DraftKings (NASDAQ: DKNG) surged in Thursday’s after-hours trading session after the online sportsbook operator revealed improved 2023 top and bottom-line guidance.
The gaming company increased the midpoint of its 2023 revenue outlook to $2.95 billion from $2.9 billion while boosting the midpoint of its projected adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) loss to $400 million from $525 million.
Last November, DraftKing forecast a 2023 EBITDA loss of up to $575 million on revenue of $2.8 billion to $3 billion — an outlook that led to the worst intraday decline on record for the shares. This time around, investors feel differently as the bullishly revised guidance has the stock higher by nearly 6% at this writing in extended trading.
The gaming company increased the midpoint of its 2023 revenue outlook to $2.95 billion from $2.9 billion while boosting the midpoint of its projected adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) loss to $400 million from $525 million.
Last November, DraftKing forecast a 2023 EBITDA loss of up to $575 million on revenue of $2.8 billion to $3 billion — an outlook that led to the worst intraday decline on record for the shares. This time around, investors feel differently as the bullishly revised guidance has the stock higher by nearly 6% at this writing in extended trading.