DraftKings Inc. (DKNG) declined in the current market after announcing its fourth quarter and fiscal 2021 results. DKNG values at $18.07, losing more than 18% compared to yesterday’s closing price. The stock closed at $22.06 at the end of the last trading session. The stock volume traded in the last trading session was around 27.56 million shares. The current market cap of the company is around $18.38 billion.
DKNG: Q4 and Fiscal 2021 Key Financials
- DraftKings Inc. (DKNG) revenue in Q4 2021 was $473 million. It is a gain of more than 47% compared to $322 million in Q4 2020.
- Fiscal year revenue was $1.2 billion, and it is an increase of more than 50% compared to the revenue of 614 million in fiscal 2020.
- The company’s net loss in Q4 2021 was around $326 million. The net loss is more than compared to the net loss of $243 million in Q4 2020
- DKNG net loss in fiscal 2021 was around $1.5 billion, more than the net loss of $1.2 billion in fiscal 2020.
- The Q4 2021 GAAP loss per share was $0.80.
- For fiscal 2021, GAAP loss per share was $3.78.
2022 Outlook
Revenue projection for 2022 has been raised from $1.7 billion to $1.9 billion to $1.85 billion to $2.0 billion, representing a 43% to 54% year-over-year increase and a 7% rise from the midpoint of prior revenue guidance.
DraftKings also released FY2022 Adjusted EBITDA projections. The company predicts an Adjusted EBITDA loss of $825-$925 million in 2022.
DKNG CEO Remarks
DraftKings’ outstanding fourth-quarter performance surpassed our expectations on both the top and bottom lines, according to co-founder, CEO, and Chairman of the Board, Jason Robins. Thanks to our state strategy and favorable perspective of the industry’s TAM, we had a fantastic quarter. We intend to increase our market share, improve the customer experience and further develop the range of products we provide as we go towards 2022.
Conclusion
The stock of the company declined after announcing the fiscal 2021 results. Despite the revenue growth, the net loss was the main factor due to which the stock plunged in the market.
