DraftKings Inc.

DraftKings reported second-quarter 2026 adjusted EBITDA of $115 million. Management said revenue, when normalized for sport outcomes and customer acquisition, increased 10% year over year, while Sportsbook handle increased 11% year over year and sports consumer volume increased 15% year over year. Customer acquisition grew nearly 75% year over year, monthly unique payers grew 9% year over year, and adjusted G&A expense declined 6% year over year. For the full year 2026, the company maintained revenue guidance of $6.5 billion to $6.9 billion and adjusted EBITDA guidance of $700 million to $900 million, and reiterated that the core business is on track to generate approximately $1 billion of adjusted EBITDA in 2026.

Jason Robins framed the quarter as a broad execution win, saying the core business is growing, producing significant free cash flow, and that Predictions is growing faster than expected. He emphasized the Super App strategy, nationwide customer acquisition in states without regulated Sportsbook, and the view that Predictions is incremental rather than cannibalistic. His tone was confident and assertive, repeatedly saying the company is “on offense” and building to lead, not just participate.

Alan Ellingson highlighted $115 million of adjusted EBITDA in Q2 and said results would have been higher absent customer-friendly sport outcomes and stronger-than-expected customer acquisition. He pointed to 6% year-over-year declines in adjusted G&A and improvement in adjusted operating expenses excluding external marketing and Predictions, while noting disciplined cost management. On capital allocation, he said the company remains disciplined, has increasing flexibility as the balance sheet strengthens, and will evaluate opportunities to optimize its capital structure while maintaining prudent leverage.

Analysts focused on whether prediction markets could cannibalize Sportsbook and whether DraftKings could route volume through its own exchange. Management said overlap with the largest prediction market operator in Sportsbook states is only about 1%, that most volume there appears to come from professional betting syndicates and institutional traders, and that DraftKings sees minimal if any cannibalization. Questions also centered on promotional spending and the $200 million to $300 million Predictions investment target; Robins said DraftKings will stay data-driven, may invest more if returns justify it, but is not planning to go beyond that range based on current data. On the exchange and vertical integration, he said DraftKings plans to migrate as much volume in-house as reasonably possible, but customer experience comes first.