DraftKings announced that it has moved its chief financial officer to a new role as new chief transformation officer.
The Boston-based sports betting giant appointed CFO Jason Park to this newly created position to lead initiatives that deploy cutting edge technologies, capture operating efficiencies, and oversee the integration of DraftKings’ acquisition of Jackpocket.
DraftKings CEO and co-founder Jason Robins mentioned in the company’s press release announcing the changes to its leadership team that “there are also potentially transformational AI applications on the horizon that could change the way businesses operate and serve their customers to create potential long-term advantages.”
Park has been DraftKings’ CFO since June 2019 and oversaw the company’s transition to its listing on the New York Stock Exchange. Under Park’s leadership, DraftKings’ stock price has increased more than 325% since its initial trading day in July 2019 and its revenue has grown to more than $3.6 billion in 2023 from $323 million in 2019.
“I am thrilled to take on this new role which tackles several significant opportunities to improve how we operate and taps into my passion for building great and highly efficient companies,” said Park of his new role.
Alan Ellingson will take Park’s place as CFO, elevating from his current position of senior vice president of finance and analytics.
“Alan has been with DraftKings for more than four years, has extensive experience across our finance and analytics teams, and most importantly, deeply understands our core value drivers and focus on maximizing shareholder value,” Robins said.
Additional leadership changes at DraftKings in 2024
This isn’t the first major leadership change at DraftKings in 2024. Marie Donoghue was named chief business and growth officer in January after stints in executive roles at Amazon and ESPN.
Prior to joining DraftKings, Donoghue helped Amazon Prime Video acquire the rights to and launch “Thursday Night Football,” the NFL’s first all-streaming, season-long package. She also spent 18 years at ESPN where she was a key player in ESPN Films 30 for 30.
All of the above is positive momentum for its leadership group, but the company is still mired in an ugly legal battle with former exec Michael Hermalyn who it recently filed an injunction against for allegedly stealing confidential information while staying at Fanatics CEO Michael Rubin’s home.
Positive momentum this year
It’s a solid time to join what has become one of the top two best online sportsbooks in North America. DraftKings produced positive Adjusted EBITDA in the second and fourth quarters of 2023, and closed the year with 44% year-over-year growth in Q4 2023 revenue of $1.231 billion.
The company expects to reach its first full year of positive EBITDA in 2024, and the guidance midpoint range for this year is at $4.775 billion in revenue and $460 million in Adjusted EBITDA.
