DraftKings vs Robinhood Markets: Revenue, Profit and Business Model
DraftKings reported $6.1B of revenue in FY2025 and $3.7M of net income. Robinhood Markets reported $4.5B of revenue in FY2025 and $1.9B of net income.
Latest financial snapshot
DraftKings
- Latest revenue
- $6.1B (FY2025)
- Net income
- $3.7M
- Net margin
- 0.1%
- Revenue growth
- +58.0% a year, FY2020–FY2025
Robinhood Markets
- Latest revenue
- $4.5B (FY2025)
- Net income
- $1.9B
- Net margin
- 42.1%
- Revenue growth
- +58.9% a year, FY2019–FY2025
Financial summary
DraftKings
DraftKings' revenue rose from $615 million in 2020 to $1.30 billion in 2021, $2.24 billion in 2022, $3.67 billion in 2023, $4.77 billion in 2024 and $6.05 billion in 2025. Net losses narrowed from about $1.5 billion in 2021 to $507 million in 2024, and 2025 ended with a net profit of about $3.7 million; Adjusted EBITDA more than tripled to about $620 million in 2025. In 2026, Q1 revenue rose 17% to $1.646 billion with $21.1 million of net income, but Q2 revenue fell 5% to $1.443 billion because of customer-friendly sports results and promotions for Sportsbook and Predictions. The company kept 2026 guidance of $6.5-$6.9 billion revenue and $700-$900 million Adjusted EBITDA, including $200-$300 million of incremental Predictions investment.
Robinhood Markets
Robinhood swung from a $541 million net loss in 2023 to $1.411 billion of net income in 2024 and $1.883 billion in 2025, as revenue grew from $1.865 billion to $4.473 billion. Adjusted EBITDA reached about $2.5 billion in 2025, a 56% margin. Growth in 2026 has shifted toward options, equities and event contracts: Q2 2026 event contracts revenue was $156 million, more than 10 times the prior year, while crypto revenue fell to $100 million.
Revenue and profit by year
DraftKings
| Year | Revenue | Net income | Margin | Growth | Source |
|---|---|---|---|---|---|
| FY2025 | $6.1B | $3.7M | 0.1% | +27.0% | Source |
| FY2024 | $4.8B | -$507.3M | -10.6% | +30.1% | Source |
| FY2023 | $3.7B | -$802.1M | -21.9% | +63.6% | Source |
| FY2022 | $2.2B | -$1.4B | -61.5% | +72.9% | Source |
| FY2021 | $1.3B | -$1.5B | -117.5% | +110.9% | Source |
| FY2020 | $614.5M | -$1.2B | -200.5% | — | Source |
Robinhood Markets
| Year | Revenue | Net income | Margin | Growth | Source |
|---|---|---|---|---|---|
| FY2025 | $4.5B | $1.9B | 42.1% | +51.6% | Source |
| FY2024 | $3B | $1.4B | 47.8% | +58.2% | Source |
| FY2023 | $1.9B | -$541M | -29.0% | +37.3% | Source |
| FY2022 | $1.4B | -$1B | -75.7% | -25.2% | Source |
| FY2021 | $1.8B | -$3.7B | -203.1% | +89.5% | Source |
| FY2020 | $958M | $7M | 0.7% | +245.2% | Source |
| FY2019 | $277.5M | -$106.6M | -38.4% | — | Source |
Where the revenue comes from
DraftKings
- Online Sportsbook (OSB)58
Gross gaming revenue and operator hold on sports wagers.
- iGaming (Online Casino)28
Net gaming revenue from online slots, table games, and live dealer games.
- Daily Fantasy Sports (DFS)7
Entry fee rake and contest administration fees.
- Jackpocket & Media/Advertising7
Lottery convenience fees, brand sponsorships, and podcast advertising.
Robinhood Markets
- options transaction revenue
- equities transaction revenue
- cryptocurrency transaction revenue
- event contracts (prediction markets)
- net interest revenue
- Robinhood Gold subscriptions
- credit card
Business model and strategy
DraftKings
How it makes money
DraftKings earns most of its money from the house edge on bets and casino games. On its Sportsbook it prices odds so that, across many wagers, it keeps a share of the total amount bet (handle) as gross gaming revenue; multi-leg parlays carry a higher hold than single bets. Its iGaming (online casino) business, legal in only a handful of states, earns the statistical edge on slots and table games.
Growth strategy
Growth comes from new legal markets (Missouri launched in December 2025 and Alberta in 2026), higher-margin parlays and live betting, the Jackpocket and Predictions funnels in states without legal sports betting, and the 2026 Super App that puts every product in one app.
Competitive advantage
DraftKings' advantages are brand reach built during the DFS years, an in-house sportsbook technology stack inherited from SBTech, and a single account and wallet that cross-sells customers between Sportsbook, Casino, DFS, Jackpocket and Predictions. Together with FanDuel it holds the largest share of US online sports betting, which supports scale in marketing and data.
Robinhood Markets
How it makes money
Robinhood charges no commission on US stock, ETF and options trades and earns revenue in three buckets. Transaction-based revenues ($776 million in Q2 2026) come from payment for order flow on options and equities, spreads on crypto trades, and fees on event contracts (prediction markets).
Growth strategy
Robinhood's growth strategy is to win "share of wallet" beyond trading: IRA matches and retirement transfers, the Gold Card, banking features, advisory custody through TradePMR, crypto exchange capacity through Bitstamp, event contracts, and expansion in the UK and EU. In June 2026 it cut about 10% of staff to flatten management layers while continuing to invest in new products.
Competitive advantage
Robinhood's edge is a single, well-designed mobile app that bundles brokerage, crypto, prediction markets, retirement, cash and credit, plus fast product shipping. Gold subscribers (4.8 million in Q2 2026) get perks such as an IRA match and a higher cash yield, which helps pull deposits away from older brokerages: net deposits were $75.7 billion in the 12 months to June 2026.
Questions about DraftKings vs Robinhood Markets
Which company has higher revenue — DraftKings Inc. or Robinhood Markets, Inc.?
DraftKings Inc. reported $6.1B (FY2025), while Robinhood Markets, Inc. reported $4.5B (FY2025). By last reported revenue, DraftKings Inc. is the larger business, with Robinhood Markets, Inc. reporting a smaller revenue base.
What is the market cap of DraftKings Inc. vs Robinhood Markets, Inc.?
DraftKings Inc.'s market capitalisation stands at $12.3B, while Robinhood Markets, Inc.'s is $101.0B. Robinhood Markets, Inc. carries the higher market valuation, reflecting investors' expectations of its future earnings power relative to DraftKings Inc..
Which is more financially efficient — DraftKings Inc. or Robinhood Markets, Inc.?
DraftKings Inc. generates $1.10M / employee in revenue per employee, while Robinhood Markets, Inc. generates $1.54M / employee. Robinhood Markets, Inc. shows higher revenue efficiency per headcount, though this reflects business model differences — capital-light software companies routinely outperform labour-intensive manufacturers on this metric.
How do DraftKings Inc. and Robinhood Markets, Inc. make money?
DraftKings Inc. and Robinhood Markets, Inc. generate revenue in fundamentally different ways. DraftKings Inc.: DraftKings earns most of its money from the house edge on bets and casino games. Robinhood Markets, Inc.: Robinhood charges no commission on US stock, ETF and options trades and earns revenue in three buckets.
Which company is valued higher relative to revenue — DraftKings Inc. or Robinhood Markets, Inc.?
On a price-to-sales (P/S) basis, DraftKings Inc. trades at 2.0x P/S and Robinhood Markets, Inc. at 22.6x P/S. Robinhood Markets, Inc. commands a higher revenue multiple, typically indicating that investors expect faster growth or higher future margins compared to DraftKings Inc.. A higher multiple is not inherently better — it may also signal that the stock is priced for perfection.
Is DraftKings Inc. bigger than Robinhood Markets, Inc.?
By last reported revenue, DraftKings Inc. ($6.1B (FY2025)) is the larger company compared to Robinhood Markets, Inc. ($4.5B (FY2025)). Revenue scale is one dimension of size — market capitalisation, employee count, and geographic reach are also relevant depending on the context.
Figures come from each company's filings and the sources linked beside them. Amounts reported in another currency are shown in US dollars at an approximate rate and marked with ~. Back to the DraftKings vs Robinhood Markets overview