Shares of sports data and technology provider Sportradar (SRAD -1.53%) were up 10% this week as of 2:15 p.m. ET on Thursday, according to data provided by S&P Global Market Intelligence.Sportradar reported fourth-quarter earnings on Wednesday, wherein revenue and cash from operations grew by 26% and 36% in 2024. However, management also announced a unique acquisition that seemed to steal the show, and the market reacted optimistically.Sportradar receives $225 million to make an acquisitionSportradar is a pi ...

FOURTH QUARTER & FY 2024 EARNINGS | March 19, 2025 DISCLAIMER Certain statements in this press release 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 Reform Act of 1995 that relate to our current expectations and views of future events, including, without limitation, statements regarding future financial or ...

Sportradar Group AG (NASDAQ:SRAD) Q4 2024 Earnings Call March 19, 2025 8:30 AM ET Company Participants James Bombassei - Senior Vice President, Investor Relations and Corporate Finance Carsten Koerl - Chief Executive Officer Craig Felenstein - Chief Financial Officer Conference Call Participants Ryan Sigdahl - Craig-Hallum Capital Group Michael Graham - Canaccord Bernie McTernan - Needham & Company Robin Farley - UBS David Katz - Jefferies Michael Hickey - The Benchmark Company Jordan Bender - Citizens Bank ...

Group 1 - Sportradar Group AG reported break-even quarterly earnings per share, missing the Zacks Consensus Estimate of $0.04, compared to earnings of $0.08 per share a year ago, resulting in an earnings surprise of -100% [1] - The company posted revenues of $327.58 million for the quarter ended December 2024, exceeding the Zacks Consensus Estimate by 6.42%, and showing an increase from year-ago revenues of $271.98 million [2] - Sportradar Group shares have increased approximately 15.8% since the beginning of the year, contrasting with the S&P 500's decline of -4.5% [3] Group 2 - The current consensus EPS estimate for the upcoming quarter is $0.08 on revenues of $323.05 million, and for the current fiscal year, it is $0.29 on revenues of $1.31 billion [7] - The Zacks Industry Rank indicates that the Leisure and Recreation Products sector is currently in the bottom 38% of over 250 Zacks industries, suggesting potential challenges for stock performance [8]

Exhibit 99.1 SPORTRADAR REPORTS FOURTH QUARTER AND FULL YEAR 2024 RESULTS AND ANNOUNCES AGREEMENT TO ACQUIRE IMG ARENA AND ITS STRATEGIC PORTFOLIO OF GLOBAL SPORTS BETTING RIGHTS Full Year 2024 Highlights Fourth Quarter 2024 Highlights ST. GALLEN, Switzerland, March 19, 2025 – Sportradar Group AG (NASDAQ: SRAD) ("Sportradar" or the "Company"), a leading global sports technology company focused on creating immersive experiences for sports fans and bettors, today announced financial results for its fourth qua ...

Financial Data and Key Metrics Changes - Total company revenue for the full year 2024 was $1,100 million, an increase of $229 million or 26% compared to 2023, driven by higher client spending and new ATP and NBA deals [25][27] - Adjusted EBITDA for the year was $222 million, up $56 million compared to the previous year, with adjusted EBITDA margins increasing by over 100 basis points to 20% [28][32] - In Q4, record revenues reached $307 million, a 22% increase year-on-year, with adjusted EBITDA of $61 million, up 53% year-on-year [30][34] Business Line Data and Key Metrics Changes - Betting technology and solutions revenue was $247 million, delivering 21% growth year-on-year, primarily driven by a 30% increase in betting and gaming content [28][29] - Managed trading services (MTS) turnover reached €35 billion, with a margin of 10.7%, an improvement from 9.8% in 2023 [19] - Sports content technology and services revenue was $60 million, increasing 23% year-on-year, led by a 22% growth in marketing and media services [29] Market Data and Key Metrics Changes - U.S. revenues increased by 58% year-on-year, now accounting for 24% of total revenue, up 500 basis points from the previous year [27] - The rest of the world saw a revenue increase of 19% [25] - MTS has expanded to over 250 sportsbook clients, encompassing more than 500 sportsbook brands [20] Company Strategy and Development Direction - The company is expanding its global content portfolio through the acquisition of IMG Arena, enhancing its footprint in key sports like tennis, soccer, and basketball [7][8] - The focus is on leveraging technology and AI to automate data collection and enhance product offerings, aiming for significant cash flow generation and margin expansion [24][38] - The company anticipates continued robust growth in 2025, with revenue expected to reach at least $1,273 million, representing a year-over-year growth of at least 15% [37][38] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving multi-year margin expansion and significant cash flow generation, citing a strong competitive position and growth profile [9][23] - The acquisition of IMG Arena is expected to be immediately accretive to business and margins, with a focus on maximizing the value of high-demand content [13][14] - Management highlighted the importance of operational synergies and the ability to leverage existing technology and client relationships to drive future growth [48][67] Other Important Information - The company generated free cash flow of $118 million in 2024, up from $50 million in 2023, with a conversion rate of 53% [34] - The balance sheet remains strong, with $348 million in cash and no debt outstanding [34] - The company has repurchased approximately $20 million worth of stock under its share repurchase program [35] Q&A Session Summary Question: Can you provide details on the IMG deal and its impact? - Management emphasized the strategic and commercial benefits of the IMG deal, highlighting its accretive nature to revenue, margin, and cash flow [41][45] - The acquisition includes both assets and liabilities, with a focus on operational synergies to reduce costs [48][49] Question: What is driving the success of MTS in Brazil? - A strong local team and effective marketing strategies are key drivers, with a focus on iGaming as a significant growth opportunity [50][54] Question: Can you elaborate on the impact of the Taiwan Lottery hardware sales on organic growth? - The impact was significant, with the MBS segment growth in Q4 expected to be in the high 20% range without the one-time fees from the Taiwan Lottery [58][60] Question: How does the acquisition of IMG affect revenue and EBITDA projections? - The acquisition is expected to enhance revenue growth significantly, with estimates suggesting a potential high 20% growth rate if IMG had been part of the portfolio from the start of the year [66][67] Question: What is the valuation approach for the IMG acquisition? - The company evaluates ROI for each rights acquisition, focusing on potential revenue generation and margin accretion [86][88]

Core Insights - Sportradar Group AG reported strong financial results for the fourth quarter and full year 2024, achieving record revenue, operating margins, and free cash flow generation [3][4][6] - The company is focused on enhancing its content portfolio and product offerings, including significant partnerships with Major League Baseball and UEFA [4][22] - The acquisition of IMG ARENA's sports rights portfolio is expected to further strengthen Sportradar's market position and enhance its product offerings [26][27] Financial Performance - Total revenue for the full year 2024 was €1,107 million, representing a 26% increase year-over-year [8] - Fourth quarter revenue was €307 million, up 22% from the previous year, driven by growth in Betting Technology & Solutions and Sports Content, Technology & Services [14][15] - Adjusted EBITDA for the full year increased 33% to €222 million, with an adjusted EBITDA margin of 20.1% [6][13] Revenue Breakdown - Betting & Gaming Content revenue increased by 30% to €192 million in Q4 and by 33% to €707 million for the full year [5][9] - Managed Betting Services revenue was relatively stable in Q4, down 1% to €55 million, but increased 15% to €200 million for the full year [5][9] - The United States market showed significant growth, with revenue up 41% in Q4 and 58% for the full year, now representing 24% of total revenue [7][11][17] Profitability and Cash Flow - The company reported a profit of €34 million for the full year, consistent with the prior year, despite a foreign currency loss of €38 million [12] - Free cash flow increased significantly by 133% to €118 million for the year [6][23] - Net cash from operating activities rose 36% to €353 million, reflecting strong operational performance [6][22] Strategic Partnerships and Acquisitions - Sportradar extended its partnership with Major League Baseball for eight years, enhancing its data and media content offerings [22] - The company announced a new long-term partnership with UTR Sports for the UTR Pro Tennis tour, expanding its presence in tennis [22] - The acquisition of IMG ARENA is expected to enhance Sportradar's content and product offerings, with a financial consideration of $225 million [26][28] Future Outlook - For fiscal 2025, Sportradar targets revenue of at least €1,273 million and adjusted EBITDA of at least €281 million, representing year-on-year growth of at least 15% and 26% respectively [31][24] - The guidance does not include the impact from the pending acquisition of IMG ARENA, which will be updated upon closing [24]

Core Viewpoint - Sportradar Group AG (SRAD) is set to report its fourth-quarter 2024 results on March 19, with expectations of a mixed performance based on various factors influencing its earnings and revenue growth [1][3]. Earnings Estimates - The Zacks Consensus Estimate for fourth-quarter earnings per share (EPS) is 4 cents, reflecting a decline of 50% from 8 cents reported in the same quarter last year [3]. - Revenue is projected at $307.8 million, indicating a 13.2% increase from the previous year's figure [3]. Factors Influencing Performance - Sportradar's fourth-quarter performance is anticipated to benefit from strategic partnerships, strong data-driven solutions, and ongoing innovation in sports betting and media services [4]. - The company has secured long-term sports data rights with major leagues like the NBA and ATP, which is expected to contribute to revenue growth [5]. - Advanced AI-driven products, such as 4Sight Streaming and Alpha Odds, are likely to enhance customer engagement and expand the company's presence in the in-play betting market [5]. - Growth in the U.S. market is also expected to support top-line expansion [5]. Profitability and Efficiency - The focus on high-margin technology solutions is projected to bolster profitability in the fourth quarter [6]. - By leveraging AI and machine learning, Sportradar has likely improved efficiency and pricing power in its betting and media offerings [6]. - The expansion of Managed Trading Services is expected to have a positive impact on performance [6]. Challenges Faced - Increased costs for sports rights, exchange rate fluctuations, and heightened competition are likely to negatively affect the company's performance in the fourth quarter [7]. Earnings Prediction Model - The current model does not predict a definitive earnings beat for Sportradar, as the company has an Earnings ESP of -20.00% and a Zacks Rank of 1 [8].

Group 1 - Sportradar Group AG (NASDAQ: SRAD) is scheduled to report its Q4 and full-year earnings on March 19 before the market opens [1] - The analysis indicates a focus on long-term investment strategies, particularly favoring a mix of growth, value, and dividend-paying stocks, with a tendency towards value investments [1]

Core Viewpoint - Sportradar Group AG is set to release its financial and operating results for Q4 and the full year ending December 31, 2024, on March 19, 2025, followed by an earnings call [1] Company Overview - Sportradar Group AG, founded in 2001, is a leading global sports technology company that creates immersive experiences for sports fans and bettors [3] - The company operates at the intersection of sports, media, and betting industries, providing a range of solutions to sports federations, news media, consumer platforms, and sports betting operators [3] - Sportradar covers nearly a million events annually across major sports and has partnerships with organizations such as ATP, NBA, NHL, MLB, NASCAR, UEFA, FIFA, and Bundesliga [3] - The company also emphasizes safeguarding sports through its Integrity Services division, advocating for an integrity-driven environment [3]