Genius Sports has reported growth at an ‘unprecedented level’ as the company continues its significance in the US betting market.
In announcing the financial results for the third quarter of 2021, ending 30 September, Genius has shown a ‘record high’ $69.1m revenue – improving by around 70% year-over-year.
“Genius Sports’ growth far surpasses our original expectations. We are capturing more opportunities than ever before, underpinned by the broad adoption of official data by the entire ecosystem,” mentioned Mark Locke, Genius Sports Co-Founder and CEO.
“While only months into our first NFL season, we are even more confident of the long-term prospects of the partnership. We are transforming the global sports betting market through our progressive investment in technological innovation, and we will continue to do so for years ahead.”
Additionally, the company’s demonstrated that the positioning of the business over time will come to rely on the investments made in this early stage in a growth cycle in a bid to present opportunities with sustainable returns.
These investments include technology developments, data and streaming rights, the expansion of US operational infrastructure as well as other potentialities to help ‘solidify the company’s competitive advantages’.
Furthemore, Nick Taylor, Genius Sports CFO, added that the business is ‘positioned for continued success’, which gives it confidence in raising the 2021 revenue outlook.
In terms of partnerships during the third quarter reporting period, Genius provided its NFL offering with; Caesars, DraftKings, Entain and BetMGM, Golden Nugget Online Gaming, Penn Interactive, WynnBET and 888.
Additionally, the NYSE-registered sports data and technology company’s deal with the National Football League (NFL) has seen 97% of the American sports betting market use the league’s data through the enterprise.
“We anticipate continued strong revenue growth as the market continues to expand and evolve, while preserving the option to reinvest in the business to fund strategic growth initiatives and drive long-term sustainability and scale,” added Taylor.
“This early stage of our growth cycle presents a window of opportunity to invest in the future success of the business, and we’re excited to continue building towards our strategic vision.”
Finally, Genius increased its full-year 2021 revenue projections and is expecting to now generate around $257 to $262 million – previously $255 to $260 million.
The company also revised its EBITDA forecast to be broadly breakeven reflecting ‘strategic reinvestment of near-term earnings’ to fund ‘organic and inorganic’ growth initiatives to support long-term sustainability and scale.
Moving forward post-Q3 2021, Genius looks to leverage its new betting odds partnership with the NFL’s Philadelphia Eagles, whilst further agreements have been finalised in Europe securing an official data tracking agreement with the Superliga and 1st Division football leagues in Denmark.