Financial Data and Key Metrics Changes - The company reported a record quarterly revenue of €311 million, representing a 17% year-over-year increase [7][22] - Adjusted EBITDA increased by 25% year-over-year to €59 million, with adjusted EBITDA margins expanding by 20 basis points to 19% [25][28] - Free cash flow generated during the quarter was €32 million, compared to breakeven cash flow in the same period last year, with a free cash flow conversion rate of 54% [28][29] Business Line Data and Key Metrics Changes - Technology and solutions revenue reached €250 million, growing 14% year-over-year, driven by a 13% increase in betting and gaming content [23] - Sports content, technology, and services revenue increased by 33% year-over-year to €61 million, led by a 36% growth in marketing and media services [24] - Managed betting services grew by 16% year-over-year, supported by increased turnover and higher trading margins [23] Market Data and Key Metrics Changes - U.S. revenue grew by 31% and now represents 28% of total company revenues, reflecting strong growth in the domestic market [9][24] - Revenue from the rest of the world grew by 12% year-over-year [24] - The global sports betting market is expected to grow at a CAGR of 11% through 2027, with established markets like Europe continuing to perform well [7][8] Company Strategy and Development Direction - The growth strategy is driven by four key pillars: global market expansion, increasing take rates, unlocking adjacent market opportunities, and driving innovation through technology and AI [7][16] - The company is focused on expanding its product offerings and enhancing client relationships, with only 40% of clients currently using four or more products, indicating significant growth potential [10][22] - The pending acquisition of IMG Arena's sports rights portfolio is expected to enhance growth strategy and strengthen premium content offerings [16][30] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to weather uncertainties and highlighted the resilience of the global online sports betting market [19][18] - The company anticipates continued strong revenue and EBITDA growth, with guidance for at least €1.273 billion in revenue and €281 million in adjusted EBITDA for 2025 [31][32] - Management noted that the acquisition of IMG Arena is expected to be immediately accretive to adjusted EBITDA and cash margins [17][30] Other Important Information - The company completed a secondary offering, purchasing $65 million worth of shares under its existing $200 million share repurchase program, bringing total repurchases to $86 million [17][29] - The company has approximately $2 billion in contractual revenue commitments locked in over the next two years, providing strong visibility for future growth [19] Q&A Session Summary Question: What drove the outperformance in U.S. growth? - Management attributed the 31% growth in the U.S. to executing their strategy effectively, leveraging their extensive portfolio in major sports leagues [36][37] Question: Is there any softness in the industry or player demographics? - Management indicated that the U.S. market is still adapting, and while some sportsbooks are quicker to adopt in-game betting, the overall trend is positive [40][41] Question: What are the expectations for the IMG acquisition? - Management confirmed that expectations for EBITDA accretion remain unchanged, with the deal expected to close by the end of Q3 or beginning of Q4 [45][46] Question: What is the roadmap for computer vision data capture? - Management stated that they aim to cover about 90% of events with computer vision, which enhances product offerings and monetization opportunities [62][64] Question: What are the key variables that could push revenue growth above 15% CAGR? - Management highlighted market expansion, new product opportunities, and growth in adjacent markets as potential drivers for exceeding the 15% CAGR target [92][95]

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]