DraftKings Q4 Revenue Jumps 43% to $2B, EBITDA Margin Hits 17%
DraftKings Q4 2025 revenue rose 43% year-over-year to nearly $2 billion, driving adjusted EBITDA to $343 million and expanding margin to 17%. The company posted its first full-year net income in 2025, repurchased 8 million Q4 shares and forecast FY2026 revenue of $6.5–$6.9 billion with EBITDA of $700–$900 million.
1. Q4 2025 Financial Results
DraftKings reported fourth-quarter revenue of nearly $2 billion, up 43% year-over-year. Adjusted EBITDA surged to $343 million—four times the prior year—and margin expanded by over 1,000 basis points to 17%.
2. Full Year 2025 Achievements
Full-year revenue increased 27% to above $6 billion, while adjusted EBITDA more than tripled to over $600 million, enabling the first annual net income in company history. The firm repurchased 8 million shares in Q4 and 16 million shares during the fiscal year.
3. Segment Performance Drivers
Sportsbook revenue climbed over 30%, supporting a handle increase of 11% to $54 billion, and net revenue margins expanded by 100 basis points. iGaming revenue grew 20%, reflecting broader market adoption and scalable promotional efficiencies.
4. 2026 Outlook and Predictions Market
DraftKings guided FY2026 revenue of $6.5–$6.9 billion and adjusted EBITDA of $700–$900 million. Management plans significant investment in its new predictions market following CFTC jurisdiction clarity, targeting hundreds of millions of dollars in incremental annual revenue.