DraftKings reported Q3 2025 revenue of $1.144 billion, up 4.4% year over year but down 24.4% from the prior quarter, reflecting seasonality and ongoing investment in growth initiatives. Gross profit was $359.94 million, delivering a gross margin of 31.46%; however, the company posted an operating loss of $271.89 million and a net loss of $256.79 million for the quarter. While top-line growth signals continued demand in a competitive US market, profitability remains pressured by substantial selling and marketing expenses and product/platform investment. The quarter reinforces DraftKings’ strategic posture: pursue multi-channel growth (sportsbook and iGaming), expand in regulated markets, and leverage ancillary assets (DraftKings Marketplace, VSiN) to broaden monetization. On a balance-sheet and cash-flow basis, liquidity appears adequate with a current ratio of 1.10 and a debt ratio of 0.29, but leverage remains elevated and operating cash flow generation is not yet translating into positive earnings. Investors should monitor the pace of revenue growth relative to CAC and promo spend, progress toward a more favorable operating margin, and regulatory developments in remaining US states and international expansion.