Sportradar Group (SRAD) Q2 2026 earnings summary

Executive summary

• Revenue grew 19% year-over-year to €378 million, driven by strong performance in betting and gaming content, especially IMG ARENA rights and technology solutions.

• Adjusted EBITDA rose 19% to €76 million, with margin expanding to 20.2%.

• Free cash flow generation was significant, with a 23% increase in the first half to €103 million and a 73% conversion rate.

• Accelerated share repurchases, with $422 million (26 million shares) bought back since inception under the $1 billion program.

• Strategic partnerships with Kalshi and Polymarket, and exclusive rights extensions for Wimbledon and other major sports, expanded the addressable market.

Financial highlights

• Revenue: €378 million, up 19% year-over-year; constant currency growth would have been 21%.

• Adjusted EBITDA: €76 million, up 19% year-over-year; margin at 20.2%.

• Free cash flow YTD: €103 million (+23% YoY); free cash flow conversion: 73%.

• Loss for the period: €4 million, mainly due to €9 million in unrealized FX losses and restructuring/severance costs, compared to a €49 million profit last year.

• Sport rights expenses rose 30% YoY to €138 million, mainly due to IMG content.

Outlook and guidance

• Full-year 2026 revenue expected to grow 19–21% on a constant currency basis, reaching €1,518–€1,533 million.

• Adjusted EBITDA projected to grow 24–27%, reaching €360–€368 million; margin expected to expand by 70–120 basis points.

• Free cash flow conversion rate expected to remain above 56%.

• Guidance revision reflects delayed prediction market deals, U.S. market softness, and regulatory/tax headwinds.

• Strongest revenue growth anticipated in Q3 due to sporting events and IMG content; adjusted EBITDA margin expected to accelerate but be down year-on-year in Q3 due to seasonality.