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%.

• Net loss widened to $21.8 million from $10.3 million in Q2 2023.

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

• Secured exclusive five-year extension with Football DataCo, expanded partnerships with major leagues including the NFL, UEFA, and English Premier League, and launched new technology products.

• Technology investments, including AI and computer vision, are driving new product launches and deeper integration across sports, betting, and media ecosystems.

Financial highlights

• Q2 2024 revenue grew by $8.6 million year-over-year to $95.4 million, with Betting Technology, Content & Services revenue up 18% to $67.1 million; media revenue remained flat and sports technology revenue declined 11%.

• Group Adjusted EBITDA increased by $5.1 million year-over-year to $20.8 million, with margin reaching 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.

• Expectation to be cash flow positive for full year 2024 reiterated.

Outlook and guidance

• Full-year 2024 revenue guidance raised to $510 million and Adjusted EBITDA to $85 million, with long-term margin target above 30% and nearly 400bps margin expansion.

• 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.

• Q4 2024 expected to deliver over 30% revenue growth year-over-year and 2.5x Adjusted EBITDA, with nearly 900 basis points of margin expansion.

• Confident in sustaining 20%+ annual revenue growth for the foreseeable future, driven by product innovation, rights renewals, and international expansion.

• Positive cash flow expected for full year 2024.