Genius Sports (GENI) 27th Annual Needham Growth Conference summary

Financial performance and guidance

• Reiterated 2024 guidance of $511 million in revenue and $86 million in EBITDA, despite industry headwinds in Q4.

• Ended 2023 with $135 million in cash, up from $70 million in Q3, driven by delayed but received sportsbook renewal payments.

• Achieved a cash-positive position for 2024, marking a significant financial milestone.

• Rights costs are fixed and predictable, with step-ups mainly due to annualization and currency effects.

• No major rights or sportsbook renewals expected to disrupt financial stability through 2025.

Capital allocation and M&A strategy

• Completed an opportunistic equity raise led by top shareholders, positioning for growth capital deployment.

• Focus remains on margin- and cash-accretive M&A, with no gaps in the business model or technology.

• Targeting tuck-in acquisitions in sports and media technology to deepen ecosystem relationships.

• High bar for M&A discipline maintained, only pursuing opportunities that enhance value.

Contract renewals and business model evolution

• Shifted U.S. sportsbook contracts from co-terminus to staggered renewals, reducing commercial and capital markets risk.

• New contracts include minimum revenue guarantees and diversified revenue models, mitigating volatility.

• European renewals mirror U.S. strategy, with tailored contracts and continued price increases.

• Average contract lengths now vary, providing flexibility for both parties.