Genius Sports revenue soars 59.9% in Q1 2022
Sports data juggernaut sees key pillars perform well but losses ramp up to $40.2m
Sports data provider Genius Sports posted a 59.9% year-on-year (YoY) increase in group revenue to $85.9m as its media technology and sports technology divisions delivered impressive growth.
Total group revenue jumped 59.9% from the $53.7m in revenue posted in in Q1 2021.
The revenue rise was catalysed by all three of its key operational divisions showing strong levels of growth.
The biggest increases for the firm were in its media technology, content and services division which saw a 157.3% increase in revenue, reaching $24.1m.
The company put this down to continued organic customer acquisition and the inclusion of revenue obtained via recent acquisitions.
Sports technology and services also saw a three-figure percentile increase, with revenue soaring 123.3% YoY, reaching $12.1m.
This rise has been attributed to the revenue acquired from the recent acquisition of Second Spectrum and the increased amount of services Genius Sports is providing to existing league and federation partners.
Lastly, the betting technology, content and services division saw the lowest YoY increase in revenue of just 27.6%, recording $49.7m in Q1.
However, adjusted EBITDA was -$2.9m due to continued investment in the US business and overall revenue mix.
Despite the impressive revenue growth, the company saw its losses mount, increasing to $40.2m in Q1 2022 compared to $5.2m in Q1 2021.
Looking ahead, Genius Sports reaffirmed its expectation to generate total group revenue of $340m and EBITDA of $15m in 2022, despite the “risks related to foreign exchange and ceased commercial operations in Russia and Ukraine”.
Q1 was a busy time for the data provider as it agreed a new partnership with the Mid-American Conference, an NCAA Division I Conference.
Genius Sports reached a new deal between Second Spectrum and NBA G League to provide data tracking across all the league’s venues.
Genius Sports also obtained regulatory approval in the newly opened Ontario market.
Mark Locke, Genius Sports co-founder and CEO, said: “Our strong first quarter is a result of successful execution.
“We began 2022 with a comprehensive investor day, outlining our strategic plan and underlying assumptions supporting our financial outlook.
“Our financial and operational achievements in the quarter demonstrate our ability to deliver on that plan and increase our competitive advantages through unique and proven technology.”
Genius Sports share price was up 1.44% to $2.81 at the time of writing.