Genius Sports outperforms Q3 guidance as revenue jumps 29% YOY
Supplier posts 131% increase in adjusted EBITDA while expecting $412m group revenue for full-year 2023
Genius Sports exceeded its Q3 group revenue guidance of $100m with a 29% year-on-year (YOY) increase to $101.7m.
The supplier’s adjusted EBITDA saw a huge upwards spike of 131% to $17.7m, with an adjusted EBITDA margin of 14.5% – an increase of 8.9% YOY.
Group net losses stood at $11.6m over the quarter, up from $9m 12 months previously.
The firm’s betting arm revenue increased 34.1% YOY to $65.9m due to new customer acquisitions, with the media division seeing a 28% rise to $22.9m driven by growth in the Americas.
The sports technology division posted Q3 figures of $12.9m, up 11% YOY.
Third quarter highlights for Genius Sports included an expanded partnership with the NFL to power the league’s “data-driven on-screen graphic overlays and visualisations” while also agreeing a deal with Premier League Productions to enhance its data tracking.
There was also the launch of online sportsbook and casino BetVision, which brings live streams together with integrated betting slips, as well as the appointment of ad tech veteran and former MediaMath CTO Manny Puentes as advertising general manager.
Genius Sports expects group revenue to reach $126m in Q4, with an adjusted EBITDA of $11m.
For the full financial year, the sports technology provider expects to generate group revenue of around $412m and adjusted EBITDA of $53m for 2023.
The group has also reaffirmed its expectation to generate positive free-cash-flow in the second half of 2023.
Mark Locke, Genius Sports co-founder and CEO, said: “Our consistent outperformance reflects the execution of our core strategy as we continue to develop and distribute innovative technology across the sports ecosystem, enabling success for our partners and further solidifying our long-term strategic position.”
Nick Taylor, Genius Sports CFO, added: “We have reached a critical turning point in our business as we have realised consistent margin expansion in each quarter this year and now have much higher visibility into our long-term model following the renewals and extensions of key rights partnerships.”