Sportradar Group (SRAD) Q2 2024 earnings summary

Executive summary

• Achieved record Q2 2024 revenue of €278.4 million, up 29% year-over-year, marking the third consecutive quarterly revenue record and driven by 59% growth in the U.S. and strong global performance.

• Adjusted EBITDA grew 22% to €49 million, with a margin of 17.5%, and net cash from operating activities for the first half reached €153 million, up 17%.

• Expanded exclusive multi-year partnership with UEFA, gaining sole rights to distribute official data for betting and media, and leveraging advanced player tracking data, with match coverage up 33%.

• Managed Trading Services (MTS) outperformed, signing 46 new sportsbooks, especially in Brazil and Africa, and processing over €9 billion in turnover in Q2.

• Raised full-year 2024 outlook for both revenue and Adjusted EBITDA, reflecting sustained business momentum and efficiency gains.

Financial highlights

• Q2 2024 revenue reached €278.4 million, up 29% year-over-year, led by higher customer spending and new ATP and NBA partnerships.

• Adjusted EBITDA was €49 million, up 22% year-over-year, with margin expansion offsetting increased sports rights costs.

• U.S. revenue grew 59% year-over-year to €61 million, now representing 22% of total revenue.

• Betting, technology, and solutions revenues grew 30% to €229 million; sports content, technology, and services rose 22% to €49 million.

• Loss for the quarter was €1.5 million, mainly due to higher finance and sports rights costs.

Outlook and guidance

• Raised full-year 2024 guidance: revenue of at least €1,070 million and adjusted EBITDA of at least €204 million, both up 22% year-over-year.

• Full-year adjusted EBITDA margin expected at approximately 19%, with Q3 margins below prior year due to sports rights and product development costs, but significant margin expansion anticipated in Q4.

• Sustained double-digit top-line growth expected for 2025, driven by product uptake, new customers, and higher pricing.

• Mid- to long-term target EBITDA margin of 25%-30%.