raftKings, the digital sports entertainment and gaming company known for its daily fantasy sports and mobile sports betting platforms, announced last week the release of financial results for year ended December 31, 2019.
“I am excited to have closed out 2019, having achieved a net revenue of $323M for the full year, a 43% increase over 2018,” said Jason Robins, co-founder and Chief Executive Officer of the company.
As explained by the company in its 2019 results report, DraftKings established new relationships with NFL and PGA Tour, and expanded relationships with NBA, MLB, NASCAR, and Penn National Gaming. It also launched sports betting in 6 new states including Indiana, Iowa (retail), New Hampshire, New York (retail), Pennsylvania, and West Virginia. Moreover, DraftKings operated a full year of iGaming in New Jersey, quickly emerging as one of the market’s top performers
The company also launched Flash Bet, an innovative and faster way for users to wager during live events.
"This was a transformative year for DraftKings," Robins continued. “We further established ourselves as a leader in the rapidly evolving digital sports and gaming industry, launched products in six new states and announced a business combination with Diamond Eagle and SBTech to become a public company.”
Upon close of the business combination, DraftKings will become the only vertically-integrated pure-play sports betting and online gaming company based in the United States. The company said it expects to realize synergies by transitioning its risk and trading sports betting platform to SBTech’s, instead of relying on a third-party platform. In addition to reducing costs, DraftKings will control its backend system and product roadmap, differentiating the company from other U.S. operators and giving it the ability to tailor its sports betting product to U.S. sports and users.
The business combination is expected to close in the second fiscal quarter of 2020.