DraftKings Investor Day Presentation Deck
March 2022, 50 slides
  1. DraftKings
  2. Related Decks
  3. Investor Day Presentation Decks
investor day march | DraftKings
legal disclaimer | DraftKings
legal disclaimer continued | DraftKings
investor day tam than we thought for both and increasing total north estimate from to top operators in industry account for of share and for and respectively investment in product features will drive continued industry leadership customer and state profit results are very strong states contribution profit positive in and states anticipated to be contribution profit positive in increasing long term adjusted outlook to new verticals off to strong initial start and expect to be contribution profit positive in validating our thesis of flywheel | DraftKings
tam and legalization | DraftKings
gross revenue per adult assuming no growth going forward implies a tam of or if we adjust for the state relative lee ore | DraftKings
is an appropriate extrapolation point given its gross revenue per adult compared to other states | DraftKings
gross revenue per adult assuming no growth going forward implies a tam of or if we adjust for the state relative roulette population | DraftKings
extrapolating from is likely conservative given and performance | DraftKings
is legal in states representing of the population at | DraftKings
extrapolating based on assuming no growth going forward the and tam is between and | DraftKings
and share pare draft | DraftKings
there are several intricacies when assessing state reported share by operator state reports have a wide range of transparency of our states provide operator specific net revenue provide operator specific handle and and do not provide operator specific metrics some states report with cash accounting and accrual accounting which can impact monthly results promotion types accounted for differently on a state by state basis state specific accounting of certain promotions can obfuscate operator level legalized and since the repeal of | DraftKings
we provide an example to illustrate how an operator mix of promotions may significantly impact state reported gross revenue share is | DraftKings
there are three methodologies to consider when evaluating share | DraftKings
and two other operators typically account for of each state | DraftKings
is in more states than any other operator | DraftKings
keys to our unique and sustainable differentiation | DraftKings
we have made significant progress across product priorities with exciting new developments to come customer experience | DraftKings
is a great example of how we have been able to differentiate from our competition when we own our technology platform handle | DraftKings
following the completion of our migration we shifted focus to invest heavily in content expansion for our product | DraftKings
will be a year of innovation for our product social functionality is one way we will differentiate from competition and drive long term retention | DraftKings
based on conservative end of tam ranges is on track to achieve to north and gross revenue at maturity | DraftKings
unit economics kings | DraftKings
clear path to profitability based on customer periods and state level economics multiple proof points achieved already | DraftKings
gross profit period for a customer cohort is the number of years required for gross profit to exceed customer acquisition investment cohort period of cumulative cohort gross profit after years cohort acquisition spend zero gross profit year year net revenue year gross margin gross profit year year net revenue year gross margin gross profit year year net revenue year gross margin see uses | DraftKings
customer retention and revenue retention year over year revenue from retained customers more than doubles from year to year enterprise | DraftKings
cohort customer and revenue retention in only states is similar to better than customer and revenue retention in product states enterprise | DraftKings
our strong retention is driven by acquiring quality customers putting the customer first cross selling and continuous product improvement | DraftKings
gross margin leverage for a cohort is achieved over time due to promotional spend decreasing economies of scale and operational initiatives state level enterprise many our variable costs are tied revenue not net revenue therefore as rates decrease increases given that new customer promotions are than existing customer promotions promotions as percentage naturally decrease as we shift from acquisition investments retention cross sell investments as we continue grow revenue deposit volume certain variable costs decrease as percentage revenue pricing tiers that result in volume discounts continuous focus on around platform costs processing fees revenue share drives increase across all cohorts | DraftKings
our financial disclosures provide sufficient information to validate our periods on an basis acquired paid new actives customer acquisition cost approximate period player retention rate months played months acquisition marketing spend acquired paid new actives customer acquisition cost months played gross margin | DraftKings
using the previously outlined methodology we can prove out sub three year periods | DraftKings
the result of strong periods is that states turn positive after two to three years a oft profitable launch citable i profitable a profitable i i profitable launch i i i profitable a a a laine ess expected profitable | DraftKings
was highly profitable in its third full year expect profitability to continue to ramp quickly in a | DraftKings
increased sales and marketing spend due to unprecedented number of new players at a historically lower cost per acquired player comer cohort enterprise | DraftKings
we are acquiring customers much faster than before more customers per adult acquired in over two quarters than in over eight quarters customer cohort | DraftKings
if no new states launch for the rest of we expect to be contribution profit positive this year | DraftKings
enterprise economics gon ies | DraftKings
expected gross margin rate has come down by primarily due to | DraftKings
long term external marketing scale will be achieved through decreasing customer acquisition spend and optimizing our is primarily a product of in newly launched states provinces applying current to assumed annual at maturity accounts for more than of the decrease from current to long term the remaining decrease in is due to optimization is due toa variety of factors the most notable being mix shift into more efficient national advertising from local advertising | DraftKings
expected long term a will comfortably be in the mid to high teens as a percentage of net revenue short term cost growth due to unique north gaming industry dynamics pulled forward staffing to launch states and competitive with at scale global peers expect to see meaningful slowdown growth starting most our costs do not require growth we expand into newly launched states and provinces for at scale gaming players is typically mid | DraftKings
increasing long term adjusted estimate to before synergies media and any other new initiatives | DraftKings
| DraftKings
has had early success with its and has a clear right to play in the space based on customer overlap early innings of industry show massive tam potential cross sell all drops launching more likely | DraftKings
appendix | DraftKings
financial disclosures and example period calculations | DraftKings
reconciliation of operating expenses to non operating expenses | DraftKings
reconciliation of operating expenses to non operating expenses | DraftKings
detailed overview of methodology for cohort customer retention and revenue retention | DraftKings
there are five state reporting methods each with differing levels of visibility | DraftKings
See More
DraftKings
Investor Day Presentation Decks
Gambling Decks
Consumer Cyclical Decks
Explore Topics
Igaming
Sport betting
Recent decks by DraftKings
Results
February 2025
Results
November 2024
Results
August 2024
Results
May 2024
See all presentations by DraftKings (25 decks)
Related decks
Flutter
Investor Day
November 2022
Flutter
Results
March 2024
Flutter
Investor Presentation
October 2023
Rush Street
SPAC
July 2020
Flutter
SPAC
December 2020
Flutter
Investor Day
September 2021
Codere
SPAC
June 2021
Recent decks by DraftKings
See all presentations (25 decks)
Results
February 2025
Results
November 2024
Results
August 2024
Results
May 2024
Flutter
Investor Day
November 2022
Flutter
Results
March 2024
Flutter
Investor Presentation
October 2023
Rush Street
SPAC
July 2020
Flutter
SPAC
December 2020
Flutter
Investor Day
September 2021
Codere
SPAC
June 2021
Search Thousands of Presentations by World Leading Companies
Trending:
Addressable Market
Ecosystem
Beauty Market
WACC
NFT
Management Team
Investment Highlights

Stay in the loop

Join our mailing list to stay in the loop with updates and newest feature releases

Presentations

Start Up
IPO
SPAC
M&A
Investor Day
Results
ESG
Credit
Investment Banking

Explore

Presentation Collections
Slide Collections

Company

Blog
Contact us
© 2021-2024 Slidebook.io