How Strong is DraftKings' Path to Free Cash Flow in 2025?

Key Takeaways DKNG's Q1 adjusted EBITDA hit $103M, up from $22.4M a year ago despite a $170M revenue impact. Margin gains reflect a 300 bps rise in gross margin and tighter control of promotional spending. DKNG expects sportsbook hold to improve and EBITDA to exceed $200M in Q2 on a stronger handle.DraftKings Inc. (DKNG) is transitioning from a high-growth story to a disciplined, cash-generating business, and 2025 could mark a critical turning point. With a reaffirmed free cash flow (FCF) target of $750 m ...