Genius Sports Achieves 10% Revenue Growth in Q2
Genius Sports presented its Q2 earnings report yesterday, announcing that the company managed to meet or slightly exceed its guidance for the past period.
10% Revenue Growth
Genius Sports recorded a 10% year-over-year increase in revenue for the second quarter, reaching $95.4 million. The company exceeded its Q2 guidance, with forecasted revenues of $1 million less.
Adjusted EBITDA met the company’s expectations, noting a 33% year-over-year increase to $20.8 million. The adjusted EBITDA margin also rose by nearly 400 basis points year-over-year to 22%.
The net loss for the quarter was $21.8 million, compared to a net loss of $10.3 million in the same period last year.
“This quarter validates our strategic execution as we continue to deepen our league relationships, having extended one of our key data rights agreements, expanded our technology footprint, and bolstered our product offering across the sports ecosystem,” said Mark Locke, Genius Sports Co-Founder and CEO. “We are excited for the remainder of the year and expect to reaccelerate Group Revenue growth and continue our Adj. EBITDA margin expansion and generate positive cash flow.”
Genius Sports has raised its financial guidance for the full year 2024, expecting group revenue to reach approximately $510 million, representing a 23% year-over-year growth. The company projects an Adjusted EBITDA of around $85 million, indicating a 59% increase year-over-year with nearly 400 basis points of margin expansion.
Breakdown of Revenue Streams
Revenue in the Betting Technology, Content & Services segment grew by 18% year-over-year to $67.1 million, driven by new customer acquisitions and increased business with existing customers due to price adjustments on contract renewals.
The Media Technology, Content & Services segment’s revenue remained stable at $18.0 million. However, revenue in the Sports Technology & Services segment decreased by 11% year-over-year to $10.4 million.
During the quarter, Genius Sports launched augmented broadcasts of Canadian Football League matches on TSN+ and introduced ‘Manager Mode’ for Viaplay’s Danish Cup Final, featuring real-time graphical overlays with player names, movements, shot speeds, and statistics.
The company also secured an agreement with UEFA to provide AI player tracking technology across over 140 stadiums for 1,350 matches.
Additional developments included Apax Partners LLP exiting its position in Genius Sports, extending the exclusive official data partnership with Football DataCo through 2029, being appointed as The English Premier League’s Semi-Automated Officiating Supplier, launching Fantasy EFL, the first 72-club fantasy football game, and partnering with X to launch the Trend Genius product ahead of summer sporting events.
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