Sportradar raised its full-year revenue guidance

Sportradar raised its full-year revenue guidance

As part of its second-quarter financial report, the provider revealed that its revenue for the three months to 30 June was 177.2m, up 23.0% year-on-year.

As the US market continued to expand, Sportradar’s revenue from the US increased by 66.3% to 29.1m. The business said that the increase was due to more focus on higher value-added services such as managed betting services.

Thanks to new customers, the rest of world audiovisual services to betting operators came to 39.7m, up by just short of 10%.

Other operations brought in over 12 million dollars.

The business paid 43.4m for purchased services and data licences, up 33.1%, plus 64.4m in personnel expenses, up 37.6%, 21.2m in other operating income, a slight increase, and 49.2m in depreciation and amort

Sportradar’s net income before tax was 21.9m, an increase of 5.3%, after considering foreign currency changes and financial costs.

After receiving a net tax benefit in the second quarter of 2021, the business paid 5m in tax. It had a net profit of 15.3m, which was down by 33.0%.

The proceeds from the successful year were put towards paying down debt.

The share price of Sportradar rose very quickly after the announcement. At the time of writing, Sportradar trades are at $13.83 per share, an increase of more than 15%, after closing yesterday at $12.00 per share.

The Orako platform was launched at the end of the quarter by Sportradar, after the acquisition of Optima.

Expectations have been raised

Sportradar increased its full-year revenue guidance following the successful quarter. It now expects revenue to be between 695m and 715m after previously expecting revenue to fall between 665.0m and 700.0m.

The earnings before interest, tax, depreciation and amortisation are expected to be between 123.0m and 133.0m.

The chief executive stated that as the world’s top supplier of technological solutions to the sports betting sector, Q2 revenue “exceeded our expectations for the quarter, gaining 23% year-over-year.” We are raising our revenue guidance for the year because we are confident about the momentum we have built in our business.

We have chosen to pay down half of our debt because of our strong cash flow generation and good stewardship of our capital. The ability to deliver results in the face of global challenges and economic conditions is what we remain confident in.

Alex Gersh, the chief financial officer of Sportradar, would leave the business to pursue a new opportunity in the US.

Summary:

Sportradar, the world’s leading provider of technology solutions to the sports betting industry, has raised its full-year revenue guidance. Revenue is now expected to be between 695m and 715m, up from its previous guidance of 665.0m and 700.0m. Alex Gersh, the CFO of Sportradar, would leave the business to pursue a new opportunity in the US.