#1DRAFT THE GAME KINGS THE GAME. INSIDE Q3 2021 EARNINGS PRESENTATION NOVEMBER 5, 2021 ABD#2LEGAL DISCLAIMER Forward-Looking Statements and Non-GAAP Financial Measures This presentation, and the accompanying oral presentation, contain forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995, about us and our industry that involve substantial risks and uncertainties. All statements other than statements of historical facts contained in this presentation, including statements regarding guidance, our future results of operations or financial condition, business strategy and plans, user growth and engagement, product initiatives, and objectives of management for future operations, and the impact of the COVID-19 pandemic on our business and the economy as a whole, are forward-looking statements. In some cases, you can identify forward-looking statements because they contain words such as "anticipate," "believe," "contemplate," "continue," "could," "estimate," "expect," "forecast," "going to," "intend," "may," "plan," "potential," "predict," "project," "propose", "should," "target," "will," or "would" or the negative thereof or comparable terminology, or by discussions of vision, strategy or outlook. We caution you that the foregoing may not include all of the forward-looking statements made in this presentation. You should not rely on forward-looking statements as predictions of future events. We have based the forward-looking statements contained in this presentation on our current expectations and projections about future events and trends, including the ongoing COVID-19 pandemic, that we believe may affect our business, financial condition, results of operations, and prospects. These forward-looking statements are subject to risks, uncertainties, and other factors, including those described in our filings with the Securities and Exchange Commission (the "SEC"), which are available on the SEC's website at www.sec.gov. In addition, the forward-looking statements in this presentation relate only to events as of the date on which the statements are made and are based on information available to us as of the date of this presentation. We undertake no obligation to update any forward-looking statements made in this presentation to reflect events or circumstances after the date of this presentation or to reflect new information or the occurrence of unanticipated events, including future developments related to the COVID-19 pandemic, except as required by law. We may not actually achieve the plans, intentions, or expectations disclosed in our forward-looking statements, and you should not place undue reliance on our forward-looking statements. Our forward-looking statements do not reflect the potential impact of any future acquisitions, mergers, dispositions or investments. This presentation includes certain non-GAAP financial measures. These non-GAAP financial measures, which may be different than similarly titled measures used by other companies, are presented to enhance investors' overall understanding of our financial performance and should not be considered a substitute for, or superior to, the financial information prepared and presented in accordance with U.S. general accepted accounting principles ("GAAP"). A reconciliation of GAAP to non-GAAP is provided in the appendix of this pr ntation.#3Q3 AND CURRENT BUSINESS HIGHLIGHTS $213M of revenue in Q3, in line with guidance, driven by continued customer acquisition and retention Launched OSB in Arizona, Wyoming, and Connecticut, and iGaming in Connecticut Continued to establish DraftKings as the leading product and content innovator in online gaming Successfully launched DraftKings Marketplace, a digital collectibles ecosystem and exchange (1) 60% YoY revenue growth in Q3, despite low OSB hold Live In 29% of the U.S. Population for OSB Eilers & Krejcik Product Analysis: Testing, Scoring, And Ranking U.S. Sports Betting Apps, October 2021. Launched DraftKings Rocket and Micro-Betting OSB Markets $20MM+ Gross Merchandise Volume 38% / 31% YOY B2C ARPMUP / MUPS growth in Q3 Live In 11% of the U.S. Population for iGaming #1 Rated Sports Betting App By Eilers & Krejcik (Post Migration) (1) 120k+ Primary and Secondary Transactions#4ACTIVE CUSTOMERS PER ADULT DURING OUR FIRST 30 DAYS IN ARIZONA AND WYOMING HAS OUTPERFORMED OTHER STATE LAUNCHES ACTIVE CUSTOMERS PER ADULT(¹) DURING FIRST 30 DAYS OF AN OSB STATE LAUNCH 1.0x Average (Other States)(2) 1.6x WY (Indexed to Other States) 3.3x AZ (Indexed to Other States) We are ramping more quickly in new states as we continuously improve our state launch playbook and OSB gains awareness across the U.S.; we achieved record OSB activation during our first 30 days in Arizona despite not having an existing DFS database in the state Source: Company data (1) Active customers per adult is defined as distinct DraftKings users who played in a respective state during the first 30 days of an OSB state launch divided by the adult population in that state. (2) Other states include NJ, WV, IN, PA, NH, IA, CO, IL, TN, MI, and VA. 3#5DRAFTKINGS ROCKET AND NFL FLASH BET ARE SOME OF OUR LATEST PRODUCT INNOVATIONS AND INTEGRATIONS ROCKET EXCLUSIVELY ON DRAFTKINGS Players must exit a rising rocket before it crashes; the longer they stay in the rocket, the greater their payout Available in NJ, where it set a record for most gross revenue by a DK developed game in the launch month Introduces entirely new bet type (ExitBet™), allowing customers to manually cash out their bet by hitting the "Bail" button NFL FLASH BET Brand new interface draws user attention to pivotal moments in games, giving users a differentiated live betting experience Dedicated quick bet slip, micro market view, and fast bet settlement give players the experience they want Launched NFL in week 8; plan to roll out other sports (e.g., College Football, NBA, and MLB) in the coming quarters Great example of how being vertically integrated allows us to control our product roadmap y***16.77 $536.64 $192 $35.91 $33.51 $31.36 $30.86 $30.55 $29,42 $27.89 *** den 5.05- S***C 5.89 6 3.93. K***N 3.13. Z***D 3.13 - K***N 3.1v X***3 6.82- $8.71 1.38x 0.00 1.05x Drive Result 1.77% Tracker $20:56 3.10x 2729x Touchdown -110 Punt -110 None -110 $31.364.88x $3.13 3.93x 1.04 20.00 Next Play actionLine $27.89 $21.78.82 $3.255.89x PHI 17-10 NY- 2:16 Q3, 1st & 10 PHI 75 Won = $536.64 All players havebajled! 10.00x 1.39x What will the result of the drive be? $ 10.00 Place Bet 1.00x First Down SET WAGER AMOUNT Field Goal -110 DK Rocket Turnover -110 $536.64 17x 1.11x 40.00€ NFL FLASH BET 1.22x Last F PHI 1.36% 60.00 26.00x 21.00x 3 -16.77x 15.0ux- 11.00x SPORTSBOOK POOLS 6,00x 1.00x- View Event >>> ny RZ 6 bets available NYG NY Giants PHI Eagles 160x DARI Cardinals TEN Titans 6 bets available KC Chiefs CLE Browns MIN Vikings CIN Bengals 6 bets available in-Game Manual Auto Bet Amount: ARI 目 My Bets $32 Place Wager STATS HUB Auto Cashout: 1000x Balance: $1692.48 BAIL Winnings Pending FLASH BET x2 TEN DA STE 17 CO All Sports 10 2:16 Q3, 1st & 10 NYG 10 10 2:16 03, 1st & 10 NYG 10 10 2:16 Q3, 1st & 10 NYG 10 Today at 8:00 PM Promos C#6EARLY INNINGS OF DRAFTKINGS MARKETPLACE HAVE BEEN A SUCCESS DRAFTKINGS MARKETPLACE DraftKings Marketplace launched on August 11th with the drop of Autograph's Premier Edition Tom Brady NFTs 70 drops in Q3 provided by Autograph were oversubscribed 14x on average 120k+ primary and secondary transactions in Q3, totaling $20mm+ of GMV Great mix of new customer acquisition and cross-sell of existing customers, with more than a third of Marketplace users being new to the DraftKings platform. Early cross-sell of new customers to other products was also promising Recently, Autograph teamed up with Lionsgate, Twisted Pictures, and DraftKings to release SAW NFTs on Marketplace - the first non-sports digital collectibles on the DraftKings platform. These NFTs sold out within minutes DraftKings is excited for future drops with collaborators like Autograph, as well as the possibility of minting our own NFTs in the future A Autograph Tom Brady PRESEASON Access Pass 2021 34 Career Wins 004 Career TD Passes 91,003 Career Pussing Yards 25 7xC Rob Tom Brady Ruby (A) Autograph SAW Laser Collar Trap Rob Gronkowski Ruby Gronkowski PRESEASON (Access Pass 2021) INT 2021 FIRST WINT DES MOY ARREIRATETIT + 2010 All-Decade Team 4x Champion Ax First-Team All-Pro X Top 100 All 2021 FIRST MINT 20 Fat W (A) prosession I LO#7SINCE THE NFL SEASON BEGAN AND FOLLOWING THE MIGRATION TO OUR IN-HOUSE TECHNOLOGY, DRAFTKINGS MARKET SHARE HAS INCREASED 31% Jul-Aug 21 15% OSB HANDLE SHARE(¹) IGAMING GGR SHARE (²) 33% Sep 21 17% Jul-Aug 21 Source: DraftKings internal data and state gaming reports. (1) OSB handle includes NJ, WV, IN, OR, PA, NH, IA, CO, IL, TN, VA, MI, WY; does not include IL and AZ for September as those states have not yet reported. Does not include CT as that state did not launch until October. (2) iGaming GGR includes NJ, WV, PA, and MI; does not include CT as that state did not launch until October. Does not include poker revenue. Sep 21 CO#8STRONGER THAN ANTICIPATED BUSINESS PERFORMANCE WAS OFFSET BY NEW STATE LAUNCHES AND LOWER THAN FORECAST HOLD PERCENTAGE A B (1) $40mm outperformance from stronger than anticipated business trends Customer acquisition and retention going into the 2021 NFL season exceeded expectations, fueling strong MUP numbers Great engagement and cross selling translated into strong ARPMUP growth Launched Arizona and Wyoming which were not in prior guidance, promotional investment resulted in $(15)mm of revenue in late Q3 Number of new customers acquired in these states exceeded our expectations Expect Q3 promotional investment to flow through to net revenue in Q4 Lower than forecasted OSB hold accounted for a $25mm revenue headwind, largely driven by unfavorable NFL sport outcomes In the third quarter, 89% of NFL prime time (i.e. Thursday Night, Sunday Night, and Monday Night Football) overs hit(¹) Not a single upset by an underdog of 7.5 points+ through NFL week 7; tied for the most weeks into season in the Super Bowl era(¹) Q3 2021 RESULTS VS Q3 2021 GUIDANCE - -$213mm Q3 2021 Revenue (Guidance Midpoint) A Source: DraftKings Sportsbook internal data. -$40mm Organic Outperformance B -$15mm New State Launches (Not in August Guidance) -$25mm Lower Than Forecast Hold Percentage -$213mm Q3 2021 Revenue (Actuals)#9THE GAME DRAFT INSIDE KINGS THE GAME. APPENDIX 7#10RECONCILIATION OF GAAP OPERATING EXPENSES TO NON-GAAP OPERATING EXPENSES ($ in millions) GAAP Operating Expenses Cost of Revenue Sales and Marketing General and Administrative Product and Technology Total GAAP Operating Expenses Pro-Forma Operating Expense Adjustments Cost of Revenue Sales and Marketing General and Administrative Product and Technology Total Pro-Forma Operating Expense Adjustments Non-GAAP Operating Expense Adjustments Cost of Revenue Sales and Marketing General and Administrative Product and Technology Total Non-GAAP Operating Expense Adjustments Adjusted Pro-Forma Operating Expenses Cost of Revenue Sales and Marketing General and Administrative Product and Technology Total Adjusted Operating Expenses (1) (a) (b) (d) (a) (d) (a) (c) (d) (e) (f) (a) (d) 30-Sep-21 $171 $304 $220 $65 $759 ($2) ($20) ($7) ($14) ($0) ($134) ($4) ($1) ($5) ($18) ($26) ($1) ($233) $142 $289 $58 $38 $526 30-Jun-21 $187 $171 $199 $63 $619 ($1) ($21) ($7) ($14) ($0) ($132) ($8) ($1) ($4) ($13) ($25) ($1) ($226) $159 $157 $41 $36 $393 31-Mar-21 $183 $229 $169 $56 $637 ($1) ($19) ($7) ($9) ($0) ($122) ($3) ($1) ($1) ($2) ($20) ($1) ($186) $157 $220 $41 $34 $452 31-Dec-20 $159 $192 $173 $66 $591 ($1) ($18) ($6) ($7) ($0) ($116) ($2) ($1) ($1) ($1) ($25) ($2) ($180) $134 $184 $52 $39 $410 30-Sep-20 $97 $203 $127 $54 $481 ($0) ($19) ($6) ($12) ($0) ($83) ($4) ($1) ($2) ($2) ($22) ($1) ($151) $72 $191 $36 $31 $330 30-Jun-20 $47 $46 $107(1) $31 $231 $6 $1 $9 $6 $22 ($0) ($18) ($4) ($3) ($0) ($54) ($25)(1) ($1) ($2) ($3) ($8) ($1) ($119) $32 $43 $33 $27 $135 31-Mar-20 $43 $54 $39(1) $18 $155 $25 $4 $5 $12 $46 ($18) ($4) ($0) ($0) ($4) ($6)(1) ($1) ($1) ($0) ($0) ($1) ($35) $47 $57 $33 $28 $165 (a) Stock-based compensation expense Amortization of acquired intangible assets (b) (c) Transaction expenses (d) Depreciation & Amortization (e) Litigation (f) Other Pursuant to the principles of Article 11 of Regulation S-X, the transaction costs related to the Business Combination have been eliminated in calculating our Pro-Forma Operating Expenses in Proforma Adjusted EBITDA tables in our 10K for the twelve months ended December 31, 2020. These costs were approximately $31mm for the twelve months ended December 31, 2020 and are included in our GAAP Operating Expenses on this page.#11NON-GAAP ADJUSTED EARNINGS PER SHARE BUILD $(1.35) THREE MONTHS ENDED SEPTEMBER 30, 2021 - ADJUSTED EARNINGS PER SHARE BRIDGE $(2.98) $0.43 GAAP Reported EPS Stock Based Compensation Other Non-GAAP Adj.¹) Amort. of Acq. Intangibles NINE MONTHS ENDED SEPTEMBER 30, 2021 - ADJUSTED EARNINGS PER SHARE BRIDGE GAAP Reported EPS $0.05 $1.25 $0.15 .(1) Other Non-GAAP Adj. Stock Based Compensation Note: Weighted average number of shares used to calculate Adjusted EPS for the Q3 2021 and YTD 2021 periods were 403.8mm and 401.0mm, respectively. (1) Other non-GAAP adj includes non-cash impact of re-measurement of warrant liabilities. $0.05 $0.15 Amort. of acq. intangibles $(0.82) Adjusted EPS $(1.44) Adjusted EPS | 10#12DRAFTKINGS P&L AND ADJUSTED EBITDA RECONCILIATION Adjusted EBITDA We define and calculate Adjusted EBITDA as net loss before the impact of interest income or expense, income tax expense and depreciation and amortization, and further adjusted for the following items: stock-based compensation, transaction-related costs, litigation, settlement and related costs and certain other non- recurring, non-cash and non- core items, as described in the footnotes to the reconciliation. (1) (2) (3) (4) (5) (6) (amounts in thousands) Revenue Cost of revenue Sales and marketing Product and technology General and administrative Loss from operations Interest income (expense), net Gain (Loss) on remeasurement of warrant liabilities Loss before income tax provision (benefit) Income tax provision (benefit) Loss from equity method investment Net Loss Adjusted For Depreciation and amortization(¹) Interest expense (income), net Income tax provision (benefit) Stock-based compensation (2) Transaction-related costs Litigation, settlement, and related costs (4) (3) Advocacy and other related legal expenses (Gain) loss on remeasurement of warrant liabilities (5) Other non-recurring costs and special project costs Adjusted EBITDA Three months ended September 30, 2021 212,819 170,749 303,658 65,222 219,706 (546,516) (1,556) 7,091 (540,981) 3,845 202 (545,028) 30,356 1,556 3,845 175,664 4,348 4,712 16,667 (7,091) 1,368 (313,603) 2020 132,836 96,569 203,339 53,909 127,376 (348,357) 686 (47,908) (395,579) (13) 95 (395,661) 26,595 (686) (13) 117,034 3,585 2,419 47,908 1,740 (197,079) Nine months ended September 30, 2021 822,700 540,980 703,056 184,016 587,509 (1,192,861) 1,071 (2,905) (1,194,695) 1,654 549 (1,196,898) 88,600 (1,071) 1,654 499,246 15,261 8,933 27,702 2,905 5,501 (548,167) The amounts include the amortization of acquired intangible assets of $20.2 million and $18.8 million for the three months ended September 30, 2021 and 2020, respectively, and $60.0 million and $32.0 million for the nine months ended September 30, 2021 and 2020, respectively. The amounts for the three and nine months ended September 30, 2021 primarily reflect stock-based compensation expenses resulting from the issuance of awards under long-term incentive plans. The amounts for the three and nine months ended September 30, 2020, primarily reflect stock-based compensation expenses resulting from the issuance of awards under long-term incentive plans and, for the nine months ended September 30, 2020, the issuance of our Class B shares (which have no economic or conversion rights) to our Chief Executive Officer. Includes capital markets advisory, consulting, accounting and legal expenses related to evaluation, negotiation and integration costs incurred in connection with pending or completed transactions and offerings. These costs include those relating to the Business Combination for the three and nine months ended September 30, 2020. Includes primarily external legal costs related to litigation and litigation settlement costs deemed unrelated to our core business operations. Includes certain non-recurring costs relating to advocacy efforts and other legal expenses in jurisdictions where we do not operate certain products and are actively seeking licensure, or similar approval, for those products. For 2021, those costs primarily relate to California and Florida. The amount excludes other recurring costs relating to advocacy efforts and other legal expenses incurred in jurisdictions where related legislation has been passed and we currently operate. Includes primarily consulting, advisory and other costs relating to non-recurring items and special projects, including the implementation of internal controls over financial reporting, as well as our equity method share of the investee's losses. 2020 292,309 187,315 303,233 102,499 274,180 (574,918) (2,253) (411,269) (988,440) 319 380 (989,139) 49,967 2,253 319 176,362 34,492 5,771 411,269 4,671 (304,035)#13PRO FORMA DRAFTKINGS P&L AND ADJUSTED EBITDA RECONCILIATION Pro Forma Adjusted EBITDA We define and calculate Pro Forma Adjusted EBITDA as pro forma net loss (giving effect to the Business Combination as if it were consummated on January 1, 2019) before the impact of interest income or expense, income tax expense or benefit and depreciation and amortization, and further adjusted for the same items as Adjusted EBITDA. (1) (2) (3) (4) (5) (6) (amounts in thousands) Revenue Cost of revenue Sales and marketing Product and technology General and administrative Loss from operations Interest income (expense), net Loss on remeasurement of warrant liabilities Loss before income tax provision Income tax provision Loss from equity method investment Net Loss Adjusted For Depreciation and amortization (¹) Interest (income) expense, net Income tax provision (benefit) Stock-based compensation (²) Transaction-related costs Litigation, settlement, and related costs" Advocacy and other related legal expenses Loss on remeasurement of warrant liabilities (3) (4) (6) Other non-recurring costs and special project costs Adjusted EBITDA (5) Nine months ended September 30, 2021 822,700 540,980 703,056 184,016 587,509 (1,192,861) 1,071 (2,905) (1,194,695) 1,654 549 (1,196,898) 88,600 (1,071) 1,654 499,246 15,261 8,933 27,702 2,905 5,501 (548,167) 2020 321,279 218,177 307,530 120,070 257,596 (582,094) (2,713) (411,269) (996,076) 3,904 380 (1,000,360) 73,252 2,713 3,904 187,239 3,585 5,771 411,269 4,671 (307,956) The amounts include the amortization of acquired intangible assets of $59.9 million and $54.1 million for the nine months ended September 30, 2021 and 2020, respectively. The amounts for the three and nine months ended September 30, 2020, primarily reflect stock-based compensation expenses resulting from the issuance of awards under long-term incentive plans and, for the nine months ended September 30, 2020, the issuance of our Class B shares (which have no economic or conversion rights) to our Chief Executive Officer and the satisfaction of the performance condition, immediately prior to the consummation of the Business Combination, on stock-based compensation awards granted to SBTech employees in prior periods. Includes capital markets advisory, consulting, accounting and legal expenses related to evaluation, negotiation and integration costs incurred in connection with pending or completed transactions and offerings. The transaction costs related to the Business Combination described in footnote 1 to the preceding table have been eliminated in calculating our pro forma net income for the nine months ended September 30, 2020 pursuant to the principles of Article 11 of Regulation S-X. Includes primarily external legal costs related to litigation and litigation settlement costs deemed unrelated to our core business operations. Includes certain non-recurring costs relating to advocacy efforts and other legal expenses in jurisdictions where we do not operate certain products and are actively seeking licensure, or similar approval, for those products. For 2021, those costs primarily relate to California and Florida. The amount excludes other recurring costs relating to advocacy efforts and other legal expenses incurred in jurisdictions where related legislation has been passed and we currently operate. Includes primarily consulting, advisory and other costs relating to non-recurring items and special projects, including the implementation of internal controls over financial reporting, as well as our equity method share of the investee's losses. | 12#14DRAFTKINGS KPI COMPARISON OVER TIME B2C KEY PERFORMANCE INDICATORS Monthly Unique Payers ("MUPS") We define MUPS as the number of unique paid users per month who had a paid engagement (i.e., participated in a real-money DFS contest, sports bet or casino game) across one or more of our product offerings via our platform - MUPS is a key indicator of the scale of our user base and awareness of our brand We believe that growth of our MUP base is generally indicative of our long-term revenue growth potential of our B2C segment although MUPS in individual periods may be less indicative of our longer-term expectations Average Revenue per MUP ("ARPMUP") We define and calculate ARPMUP as the average monthly revenue for a reporting period, divided by average MUPS (i.e., the average number of unique payers) for the same period ARPMUP represents our ability to drive usage and monetization of our product offerings We use ARPMUP to analyze comparative revenue growth and measure customer monetization and engagement trends Average Monthly Unique Payers ("MUPS") (Users in 000s) Average Revenue per MUP ("ARPMUP") Three months ended September 30, 2021 1,340 $47 2020 1,021 $34 Nine months ended September 30, 2021 1,335 $61 2020 679 $41 | 13#15DKNG SHARE COUNT BUILD (Shares in thousands) Total Capitalization Common Shares Outstanding (30-September-21) Vested Stock Options @ TSM(¹) Memo: Vested Stock Options Diluted Shares Outstanding (With Vested Stock Options @ TSM) DEAC Private Placement Warrants (2) Fully Diluted Shares Outstanding (With Vested Stock Options @ TSM) (1) (2) 405,345 24,483 26,557 429,828 Note: Table does not include Class B shares, which have no economic or participating rights. Excludes any potential dilution from performance-based options and RSUS. Also excludes shares to be issued upon closing of Golden Nugget Online Gaming Acquisition. Deal is expected to close in Q1 2022. Based on Treasury Stock Method ("TSM"); assumes DKNG share price as of 4-Nov-2021 and strike price of $3.49 per share. Based on TSM; assumes DKNG share price as of 4-Nov-2021 and strike price of $11.50 per warrant. 1,293 431,120 | 14