Genius Sports Raises Full-Year Revenue Guidance after Q3 Growth
Genius Sports has reported a significant increase in its Q3 revenue, prompting the data, technology, and broadcast business to raise its full-year guidance. The company’s revenue surged by 29.3% to $101.7 million in Q3, marking a period of growth across all segments.
The betting technology, content, and services division experienced the most substantial growth, with a 34.1% rise in revenue, complemented by double-digit percentage growth in its media and sports businesses. Co-founder CEO Mark Locke and CFO Nick Taylor both praised the Q3 growth and the impact of Genius’s ongoing expansion plans, with Taylor highlighting that the business had reached a “critical” turning point.
Genius saw a significant increase in new customer acquisitions, increased customer utilization of available content, and growth in business with existing customers, driving $65.9 million in revenue for the betting technology arm in Q3. The media technology segment also saw a revenue increase of 27.9% to $17.9 million, primarily driven by growth in the Americas region.
While the company reported a net loss, it noted a 131.1% increase in group adjusted EBITDA to $17.7 million in Q3. For the year-to-date performance, revenue was 21.3% higher at $285.8 million in the nine months to September 30. Cost of revenue and operating expenses saw a decrease compared to the previous year.
Based on its Q3 performance, Genius has increased its full-year guidance for both revenue and group adjusted EBITDA. The company now expects group revenue to reach approximately $412.0 million and group adjusted EBITDA to hit $53.0 million.
The revenue forecast includes $268.0 million from the betting business, $94.0 million from media, and $50.0 million from sports. This positive outlook suggests that Genius Sports is poised for continued growth and success in the coming months.