Genius Sports has highlighted a maintained momentum on its full-year objectives, exceeding initial revenue and EBITDA predictions of US$231m and $12m.
“We are pleased to deliver another quarter of growth and Group Adj. EBITDA profitability, and we remain on target to achieve our full-year goals set on our Investor Day at the start of 2022,” said Mark Locke, Genius Sports Co-Founder and CEO.
“This year has been characterized by strong execution as we continue to deploy innovative technology, win new customers, and strengthen our key partnerships across the sports, betting, media, and broadcasting ecosystem, all with an eye towards cost discipline and profitable growth.”
Q3 2022 Financial Highlights:
- Group Revenue: Group revenue increased 14% year-over-year to $78.7 million. On a constant currency basis, revenue increased $17.1 million, or 28% year-over-year.
- Betting Technology, Content & Services: Revenue increased 13% (30% on a constant currency basis) year-over-year to $49.2 million, driven by new customer acquisitions, increased utilization of available content, and expansion of value-add services and new service offerings.
- Media Technology, Content & Services: Revenue increased 29% (41% on a constant currency basis) year-over-year to $17.9 million, predominately organic growth driven by increasing uptake of programmatic advertising services alongside new customer wins in the quarter.
- Sports Technology & Services: Revenue was constant (6% growth on a constant currency basis) year-over-year to $11.6 million, primarily driven by increased revenues derived from Second Spectrum.
- Group Net Loss: Group net loss was $9.0 million in the quarter. This represents an 87% year-over-year improvement, driven primarily by a reduction in stock-based compensation, gain on foreign currency, and improved profitability compared to the third quarter ended September 30, 2021.
- Strong Cash Position: Closing cash balance was approximately $150 million for the fiscal third quarter ended September 30, 2022, including a $10 million adverse impact from the effect of exchange rate changes in the third quarter. This closing cash balance includes approximately $33 million of restricted cash related to a guarantee for rights. As noted last quarter, this amount of restricted cash will reduce over time and return to the cash and cash equivalents line on the balance sheet. The Company expects a total closing cash and restricted cash balance in the range of $140 to $150 million at the end of the 2022 fiscal year, based on exchange rates as of September 30, 2022.
Q3 2022 Business Highlights:
- Struck new partnerships with 27 sportsbook customers, including MaximBet, Bally’s Interactive, and NorthStar Gaming.
- Launched new free-to-play games in partnership with NFL organizations, including the Denver Broncos, Indianapolis Colts, Las Vegas Raiders, and Los Angeles Rams.
- Awarded ‘Live Streaming Supplier’ at the SBC Awards 2022.
Source: GMB
