Genius Sports (GENI) Q2 2024 earnings summary

Executive summary

• Q2 2024 revenue reached $95.4 million, surpassing guidance and growing 10% year-over-year, with Adjusted EBITDA of $21 million, up 33% year-over-year and margin expanding to 22%.

• Raised full-year 2024 guidance to $510 million in revenue and $85 million in Adjusted EBITDA, reflecting 23% annual revenue growth and nearly 400 basis points of margin expansion.

• Strengthened and extended exclusive data rights with Football DataCo (including the English Premier League) through 2029, and secured new technology agreements with UEFA.

• Technology advancements, such as AI-powered data and semi-automated offside tracking, are driving new revenue streams and deeper integration with major sports leagues.

• U.S. sportsbook contract renewals are progressing as expected, with the NFL remaining a key strategic partner, holding an 8% equity stake.

Financial highlights

• Q2 2024 revenue grew by $8.6 million year-over-year to $95.4 million, with betting revenue accounting for 70% and increasing 18% year-over-year; media revenue was flat.

• Q2 2024 Group Adjusted EBITDA increased by $5.1 million year-over-year to $20.8 million, with margin reaching 21.8%–22%, the highest in four years.

• Six-month 2024 revenue was $215.2 million, up 16.9% year-over-year; six-month net loss was $47.3 million.

• Q2 2024 net loss was $21.8 million, compared to $10.3 million in Q2 2023.

• Expect to be cash flow positive for full-year 2024.

Outlook and guidance

• 2024 revenue guidance raised to $510 million, implying 23% year-over-year growth.

• 2024 Adjusted EBITDA guidance raised to $85 million, implying 59% year-over-year growth and margin expansion approaching long-term target of 30%.

• Q3 2024 revenue expected at $119 million and Adjusted EBITDA at $25 million; Q4 2024 revenue at $176 million and Adjusted EBITDA at $32 million.

• Confident in continued margin expansion and free cash flow growth through at least the end of the decade, supported by long-term rights deals and technology leadership.

• Expect to sustain 20%+ annual revenue growth for the foreseeable future, driven by multiple growth levers.