Genius Sports announced Tuesday its financial results for the third quarter ended September 30, which reported a record-high revenue of $69.1 million, up 70% in a year-over-year comparison.
According to the company’s report, the increase was driven by growth across all its segments including Genius’ betting technology, content and services, in which revenue increased 48%, achieving $43.6 million.
Revenue for the company’s sports technology and services segment leapt 159% in a year-over-year comparison to $11.6 million, primarily due to the inclusion of revenues from Sportzcast and Second Spectrum, which were acquired by Genius in December 2020 and June 2021, respectively.
Media technology content and services revenue was up 114% compared to 2020, reaching $13.9 million.
The company’s EBITDA stood at a loss of $392,000. Its net loss for Q3 came to under $70 million, up from the $1.8 million it posted for the same period last year. For the nine months ended in September, the company’s net loss stood at $539.8 million.
During this period, the company also announced strategic partnerships with Entain/BetMGM, FanDuel, Golden Nugget, Hard Rock Digital, Penn/Barstool Sportsbook and PointsBet, in addition to Caesars, DraftKings, WynnBet and 888/SI Sportsbook to provide full range NFL-related products. According to the company, over 97% of the U.S. market is now using NFL data exclusively through Genius.
Mark Locke, GSL Co-Founder and CEO of Genius Sports spoke about this past quarter’s results and said: “Genius Sports’ growth is accelerating at an unprecedented level that far surpasses our original expectations. We are capturing more opportunities than ever before, underpinned by the broad adoption of official data by the entire ecosystem. While only months into our first NFL season, we are even more confident of the long-term prospects of the partnership. We are transforming the global sports betting market through our progressive investment in technological innovation, and we will continue to do so for years ahead.”
Nick Taylor, GSL CFO, added, “We’ve positioned the business for continued success, giving us great confidence in raising our 2021 revenue outlook. We anticipate continued strong revenue growth as the market continues to expand and evolve, while preserving the option to reinvest in the business to fund strategic growth initiatives and drive long-term sustainability and scale. This early stage of our growth cycle presents a window of opportunity to invest in the future success of the business, and we’re excited to continue building towards our strategic vision.”
Genius increased its full-year 2021 revenue projections and now expects to generate approximately $257 to $262 million (previously $255 to $260 million). The company also revised its adjusted EBITDA forecast to be broadly breakeven (previously $10 to $20 million), reflecting strategic reinvestment of near-term earnings to fund organic and inorganic growth initiatives supporting long-term sustainability and scale.
After the third quarter reporting period the company also announced an in-stadia sports betting partnership with the Philadelphia Eagles to deliver real-time betting odds and drive fan engagement in Lincoln Financial Field’s sports betting lounges.
Second Spectrum was also appointed the exclusive Official Tracking Data Provider of the Danish Superliga and 1st Division, expanding on Genius’ existing league partnership.
Original article: https://www.yogonet.com/international/news/2021/11/24/60352-genius-sports-increases-revenue-projections-after-70–growth-in-record-q3
