DraftKings Introduces Surcharge on Winning Bets in High-Tax States

The new fee aims to offset rising state taxes as the company reports its first profitable quarter.

DraftKings will impose a surcharge on winning bets in states with tax rates above 20%, starting January 1, 2025.
The surcharge is expected to be minimal for customers but aims to boost the company's adjusted EBITDA.
DraftKings reported a strong second quarter with $1.1 billion in revenue and its first net profit since going public.
Despite raising its full-year revenue forecast, the company lowered its adjusted EBITDA guidance due to higher taxes and recent acquisitions.
DraftKings shares fell nearly 10% following the announcement, reflecting investor concerns over the new fee and updated guidance.