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DraftKings has reported first quarter revenue of $417m, an increase of 34% year-on-year.
The operator’s B2C segment grew to $404m, representing a growth rate of 44% from Q1 2021.
Furthermore, DraftKings’ adjusted EBITDA outperformed the midpoint expected growth rate for Q1 by over 12%.
This financial growth was expected, with the operator’s number of monthly unique players (MUPs) rising to two million unique paying customers per day.
Average revenue of $67 was taken from each MUP during the quarter, up 11% year-on-year.
This is, in part, because traffic was up 29% compared to the first quarter of 2021, something DraftKings feels highlights its strong retention and acquisition capabilities.
Achieving strong acquisition was surely a simpler task this quarter than in most; DraftKings launched in the New York mobile sports betting market.
The company now operates mobile sports betting in 17 US states and has noted its excitement at the passing of a bill in Kansas to legalise mobile sports betting, as well at the growing clamour for California to become a legal mobile sports betting state.
DraftKings Co-Founder and CEO, Jason Robins, commented: “DraftKings delivered significant growth across our key revenue and performance metrics. We are not seeing any impact from inflationary pressures on customer demand, and we continue to improve the user experience by adding breadth and depth to our DFS, mobile sports betting and iGaming products.
“We are also improving our efficiency in acquiring and retaining customers and have a strong pipeline of new jurisdictions to enter.”
The operator’s CFO, Jason Park, added: “We are pleased with our strong revenue and adjusted EBITDA performance in the first quarter, which was driven by healthy underlying customer behavior and our ability to capture efficiencies.
“Therefore, we are increasing the midpoint of our fiscal year 2022 revenue guidance by $50m and improving the midpoint of our fiscal year 2022 adjusted EBITDA guidance by $75m.”