Sportradar Q2 revenue jumps 22% on strong US segment
Supplier’s adjusted EBITDA up 46%, though total profit from continuing operations decreases by €22.8m partly down to foreign exchange rates
Sportradar has announced an increase in Q2 revenue, up 22% year on year (YoY) from €177.2.m in 2022 to €216.4m.
Adjusted EBITDA was up 46% to €40.1m for the second three months of 2023, compared to €27.6m in Q2 2022, while adjusted EBITDA margin stood at 19% – up from 16% in the same quarter last year – an increase of almost 300 basis points.
However, total profit from continuing operations decreased by €22.8m. The main reason for the decrease was a net negative impact from foreign exchange rates, while there was also an €8m one-time loss put down as disposal of an equity investment.
Sportradar’s total liquidity as of 30 June 2023 was €484m, including cash and cash equivalents of €264m.
The supplier’s RoW betting segment revenue in Q2 increased to €114.1m, up 20% on Q2 2022. The firm said this was driven by increased sales in Sportradar’s higher value-add offerings, as well as live odd and live data products, which grew 25% and 19% respectively YoY.
RoW adjusted EBITDA increased 18% YoY to €51m, though segment adjusted EBITDA margin remained at 45%.
In the US, revenue in Q2 increased to €38m, up 31% from Q2 2022. It was noted this was due to a 105% growth in betting and gaming as well as audiovisual products, while adjusted EBITDA was a positive return of €5.4m following a loss of €5.5m in Q2 2022.
Sportradar said this indicated a “strong improvement in operational leverage in Sportradar’s US business model despite ongoing investment”.
Adjusted EBITDA margin in the US improved to 14% from negative 19%.
Elsewhere, a new deal with CONMEBOL’s Copa Libertadores saw RoW audiovisual revenue increase 25% to €49.6m.
Sportradar CEO Carsten Koerl said he was pleased with the firm’s strong start to 2023 and that things were in place for future growth.
Koerl said: “We are very proud of our strong performance during the first half of 2023 and remain on track to achieve the highest annual revenue in the company’s history. We hold a pivotal position in the global sports ecosystem and believe our talent, technology and diverse product offering positions us for strong future growth as we continue to execute against our strategic initiatives.”
Sportradar stuck by its annual outlook range announced on 15 March 2023, which included revenue in the range of €902m to €920m, representing a growth of 24% to 26% over fiscal 2022, adjusted EBITDA in a range of €157m to €167m showing a growth of 25% to 33% versus last year, and adjusted EBITDA margin in the range of 17% to 18%.