Sports betting data provider Genius Sports Limited GENI reported third-quarter financial results and updated guidance Tuesday before market open.
What Happened: Genius Sports reported record third quarter revenue of $69.1 million, up 70% year-over-year. The total beat a consensus estimate of $62.8 million.
Betting tech, content and services segment revenue was $43.6 milllion, up 47.5% year-over-year. Sports tech and services revenue was $11.6 million in the third quarter, up 158.6% year-over-year. Media tech, content and services revenue was $13.9 millionn, up 114.1% year-over-year.
The company credits price increases, contract renewals and contract renegotiations as reasons for the increased revenue.
Genius Sports said 97%% of the U.S. market now uses Genius Sports’ official NFT data.
The company announced strategic partnerships for NFL related products with several companies in the third quarter including BetMGM, FanDuel, Penn National Gaming Inc PENN and PointsBet.
“Genius Sports’ growth is accelerating at an unprecedented level that far surpasses our original expectations,” said Genius Sports co-founder and CEO Mark Locke. “We are capturing more opportunities than ever before, underpinned by the broad adoption of official data by the entire ecosystem.
Related Link: Genius Sports SPAC: A Look At The Thing Behind The Thing For Sports Betting
What’s Next: Genius Sports raised its full-year revenue guidance. The company now sees full-year revenue coming in a range of $257 million to $262 million, up from a previous range of $255 million to $260 million. Revenue is expected to be up 70% year-over-year.
The consensus estimate is $256.4 million.
“While only months into our first NFL season, we are even more confident of the long-term prospects of the partnership.”
The company expanded partnerships with FanDuel and PointsBet for NFL offerings after the close of the third quarter.
GENI Price Action: Shares are down 16% to $11.37 on Tuesday.
Disclosure: The author is long shares GENI.
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