DraftKings stock shoots up after narrower-than-expected loss, revenue that climbed above forecasts

45123 draftkings stock shoots up after narrower than expected loss revenue that climbed above forecasts

Shares of DraftKings Inc. DKNG, +9.78% shot up 9.4% toward a four-month high in premarket trading Friday, after the digital sports entertainment and gaming company reported a narrower-than-expected loss, revenue that rose above forecasts and lifted its full-year outlook, saying it is seeing “no perceivable impact” from broader macroeconomic pressures. The net loss narrowed to $217.1 million, or 50 cents a share, from $305.5 million, or 76 cents a share, in the year-ago period. The FactSet per-share loss consensus was 75 cents. Revenue jumped 56.6% to $466.2 million, above the FactSet consensus of $438.6 million. Cost of revenue climbed 67.2% to $312.8 million, while sales and marketing increased 15.7% to $197.5 million. The company revised its 2022 revenue guidance range to $2.08 billion to $2.18 billion from $2.055 billion to $2.175 billion, to raise the midpoint of guidance to $2.13 billion from $2.115 billion. The stock has rallied 13.3% over the past three months through Thursday, while the S&P 500 SPX, -0.16% has ticked up 0.1%.

Source: Marketwatch

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