Key points:
- Revenue increased 27% to €255m ($275.1m) and profit jumped from €4.1m to €37.1m
- Adjusted EBITDA up 30.3% to €65.8m
- Customer net retention rate rose to 126%
Sportradar has published its financial results for the quarter ending 30 September 2024.
Total revenue increased 27% for Q3 to €255m when compared to the same period last year, which was driven by 32% growth in betting technology and solutions, and 8% growth in sports content, technology & services.
US revenue increased 46% to €51.1m, which was followed by a 23% rise in the Rest of World to €204.1m.
This marks the US as accountable for 20% of total company revenue this Q3.
Profit saw a significant jump from €4.1m in Q3 2023 to €37.1m this year, which Sportradar explains is due to a mixture of strong operating results, the Euro strengthening against the US dollar and ‘€15m of prior-year one-time losses related to impairment on goodwill and intangible assets related to the impact of changes related to our business strategy and disposal of an equity-accounted investee.’
As for adjusted EBITDA, this rose 30.3% to €65.8m and was balanced between the rise in revenue and increased sports rights costs, investments in developing the product portfolio and increased personnel expenses.
The customer net retention rate also increased sequentially to a final figure of 126%.
Good to know: During the quarter, Sportradar repurchased around 721,000 shares for a total of $8.3m. The year-to-date figure sits at 1.7 million shares repurchased for almost $20m
Carsten Koerl, Sportradar CEO, said: "Our competitive advantages within the sports ecosystem, coupled with our growth-oriented strategy, is driving broad-based outperformance. We continue to deliver more value to our clients and partners, building shareholder value.
“We are at an important inflection point to drive operational leverage and cash generation, demonstrated by our expanding EBITDA margin and strong cash flow this past quarter. The significant cash flow has further strengthened our balance sheet and we are deploying our capital to execute on our growth strategy while returning capital to shareholders.
“Additionally, we continue to show strong momentum in the US, which we expect to be further bolstered by the growth of in-game betting and with the start of the NBA and NHL seasons.”
Recently, Sportradar announced that it would be expanding into the microbetting market through its partnership with Tennis Data Innovations.
