v3.25.2
Segment Information
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
Segment Information Segment Information
Segment Information
 
The Company has one consolidated operating segment. This segment provides users with Sportsbook, iGaming, DFS and digital lottery courier product offerings, media, and other online product offerings as well as the design, development and licensing of sports betting and casino gaming software for its Sportsbook and iGaming product offerings. The Company drives revenue primarily in North America and manages its business activities on a consolidated basis.

The determination of reportable operating segments is based on the Chief Operating Decision Maker’s (“CODM”) use of financial information provided for the purposes of assessing performance and making operating decisions. The Company's CODM is its Co-founder and Chief Executive Officer. The CODM uses net income (loss) to allocate resources and assess the performance of the Company by comparing actual results to historical results and previously forecasted financial information and the allocation of budget between cost of revenues, sales and marketing, product and technology, and general and administrative expenses. The measure of segment assets is reported on the condensed consolidated balance sheets as total consolidated assets.

The accounting policies of the Company’s consolidated segment are the same as those described in “Note 2 – Summary of Significant Accounting Polices and Practices.” Any intercompany revenues or expenses are eliminated in consolidation.

The following table presents revenue, significant expenses, and net income (loss) for our consolidated segment:
 Three Months Ended June 30,Six Months Ended June 30,
 2025202420252024
Total revenue$1,512,507 $1,104,441 $2,921,313 $2,279,437 
Less:
Cost of revenue: Gaming taxes501,929 380,686 985,332 782,359 
Cost of revenue: Other (1)
291,736 246,893 586,345 507,104 
Adjusted sales and marketing expenses (2)
222,898 207,203 556,096 542,425 
Adjusted product and technology expenses (2)
87,556 66,885 175,009 135,883 
Adjusted general and administrative expenses (2)
107,744 74,807 215,257 161,309 
Depreciation and amortization65,299 61,623 135,415 114,803 
Interest income(12,305)(14,212)(21,794)(29,279)
Interest expense11,640 678 16,734 1,327 
Stock-based compensation84,701 90,220 163,547 183,755 
Income tax provision (benefit)11,790 (73,570)6,190 (73,921)
Other segment items (3)
(18,417)(594)(20,890)32,418 
Consolidated net income (loss)$157,936 $63,822 $124,072 $(78,746)

(1)Cost of revenue: Other includes all cost of revenue, other than gaming tax, presented in the condensed consolidated statements of operations, adjusted for the impact of depreciation and amortization and stock-based compensation.
(2)These items represent the respective line items in the condensed consolidated statements of operations, adjusted for the impact of depreciation and amortization; stock-based compensation; transaction-related costs; certain litigation, settlement and related costs; certain advocacy and other related legal expenses; and other expenses, as further described below.
(3)Other segment items include: (i) transaction-related costs (ii) certain external legal costs related to litigation and litigation settlement costs deemed unrelated to our ordinary-course business operations; (iii) certain costs relating to advocacy efforts and other legal expenses in jurisdictions where we do not operate certain product offerings and are actively seeking licensure, or similar approval, for those product offerings, excluding costs relating to advocacy efforts and other legal expenses in jurisdictions where we do not operate that are incurred in the ordinary course of business and costs relating to advocacy efforts and other legal expenses incurred in jurisdictions where related legislation has been passed and we currently operate; (iv) (gain) loss on remeasurement of warrant liabilities; (v) (gain) loss from equity method investments; and (vi) other items not associated with our primary offerings, such as gains or losses on contingent consideration, gain or losses on business disposals and termination-related expenses.