Grandstand (GRSD) investor relations material

Executive summary

• Q2 2026 revenue was $37.8 million, down 5% year-over-year, with adjusted EBITDA of $7.7 million and margin of 20%, both in line with expectations.

• Adjusted free cash flow rose 18% to $9.6 million, reflecting strong cash generation and positive working capital movements.

• Corporate restructuring is substantially complete, expected to support margin expansion in H2 2026 and beyond.

• Recent rebranding to Grandstand and launch of the Rollcard fintech product mark strategic shifts and product expansion.

• Net loss narrowed to $4.6 million from $13.4 million year-over-year; adjusted net income was $2.5 million.

Financial highlights

• Total revenue declined 5% year-over-year, mainly due to lower marketing revenue, while data revenue grew 12%.

• Gross profit fell 14% year-over-year to $31.8 million due to higher cost of sales from marketing diversification.

• Adjusted EBITDA margin was 20%, and gross margin was 64%, both down from a year ago due to higher costs in diversified marketing.

• Adjusted net income per share was $0.05, down from $0.37 year-over-year.

• Adjusted free cash flow improved to $9.6 million from $8.2 million year-over-year.

Outlook and guidance

• Full-year 2026 revenue guidance reiterated at $165 million–$170 million, with adjusted EBITDA of $45 million–$50 million.

• H2 expected to benefit from positive seasonality, cost savings, and margin expansion, with strong sequential revenue and EBITDA growth.

• Adjusted EBITDA margins projected to expand into the low 30s in H2 and 2027.

• Rollcard launch included in guidance, with modest initial revenue and expenses for the last five months of 2026.

• Enterprise sports data services to remain the fastest-growing segment.