Sportradar Group Ag · NASDAQ:SRAD
Sportradar — Q2 2024 Earnings Presentation
24 slides from Sportradar's earnings presentation, Aug 13, 2024
Slide 1: Q2 2024 Earnings Presentation
Q2 2024 EARNINGS PRESENTATION | August 13, 2024
Slide 2: Disclaimer
DISCLAIMER Certain statements in this presentation may constitute “forward-looking” statements and information within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and the safe harbor provisions of the U.S. Private Securities Litigation
Slide 3: Delivering Record Performance & Raising 2024 Outlook
DELIVERING RECORD PERFORMANCE & RAISING 2024 OUTLOOK Delivered strong Q2 performance with record quarterly revenue, up 29% year-over- 1 year, and 22% Adjusted EBITDA1 growth. 2 Focused on driving efficiencies with strong 1H Adjusted EBITDA margins1. 3 Generated robust cash flow from operations, up 1
Slide 4: Q2 2024 Financial Highlights
Q2 2024 FINANCIAL HIGHLIGHTS Strong Execution Delivering Double-Digit Growth and Margins Revenue Adjusted EBITDA1 Adjusted EBITDA (in millions) (in millions) Margin1 €278 €49 17.5% Revenue Growth Adjusted EBITDA1 Growth YTD Cash Flow from Operations +29% +22% +17% 4
Slide 5: Achieved All-Time Quarterly Revenue Record
ACHIEVED ALL-TIME QUARTERLY REVENUE RECORD Marks 3rd consecutive quarterly revenue record 5
Slide 6: Strong Operating Momentum
STRONG OPERATING MOMENTUM • Extended and expanded partnership with UEFA with new • Managed Trading Services (MTS) is a sophisticated trading multi-year rights deal, adding first of its kind arrangement risk & liability management solution. to distribute data to non-betting media. • Signed up 46 new
Slide 7: Unmatched Depth and Scale in the Global Sports Ecosystem
LEAGUES, 400 TEAMS & FEDERATIONS UNMATCHED DEPTH and SCALE in the GLOBAL SPORTS 800 BETTING OPERATORS ECOSYSTEM 900 MEDIA / TECH PARTNERS 7
Slide 8: Client Centricity
CLIENT CENTRICITY Breadth and depth of our content, data & technology solutions combined with our client centric approach provides unique insights on sport and bettors’ preferences, optimizing our clients' business performance • Experience in virtually every sports betting market globally • Largest
Slide 9: Culture of Innovation
CULTURE OF INNOVATION Integration of AI in our business Embedded in our existing product suite Build new products that create new experiences for fans Improve efficiencies and workflows 9 THIS MATERIAL CONTAINS CONFIDENTIAL AND PROPRIETARY TRADE SECRET BUSINESS INFORMATION WHICH BELONGS TO SPORTRADA
Slide 10: Strong Performance and Long-Term Value Creation
STRONG PERFORMANCE AND LONG-TERM VALUE CREATION 1 We continue to deliver on core commitments and position for continued long-term growth. 2 Delivered an excellent 1H on all fronts, setting us up to deliver continued strong results for the remainder of the year. 3 Plan to further extend our leadershi
Slide 11: Financial Results
sp rtradar SPORTS TECHNOLOGY. REIMAGINED FINANCIAL RESULTS
Slide 12: Delivered Strong Revenue and Profitability
DELIVERED STRONG REVENUE AND PROFITABILITY CONSOLIDATED REVENUE (€M) CONSOLIDATED ADJUSTED EBITDA (€M) KEY TAKEAWAYS 278 • Achieved record revenue of €278 million up 29%. • Saw broad-based strength across our 216 49 product portfolio with strong customer uptake of our products and solutions, as 40 w
Slide 13: Betting Technology & Solutions
BETTING TECHNOLOGY & SOLUTIONS REVENUE (€M) KEY TAKEAWAYS 229 • Revenue increased 30% YoY, primarily driven by: 176 • Streaming & Betting Engagement grew €26 million or 41%, and Live Data and Odds grew €19 million or 27%, with both benefitting from existing and new customer uptake of our products, p
Slide 14: Sports Content, Technology & Services
SPORTS CONTENT, TECHNOLOGY & SERVICES REVENUE (€M) KEY TAKEAWAYS • Revenue increased 22% YoY, primarily driven by: 49 • Marketing and Media Services grew €8 million, up 28% year-over-year due to strong growth in European and 40 North American ad:s revenue as several sportsbooks launched marketing ca
Slide 15: Personnel Expenses and Other Operating Expenses
PERSONNEL EXPENSES AND OTHER OPERATING EXPENSES PERSONNEL EXPENSES (€M) EBTIDA adjusted expenses (non-IFRS) Personnel expenses excl. non-IFRS adjustments KEY TAKEAWAYS 89 84 12 11 • Personnel expenses were €89 million, up €5 million or 6% year- over-year and were down approximately 700 basis points
Slide 16: Purchased Services & Licenses and Sport Rights Costs
PURCHASED SERVICES & LICENSES AND SPORT RIGHTS COSTS PURCHASED SERVICES AND LICENSES1 (€M) KEY TAKEAWAYS 44 33 ▲ 32% • Purchased Services and Licenses1, excluding expensed sport rights, grew 32% year-over-year, driven primarily by investments Q2 24 Q2 23 in our product portfolio. SPORT RIGHTS (€M) •
Slide 17: Cost Profile and Drivers of Operating Leverage
COST PROFILE AND DRIVERS OF OPERATING LEVERAGE KEY TAKEAWAYS • Increased Adjusted EBITDA Margin by 90 basis points from 2021 to 2023. • Targeting broadly flat Adjusted EBITDA Margins in 2024 with cost initiatives and ongoing focus on operating efficiency driving 8 percentage points of operating leve
Slide 18: Strong Cash Flow
STRONG CASH FLOW Six-month period ended KEY TAKEAWAYS in €M June 30, 2024 June 30, 2023 Cash and cash equivalents as of January 1 277 244 • Grew cash from operating activities 17% to €153 million. Net cash from operating activities 153 130 • Strong cash generation in Q2, Net cash used in investing a
Slide 19: Robust Balance Sheet and Liquidity Position
ROBUST BALANCE SHEET AND LIQUIDITY POSITION KEY TAKEAWAYS Total Liquidity € 600 542 • Strong balance sheet with € 500 484 increasing liquidity position as € 400 benefit from growing cash flow. 322 264 € 300 ▲ • Total liquidity of €542 million at 12% Q2 2024, comprised of €322 € 200 million cash and
Slide 20: Raising FY2024 Outlook
RAISING FY2024 OUTLOOK Metric Prior Revised Change At least €1,060 million, At least €1,070 million Revenue + €10 million +21% YoY growth +22% YoY growth At least €202 million At least €204 million Adjusted EBITDA + €2 million +21% YoY growth +22% YoY growth Adjusted EBITDA Margin 19.0% 19.0% – 20
Slide 21: Q&A
sp@rtradar SPORTS TECHNOLOGY. REIMAGINED. Q&A
Slide 22: Appendix
sp rtradar SPORTS TECHNOLOGY. REIMAGINED APPENDIX
Slide 23: Non-IFRS Financial Measures
NON-IFRS FINANCIAL MEASURES Non-IFRS Financial Measures and Operating Metric We have provided in this press release financial information that has not been prepared in accordance with IFRS, including Adjusted EBITDA and Adjusted EBITDA margin (together, the “Non-IFRS financial measures”), as well as
Slide 24: Sportradar Q2 P&L and Adjusted EBITDA Reconciliation
SPORTRADAR Q2 P&L AND ADJUSTED EBITDA RECONCILIATION Consolidated Statements of Profit or Loss Reconciliation of IFRS Profit (loss) to Adjusted EBITDA & Margin Three-Month Period Ended Three-Month Period Ended in €'000 June 30, 2024 June 30, 2023 in €'000 June 30, 2024 June 30, 2023 Revenue 278,420