What happened

Shares of DraftKings (DKNG -7.29%) rose on Friday, following the release of its fourth-quarter results. As of 3 p.m. EST, the online gambling company's stock price was up more than 6%. 

So what

DraftKings' revenue soared 146% year over year to $322 million. The gains were fueled by a 44% surge in monthly unique paying customers, to an average of 1.5 million, and a 55% jump in average revenue per payer.

A person is pointing to an upwardly sloping digital stock chart.

DraftKings' stock climbed on Friday. Image source: Getty Images.

"With a favorable fourth-quarter sports calendar and strong marketing execution, DraftKings was able to generate tremendous customer acquisition and engagement," CEO Jason Robins said in a press release.

Now what

These solid results prompted DraftKings to boost its 2021 full-year revenue forecast from $750 million to $850 million to a range of $900 million to $1 billion, which would represent growth of 40% to 55% from 2020.

DraftKings is rapidly expanding into new markets. Recent entries include Tennessee, Michigan, and Virginia. DraftKings now offers mobile sports betting in 12 states that collectively represent one-quarter of the U.S. population. Management expects to be able to enter more states as sports legalization initiatives progress.

"We are raising our revenue outlook for 2021 due to our expectation for continued growth, the outperformance of our core business, and newly launched states that were not included in our previous guidance," Robins said.