | 1 | 1 | 1 | |
| 2025Q2 | 7 | 4 | 4 | 4 | 5 | 1 | 1 | 1 |
| 2025Q3 | 1 | 5 | 4 | 6 | 2 | 2 | 3 | |
| 2025Q4 | 2 | 4 | 2 | 3 | 2 | 2 | 1 | 3 |
| 2026Q1 | 6 | 5 | 5 | 5 | 1 | 3 | 2 | 2 |
| '24Q4 | '25Q1 | '25Q2 | '25Q3 | '25Q4 | '26Q1 | |
|---|---|---|---|---|---|---|
| Demand | 5 | 4 | 7 | 1 | 2 | 6 |
| Product Launch | 4 | 3 | 4 | 5 | 4 | 5 |
| Margin | 4 | 4 | 4 | 4 | 2 | 5 |
| Competitive Dynamics | 2 | 2 | 4 | 6 | 3 | 5 |
| Regulation Policy | 3 | 5 | 2 | 2 | 1 | |
| Guidance Reliability | 2 | 1 | 1 | 2 | 2 | 3 |
| Geographic Expansion | 2 | 1 | 1 | 3 | 1 | 2 |
| Revenue Growth | 2 | 1 | 1 | 3 | 2 |
| Quarter | Revenue | Rev YoY | EPS | EPS YoY | Op margin | Net margin | FCF |
|---|---|---|---|---|---|---|---|
| FY2024 Q4 | $1.39B | +13.2% | $-0.28 | -193.8% | -10.0% | -9.7% | $323M |
| FY2025 Q1 | $1.41B | +19.9% | $-0.07 | +77.1% | -3.3% | -2.4% | $-122M |
| FY2025 Q2 | $1.51B | +36.9% | $0.30 | +130.8% | 10.0% |
| 10.4% |
| $170M |
| FY2025 Q3 | $1.14B | +4.4% | $-0.48 | +20.0% | -23.8% | -22.4% | $248M |
| FY2025 Q4 | $1.99B | +42.8% | $0.26 | +192.9% | 7.6% | 6.9% | $317M |
| FY2026 Q1 | $1.65B | +16.8% | $0.04 | +157.7% | 0.4% | 1.3% | $-56M |
| FY2026 Q2 | $1.44B | -4.6% | $-0.14 | -146.7% | -4.7% | -4.7% | $107M |
Management’s own words, often on a non-GAAP, constant-currency, or adjusted basis — so these can differ from the GAAP figures above (e.g. constant-currency revenue growth excludes currency swings).
What DKNG and other companies said about each other on FY2026 Q1 earnings calls — extracted verbatim from public transcripts. Mentions from the newest quarter are a Pro feature.
“Does ESPN and NBC allow you to promote predictions through your Super App?”
An analyst asked whether DraftKings can promote predictions via its NBC marketing relationship, a read-through on the scope of NBC's (Comcast's) betting-media partnerships.
“Does ESPN and NBC allow you to promote predictions through your Super App?”
An analyst asked whether DraftKings can promote predictions via its ESPN marketing relationship, a read-through on the scope of ESPN's (Disney's) betting-media partnerships.
| Analyst | Firm | Questions (Challenge)Percentage of questions scored as challenging — where the analyst pushed back, pressed for specifics, or questioned management's assumptions. |
|---|---|---|
| Dave Katz | Jefferies | 7 (14%) |
| Brandt Montour | Barclays | 7 (14%) |
| Ben Chaiken | Mizuho Securities | 7 (0%) |
| Clark Lampen | BTIG | 7 (0%) |
| Robin Farley | UBS | 7 (43%) |
| Stephen Grambling | Morgan Stanley | 7 (14%) |
| Robert Fishman | MoffettNathanson | 6 (0%) |
| Shaun Kelley | Bank of America | 6 (17%) |
| Dan Politzer | JPMorgan | 6 (17%) |
| Jed Kelly | Oppenheimer | 6 (33%) |
| Firm | Analysts | Questions (Challenge)Percentage of questions scored as challenging — where the analyst pushed back, pressed for specifics, or questioned management's assumptions. |
|---|---|---|
| UBS | 1 | 7 (43%) |
| Barclays | 1 | 7 (14%) |
| Mizuho Securities | 1 | 7 (0%) |
| Morgan Stanley | 1 |
| 7 (14%) |
| BTIG | 1 | 7 (0%) |
| Jefferies | 1 | 7 (14%) |
| JPMorgan | 1 | 6 (17%) |
| Bank of America | 1 | 6 (17%) |
| Company | Score | Trend | Rev YoY |
|---|---|---|---|
DKNG DraftKings Inc. | 9 | +16.8% | |
| LVS Las Vegas Sands | 9 | +25.3% | |
| MGM MGM Resorts | 5 | +4.2% | |
| WYNN Wynn Resorts | 7 | +9.2% |