DraftKings raised its revenue guidance for the financial year following the sportsbook’s latest earnings report on Friday, but its shares took a tumble due to concerns over profitability.
The Boston-based company generated $473 million in revenue in Q4 2021, a 47% increase compared to the same period the year prior.
Despite the growth, DraftKings posted a loss of $326 million during the quarter, a steep jump from a $243 million loss in Q4 2020.
Losses for the full FY2021 reached $1.5 billion, up from $1.2 billion in 2020.
DraftKings expects FY2022 revenue to range between $1.9 billion and $2 billion, a slight uptick from a previous target between $1.7 billion and $1.9 billion. The company attributes the projected growth to the recent launch of mobile sports betting in Louisiana and New York.
The company’s shares fell by more than 20% on Friday in response to its reported losses.
