DraftKings Bets on Surcharge in High-Tax States, Stock Falls
This article is for subscribers only.
DraftKings Inc., a leader in the online sports-betting business, reported second-quarter profit that missed Wall Street estimates and said it plans to implement surcharges for customers in high-tax states like New York and Illinois.
The surcharge will roll out Jan. 1 in states including Pennsylvania and Vermont, the company said in a Friday. It will be levied only on winning bets and identified as such on the company’s app. It should lead to higher profit in 2025, the company said.