DraftKings, Inc. ( DKNG ) stock initially traded lower on Friday but reversed course and began moving higher after the company reported third-quarter earnings and lowered its guidance for the 2024 fiscal-year after the bell on Thursday.

The Details: In the report, DraftKings ( DKNG ) reported a loss of 17 cents per share, beating analyst estimates of a loss of 42 cents per share. Furthermore, the company reported sales of $1.09 billion, missing analyst estimates of $1.11 billion. The reported sales figure represents a 38.6% year-over-year increase.

The company announced an increase in Monthly Unique Payers (MUPs) to 3.6 million, a growth of 55% year-over-year. It also reported Average Revenue per MUPs (ARPMUP) of $103, a 10% decrease compared to the same period last year.

“We achieved healthy results across our core value drivers in the third quarter with efficient customer acquisition and promotional reinvestment as well as improvement in our structural sportsbook hold percentage,” said Alan Ellingson, DraftKings’ CFO.

DraftKings ( DKNG ) revised its outlook for the 2024 fiscal-year. Specifically, it lowered its revenue guidance from between $5.05 billion and $5.25 billion to between $4.85 billion and $4.95 billion versus analyst estimates of $5.13 billion.

The company also introduced guidance for the 2025 fiscal-year. It anticipates revenue between $6.2 billion and $6.5 billion and adjusted EBITDA between $900 million and $1.0 billion.

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DKNG Price Action: At the time of publication, DraftKings ( DKNG ) shares are moving 5.05% higher at $40.95 , according to data from Benzinga Pro.

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