GENI - Earnings call transcript Q3 2024

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Operator

Thank you for standing by. My name is Jeannie, and I will be your conference operator today. At this time, I would like to welcome everyone to the Genius Sports Third Quarter 2024 Earnings Results Conference Call. [Operator Instructions] I would now like to turn the conference over to Genius Sports.

You may begin.

Brandon Bukstel

morning. good and you, Thank

actual in Before the earnings assume be we statements statements you with certain from cause cautionary to are conjunction our materially including historical updating results statements. release risk responsibility report XX-F we'd during this for like or and our could made in that forward-looking on forecast. forward-looking with XX, to remind Any SEC filed to considered call such our factor differ subject annual our from We that our with risks discussions begin, results no in SEC, may that on statements our filings XXXX. should Form statements March the constitute

non-GAAP measures During operating the results with isolation Genius' that A evaluating measures be useful found prepared These directly may earnings performance. or for investors.geniusports.com. With earnings accordance Mark call, over can be which of Genius' in to be as management available the comparable presentation, turn press our believe will release our considered non-GAAP financial reconciliation website our now is should measures in certain we not to Locke. that, measures on at substitute in these call in GAAP. GAAP and U.S. a also U.S. discuss most I'll CEO, the

Mark Locke

Good morning, and thank you for joining us today.

to This of revenue contributed once pleased revenue We growth. of predictability quarter model our business representing exceeding adjusted expansion again translated an margin expenses. results, representing we margin and XX% our fixed XX%. our disciplined report delivered base group quarter, control and basis expectations $XX date. To year-on-year of are XX% the the group to adjusted in consistent financial cost incremental This as result XXX a of EBITDA $XXX EBITDA million begin, group largely to and our very of our a execution growth of growth at and and points highlighting operating strength to another of year-on-year million, XX% to

the adjusted this of in the business margin to gross This group highest demonstrate XXX model. quarter operating leverage expansion our since expansion years public should gross is margin listing. evident our nearly which of consistent over points our basis margin also Our XX%, EBITDA quarterly our year-on-year last few is

in and Given business the the successful multiple growth date, to QX. momentum from are execution believe our well commercial we peak to our in sporting benefit during drivers calendar we positioned

As EBITDA, million expect our up in such, $XXX we and up raising million, the adjusted of respectively. million revenue, to year $XXX guidance both in and group XX% significantly group $XX $XX million and are year-on-year our with guidance above XXXX finish XX% initial

our our of the change guidance XXX impacting of also nearly this differentiation and to bookmakers demonstrates unfavorable despite points the and business expansion. of the confidently margin further revenue our EBITDA that means QX XX% resilience basis model adjusted assumes Importantly, we can and game in This is growth no This October. reaffirm outcomes guidance. QX

foundation XXXX profitable beyond. year Looking now our execution a this beyond for commercial growth sets in and solid XXXX,

for the fixed expectations medium-term reinforces future. like detail quarter. through giving cover key sustained this the deals from end X our We us revenue I towards at progress for will of rights XX% extended results have of would Nick margin financial XX%. meantime, and to the growth shortly. In continued annual certainty our on the touch EBITDA target now our more the with largest of least adjusted combined in of costs renewals, topics sportsbook our decade, our This, foreseeable

BetVision growth. sportsbook an of to be an a this many I'm every of revenue of cross-sell Central proven group Through collectively which tool as update for and well, to represent was pricing our our excited major renewals, we with as sportsbooks, platform, sportsbook on advertising U.S. outside U.S. and with most engagement customer, the overall enhanced sportsbooks commercial the today have First, our brief to who uplift. Data new our terms and to both a the led agreed along product tremendous betting distribution important major of has the season, update of greater to BetVision in-play with along start Feeds, and shortly. of this share contributor

market I'd the successful these is to positive like and from The trends how growth sports second start point in the benefit strong U.S. market NFL of in-play positioned mix. season, to betting us on through renewals the the including touch betting

technology area many that's unique of to ways leveraging monetize is particularly we Third, entire are data the sports activation I'd platform our rich the fan the called exciting new to our our across FanHub. like highlight One ecosystem. launch

these let's review with an starting on update sports topics, Now betting.

early last to improving sports the we discussed new have a quarter, global ecosystem, strong enabled us agree position commercial autumn. As terms which and the we and betting with major over in summer sportsbooks commercial

data of grow value the NFL, partners. and our that hundreds other Our our thousands and annually alongside the League us for amplifies enable Premier strengthened to products of offer of events suite of English we

deal form can to, and announce into upside in-play I we details, previously had across every the in specific growth still is different, that we the sportsbook of I achieved specifically. that while While uplift market and committed will go renewals all universal growth not pricing maintaining

was of allowing scale increased media FanHub announced core product and suite to a from products, certain customers including our Additionally, platform our our offering. of newly component benefit improved deals, our

the usual, sportsbook as term trends we achieve renewals NFL start our In to overwhelmingly quarter. This exactly to the why are over despite is to contract of the contract our delivered game growth sum, have major QX, on business objective we be outlook should set duration, meaning for me is lengths time. season. of start customers, reaffirm brings which which much early poised and out can for contracts for variety to negative our positive, every As renegotiations we growth year. with This I like confidently rates sustained and at lead will a U.S. our going forward globally, the as have will multifaceted outcomes staggered the from characterized

which the engagement encouraged start to reach strong nearly by viewership, are highs First, in continues and record by the season, metric. we every overall measurable wagering to

quarter, a For XX% broader the handle basis gaming U.S. and revenue basis. increased gross on a approximately betting sports on by industry the XX% third

So NFL we remain confident largely in strength the our wagering broader line was the overall growth of with market. in market.

in XX% this step which proven has third communicated of We captured betting, a focus Through trend direction, expected key the season, the have an handle, also the XX% up right been wagering increase Major as representing driving in-play we a driver is for from growth weeks force projections. and long-term a in prior a always and and in behind our meaningful medium- In-play season quarter, with from total and GGR we product. a high-margin becoming complement the component points on XX% of data parlay in-play now high-frequency seen first additional increase bet breadth their offering product of successful improving the is greater types. the of as XX% X NFL quarter. keep NFL customers which products bookmakers' roughly crucial represents a a and engaged tool to nearly in in-play observed handle. the nearly in in In-play

many apps, key which BetXXX to renegotiations a season the on FanDuel, others. This additions is our and as brings successful topic. of my of result sports including to BetVision, available DraftKings, bookmakers' the One next this Caesars, toolkit me betting is a NFL leading

we which BetVision of the recall, of and may millions in-play attracted last unique You introduced increased first NFL mix eyeballs wagering. season,

accessed a Genius' can bet streams many in For one be stream immersive. we markets experience team and includes NFL more of platform. Since interactive have data player things, data-driven a those new single familiar, and BetVision low-latency that, even graphical technology making a of games, full-scale best platform and less Sportsbook including watch your assets this is directly launching and integrates a which last platform, all app. into The intelligent, amongst other statistics, and on and developed features layer, augmentation platform functionality, betting enabling itself year,

of experience users other becoming player. progress is stats as overlays instance, of graphical bets users to now of plan to personalized video directly allowing real-time also tracker, part the as within of monitor enjoy their viewing more augmented a with live For stream version bet the The experience. launch the next-gen can and insights we an the

our predictive on to the technology action contextually recommend bets the utilizing based of relevant are game. live we Additionally,

the a In the widely excited be of through feature we're a directly are course engaging player individual proving to in of touch Another monetizing this access meantime, video to introduced launch the features player over the fans. is product further NFL frame of to we will the season of and value the results. the these with allowing goal touchscreen Many user capability, markets.

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increasing doubled by season. week and the since season, of to in record has in there result, the highs total with initial weeks. viewership unique streamers NFL increase since launch a Even As continue significant a weekly viewership weekly we reach unique recent the in been within streamers has current number X, last XXx

standard across of the customer the mix we a pleased long-term relationship behavior it to enhancements product regions contributing very into new opportunity any redefining which early been partners. product, handle which last betting total by of near-term expand also gradually Genius us, the to new most platform, unique are is to viewers which still NFL as across sportsbook in value of through favorably experience with or betting encouraging. still compares with NFL ultimately Sports and sets solution In-play betting especially and XX% season seeking it's the our has new BetVision season, and league ubiquitous of other additional in but wagering. We're whilst further as also to front excited data Although is QX wagering our from globe. and we and in all that's XX% success a the the sports similar continue the deliver is expectations. NFL completely the BetVision's the This represents the consistent platform, strengthens with BetVision, This sports becoming changes the

and many one outputs the now have last invested this of technology paying We that are in BetVision is few years, over off.

to span ecosystem. betting we're our brings However, offerings of our expanding sports which me across entire well topic product services sports third how beyond my the alone,

Sports of As data. Genius you source has know, a valuable rich exclusive

data wide of range scope products unique We activating this to a further, alone. beyond well enrich betting of sports also even technology the possess

partnership network get fans the example team in Rams with to brand NBA announced the the with statistics our agreement player during key WNBA. Sticking also a advertising Fans This fans. tracking may instance, for allowing experience data-driven Rams' to broadcasts the year. Rams. sports. One of an help L.A. remember does ESPN, affinity and Stadium access For can thus This with stats. dynamic most brand of be fundamentally augmentations, users active quality audience improve experience insights engaged partnership quarter, Verizon. big to data-driven we unlocks front rich I'll seamlessly of their finals agreement this more provide empowers we you next-gen to teams this to the with platform it analytical WNBA, Verizon highlights coaching moments sponsor, and only strengthening last within real-time to live player storytelling the this the to our where inventory in leave X highlights, you for is on among platform, their way long-time transform in a highlights decisions. screen interesting to this a insightful with this of but the the and displaying teams data highly and SoFi includes their recent the valuable Not Unsurprisingly, WNBA access announced unique NCAA, earlier competing the will teams integrate with with were powerful support tool month a for proving

right distribution right FanHub is partnership simply, L.A. and a recent brands One a multiple social me the it of including and advertisers with reach programmatic a product, activation is most we right single the helping verticalized fans platform, video, most sports launch to across FanHub not the excited enabling sport-focused a but at full-scale how impactful our to across expand message connect advertising. with benefit the put products, to only just sports channels, leads Rams to The engaged Verizon will sports technology display, from of more. sports and time FanHub. audiences. To The launch completely I'm digital are Fan launch about seeking be area scratching new that's exciting and TV unlock enable revenue but it in wants surface. This sports-specific helping this we're connected world to one about, wide with will is associated range and so the Any to we excited reason to diversified sports. perfect platform, way, because us As example is with particularly partner and fans. streams continuing of a the us who we're fans brands reach fan a our the Hub. cost-effective to is brand advertisers this with is reach

breadth Given we measure sports of have access in positioned help behavior brands data, FanHub depth believe the uniquely campaigns. and market. than of the data a anyone to understands manage platform, exclusive the ad to, tech the fans Sports Genius us with and We combined makes cost-effective better high-impact, this

excited monetize another As greater we large business both expect how strategically significant we critical we of year, that, digital financials represents sports turn we the momentum call more example I the leveraging advertising, and advantage ultimately of and with we're to to now and vertical. high-margin data will in market are Strategically, and revenue about very the financially. And enter believe technology further believe Nick existing point, our and a the reaching we growing are scale. To a new close, new in our we discuss addressable in will unlock also that to in inflection this set the to achieve detail. have

Nicholas Taylor

Mark. you, Thank

This season, have specifically our of ahead quarter core driven by of We start betting underlying U.S. to which in sportsbook improving and, betting in-play the but year-over-year margins you the growth also our characterized increased the the function the of far across NFL by a industry. of XX% that of expectations, these by was approximately renewals. results of from last win strength QX this in globe. In exist which are outside leverage just of not year, and including increased played business we've revenue trends positive pleased outpacing grew is growth, factor Each value betting, revenue product, greater business. the quarter, a generated demonstrates By growth compared operating continued in growth quarter, delivered quarter to model, many the of to by XX% the our of appreciate now, the another should GGR U.S. date. sports XX% market-wide outperformance and of in the the betting to U.S. broader the in-play the betting is U.S. seen course, in Much drivers third

profitable of outside to renewed These performance revenue of and commercial U.S. our level terms XX% demonstrate quarter European focus with NFL season, year-on-year non-U.S. core sportsbooks the which our through betting of contributed growth the our So growth. the our on achieved quarter. continues XXXX despite U.S. in today's growth to beyond. phase the revenue the of successful business following remainder the renewals set the meaningfully growth for strong renegotiation Of and note, revenue the next in group also and foundation of

long-term years, last to EBITDA. you revenue as come adjusted over with allowing margin This expanding adjusted and through costs, growth expect incremental this to begin of drivers is our sportsbook continue confident these on our target across NFL to U.S. margins XX%. Based observations in of the the towards start course, the season least despite and, outlook quarter. wind of of globe, under on year the margins the end pressure the through through fourth the few expansion we our in to the slide, group consistent EBITDA see our our Importantly, no renewals are fixed additional much evident we flow of our can coming at

cash our we drivers, guidance and confidence and flow, Given our of cost revenue the for in the remain predictability model business adjusted year. expansion basis across bringing high largely over the X.Xx the growth of underpins combined to fixed QX margin confident the positive drivers growth, position base XX% points with XXX multiple EBITDA, business, guidance. growth of full growth in of significant us a These our

or In revenue over predictability on drivers we quarters, fact, the and forward. our our growth to several reasons exactly and delivered multitude are moving of path consistently guidance continue aim the we've this last exceeded

flow to cash like the year. Quickly generate of compared decrease to expectation I'd quarter. our reaffirming the the also are last in to cash, address the We XXXX calendar positive topic for on cash

many renegotiated commercial quarter sportsbook which of the you our know, were the throughout XXth September, customers, end. we with terms close finalized marking to quarter, third the As of

expect timing fundamental. is of QX. is than typically timing Consequently, we inflow the would a cash Given now cash purely these anything in in function of the this agreements, rather expected QX

final rate adjusted of we time EBITDA at EBITDA is meaning As our revenue on a the guidance, group at exchange, matter in and to revenue FX achieved immaterial updated housekeeping it last impact we that relating our noting foreign the even QX also adjusted quarter. had an worth currency the targets and

a of good XXXX is the the to end it for shaping on year, reflect the year approach time how is full we up. As us

Assuming of points XX%, of we margin accelerating XXXX expect our XX%, XXX and growth an characterized positive adjusted guidance, expansion inflection flow. by current of revenue to to growth basis EBITDA be cash

XXXX should such, As consecutive of revenue XX% year mark our fourth growth. plus

XXXX beyond, our continue in pace increase flow look we to cash As growth confident future. the and to we of our foreseeable expand ability this margins sustain ahead to whilst for our annual remain and

In media bolstering a continue conclude, broadcast. our execution basis of rights terms as largest next fixed fact, several reinforces quarter with our cost deals technology improved across confidence visibility betting, our with this of represents expanding extension the product the on we of sports, sportsbooks for period our strategic now and successful another offering the years. To and along and ecosystem footprint commercial

carry the now, operationally, reaching and we our conclude execution and point excited and prepared for a are year-end year and our through critical line remarks beyond. But continue open inflection our will into to and new we We are strategically to financially, Q&A. the momentum

Operator

Goldman comes from Miller the line Sachs. question with first Our [Operator Instructions] Ben of

Benjamin Miller

about and rates to in the the around just on Mark, then, I flowing guys this should on magnitude the product announcements through segment, how a blended of renegotiations, timing relative of the that. first, you today Media number sportsbook have of change guess made we the think just recent model? And commission

So from about think here would be within the announcements things these when those how thinking about feed drivers product share that we qualitative about for of you're pricing, number how into helpful. just talk building all XXXX, segment advertisers, budget, -- you blocks how around of the

Nicholas Taylor

Yes, I can on Nick. part. the what what say And taken part, is both is can Ben, that's it's really, first in-play. -- deals, part the in material that Mark price I'll I second and take I'll On amount and that pre-match you taken. first and that say that, in let every can we've a Ben, take we've

Now in sports that can acceleration betting by to Ben, QX. you But talked going that numbers. those specific in And that what results because you're to our also, I We give any I'm of us contract is new details year-on-year can looks about very today reiterating not the guidance U.S. XX% say already up with see seeing every QX our revenue different. deals XX%. up being of

Mark Locke

And second -- on thing Mark. the Ben, it's

second the a as the say, years. for We've question, recently. Difficulty] that [Technical rightly you And product there's yes, done work launches lot On last the line. of been a of we've come lot few down have

is sort that's sports products. we have some give being huge of we're those of way of we trade lot also the real us efficiencies drive to really, opportunity data. the sports fans, the easiest ourselves world the a in obviously, And for of for going I of massive got the sort think to data. guess of about on We've understand of starting a able to Specifically platform to And the probably being position a media, That's a And desk advantage it. providing sports. self-serve us. in unique but amount

include vast nods of of period products. I of deals the use think fact, renewals, requirement all if -- I those the table, include those around the it in of our coming marketing sportsbook deals -- requirement time for the not getting all majority, is So the with think the I'm for

down for good -- that are but media, the line. to not set got coming down only come the existing the So product product we've sets still in line for have pad really growth also a new the come launch and

So really we're about good it. feeling

Operator

of line Your Bernie with McTernan next question Needham & comes Company. from the

Bernard McTernan

to of quarter. the I growing would could then XQ. results XX%, And believe for sports grew start, if it negative XX% love just size just last October Maybe Europe, you impact the on on

get of since XX% just love So great kind and that agreements, and of kind fixed, deals rates was lastly, flavor -- in believe, a sports plus growth? And in advertising renewals, is as then XQ of you betting. be of for of the right the versus would live see And about whether guys thinking for are, XXXX acceleration. different would to on largely these pushing minimum it's was the that just to what the U.S. way last I construct important a terms there terms most there those take pre-match time of were thought commitment, just big

flavor any should give terms thinking here? be that we kind construction like of Just can if in us new of any you forward there's revenue going about

Mark Locke

us. There's to I'm reverse really undervalued. commitment while, I for take in Bernie. we to actually revalue have We we the and in think a for the lot Thanks, a said it data ago key market renewals sportsbook made order. it's going the while try that market. a would the a Look, been there.

to our sure what bookmaker clients basis. making been sure with and an very by with. the term, working make are of we've overall, that level of we're offers constructs on a trying delivering the We've for and the And sportsbooks. BetVision requirement succeeded with which really adding where really the We've been to difference. products been a And extremely so big we've that. The our that we're successful something involved has quite get of are individual part like to bookmaker doing value a make and on out we're very that specific. and construct rebalance is the with that's some value have careful sort come partners And commensurate to very we've that, of across been with rollout think, data renewals been deal to deals a exactly universally that focused the really pleased these I it more on look that

of is across that market to So part a the ubiquity product the previously industry. made I've having that commitment deals. of And the all of again, was about

So happy I've which that. the on part of And Media then just very upon. is touched space, we're the other with obviously, it

and new So value existing the rollout Media of products, there. stack additional got our product the we've that

focused we've been So we've we've Media, in to on BetVision, been increase very focused been on on very summarize, the the and focused value. very

The other and in that's mixture to we've said prepared we've the remarks, -- highlighting, thing of worth probably it I a my very listened got market, in lengths. balanced was terms a term much more

So future renegotiation the the we're periods this effect, a in basis. no longer and sort more of in cliff -- much rounded have

I Nick X pick think on the I'll other points. let up

Nicholas Taylor

yes. Bernie, Yes.

headwind before, That think of kind which So the which just results in of I us, heard year-on-year. a will for the this our revenues certainly is it's the think, is what that's for in from our QX, of yes, on European our tailwinds model, bit around your still we which slightly, And be Mark And that headwind the position, number quarter growth sportsbooks, given that's think in of I clearly There's position. yes, phrase seasonality a But used slanted company therefore, is levers market whether plays that's that's Bernie, sportsbook U.S. more XX% a mean, growth question, with growth lot European whether say year-on-year. although in-play resilience there's a of was October absolutely market obviously price, XX% mean, favor, Europe. the in QX reiterating we're but QX in a the other material our the I I I position U.S. whether whether confident the the mix, sports. the is. given product. results other have. noise media, is not very you've of a just work me that XX% little about But thing right business of into come we're in terms delighted this great been QX revenue

therefore, of with lost European that new upsell as into some as is things of out got until in back perhaps noise of well the on been One we've renewing to that of that the our market. the XXXX. sportsbooks will the also U.S. continue the deal some some the and to renegotiations European doing around of U.K. see And soccer the the you're beginning drive products sportsbooks

European always sportsbooks said and going forward. So, expect double-digit the I've to continue from yes, growth

Operator

Jed Your next line Oppenheimer. of from comes with Kelly the question

Jed Kelly

may. Just X, if I

Just on that going sports -- betting to more is is and And reacceleration thing or just to the XQ the trying by media guide, up be media that be then think to going do profit goes as into kind recognized a year, of on on driven following next but one-time more you it's higher? are results? about margins net, in transition the up revenue self-service, gross because we see of sort decel because the actually

Mark Locke

Yes.

right. and order again, reverse take if I might them all that's same the do think in we

the these after. additional are that the pools we're revenue media, self-service, On going

all, remind stack is through mean, revenue existing programmatic got that you I the So managed we've to services. the the

revenue revenue with getting term, that's coming So continue, new as the a although that going to that new products, the of somewhat that result up -- the working is will of positioning, a replaced. brand be longer But we as sportsbooks. lot agencies to really end expect as self-service well probably obviously new with

So one managed out. longer though think see will other, term, the fade even services we initially that cannibalizing we the don't

Nicholas Taylor

Nick. it's Jed,

have in talked from about. on relation up perspective first Clearly, answer coming anticipate sportsbooks it's already we agreed think the from we Jed, what and we're The that which where deals based with QX is, that coming to growth a question, I Just sportsbook set well your actually, from. that be will QX. both was the in on Mark's

together well that deals growth growth. tech But media U.K. the we've terms the us some actually we the So and last in also announced as growth soccer positions well, anticipating that as in also deals. months, U.S. given of and deal good X, TAM like GGR the with sports QX a over are and well X expecting tailwind things

Jed Kelly

cash full a provide you free number? flow Can range year

Nicholas Taylor

remarks, and prepared flow I've here the I'll cash very Sports. in what be of we done year. That's reiterated terms XXXX Jed, the is Genius for a in do to anticipate positive in I've moment it again just that important really

ongoing have dynamic giving guide is know, know, receipts I'm cash and you now because, you an we're cash on given to which the As a basis, sheet. our continue expecting that strength balance specific as particularly of important and not of letting business can that the the and its position impact magic year-end, as through we're beyond. get confident you in operating but 'XX payments then cash leverage work towards fully the positive model an getting

Operator

Sigdahl Craig-Hallum the Ryan line Capital question of Your from Group. next with comes

Ryan Sigdahl

renewals Congrats business with I success and on here. to start all the FanHub. want

of beyond the traditional mentioned that the But can to you how you go more sportsbooks and across for and consumer appeals sports You books and of seen talk can maybe who outside that through this and expect specifically? from where add versus value. you've much can kind where expanding pipeline

Mark Locke

as previously, Yes, look, product sure. trade the way is to sort FanHub easiest said the -- of for I probably sports. I mean the about think the really desk

in differentiator peers? think is have at the on in we have Why and And that, understand are what got in we U.S. market? What's do I if understand you compete when you're You've understand focus a looking right this we Why sports, this the that differentiator? we key able? thing. The moments market, that we to are that's to sport. our

amount a have know. huge We as you guys of data,

game, reactions and events we're during goes therefore, renewals to interesting which sorry, and to -- a well to how able received. that's adverts and trigger goes So important

we information that sports players. amount of have a huge on have thing is other The we

to fans, work what sports understand we understand we makes they're and them So tick. going how

wants the allows to So us in of anyone space. really approach the combination sports to who present that be

I those and national people if do Coca-Cola, you're wants to agency target you. an sports to clients and come a or that's So it stuff, know, on got we're team able basis you're a indeed some players if for that don't Gatorade, to like, if -- access local to brand the able audience, of you're you're want you basis a around

we data USPs So understanding that utilizing it's sports to unique about unique in target have order really sets, the fans. in business, the

Ryan Sigdahl

costs side. picture the just Then on bigger

resources, structure, how initiatives you people, strong side. You this into do these on everything to have commercialization cost look have all 'XX about kind and you feel support as momentum you beyond? really of multi-leg on the growth the the side, and But revenue

Nicholas Taylor

drives. of Mark, is the additional key Ryan, the whether product, we've then over me any that All in-place know, this a tailwinds whether margin. as sort growth leverage and the pretty that the that's talk price, top comments. Yes, about, that's most of that operating that's whether talked it to of I TAM, sports that's you Yes. let more business through come at whether flows directional Ryan, high please mean, betting, of

seen this You've quarter. that

the in through XX% through. drop also a got QX implicit around at you've for quarter I think drop is think the about the And guide I XXs. in

we're So leverage. the feeling good operating pretty about

Operator

with Your Citi. of next from line Jason the Bazinet question comes

Jason Bazinet

to obviously as be a betting would there expected that's is just big going to sort behavior? back. guys anything relates commitment and NFL and curious, So made than you I anything expected revenues that's a years the it going NFL few than of worse better

Mark Locke

question, the the specifics NFL, to Jason? with that Yes. is I mean

Jason Bazinet

Yes.

Mark Locke

the Look, NFL with very relationship strong. the is

our agreement shareholder in working they're the product them. them very renewed we know, and working long across got And in multiple sets. a We're as early previously, very Clearly, with they're major business. active a we've with runway. them active you They're with well. As

fantastic relationship Obviously, data of the the and some innovation. data. driving good lot been seen We've I to very in you've a feed. that's the low one product have NFL a the very access We content market way organization, biggest a That that and partner. is which innovations, spearheaded they're seen long the latency very of BetVision, got through is think, rich that's for of a the by been time, and all

And I they good relationship and the and same is strong. think delivering like -- would supportive say feel we with really a results a we the the partnership. shareholder. on So super very We're NFL strong based

Operator

question next Macquarie. from line Your of Chad comes Beynon with the

Unknown Analyst

on in-play? Any you Sam to for XX% is Anything or what there? I This to on get EBITDA the color more new could margin there? on add on needs it to dependent state touch wanted happen target. launches Chad. Is

Nicholas Taylor

Sam, it's Nick. in [ specific ]. truthsome nothing There's

the to cost I'd of I ] hasn't exact for noted we I'm and cost base. the example, of that say. you've move you've really decade. terms really of that I at seen last and XX EBITDA And the moved visibility our get. a move. that asked therefore, U.K. the XX as months. same, being in margin one Sam, just last cost paying, that over out great rights guess, seen course really And continues think the to probably example, I of to dollar, question Ryan it's all base are over end really more gives I therefore, quarters, just rights the to the us fixed, significant the that that the or And of mean [ visibility. And seen for of the XX what NFL really, really soccer play obviously, is the advantages predictability -- until mighty the you've

we And expecting margin XX% medium think terms therefore, accretion, XX%, in XX%. margin term last of seeing now that healthy is to around about around about XX% continue towards you're are and right EBITDA guide we're I the margin year. of XX.X%, that over

Mark Locke

in The to other upon we've a of bear lot this is one products well kind -- the touched in of questions was mind thing as recently. previous is launched of and

into basis. of is on global UEFA. doing risk Over in into self-serve platform. a the a into we of years the going very stuff aggressively got We're sort done different a football We're is the really FanHub which last got number we've over in We're invested We've a big areas. lot Edge, well the Obviously, We've our product. and few wide Dragon, of obviously of leagues. -- rollout in Dragon We're revenues. the a which material And basketball lot have quite awful really, business an way. A lot of product a are seeing rollouts to of still of the really product in there. business and seen lot you're in those growth deliver is existing sets you the of yet off historically of from yet create and sets. Again, to focus There's no growth. a pretty still margin there that so there's call. managing expand or revenue on much our very this that. And we're self-serve revenue far been little lot U.K.

lot of So product opportunity and really sets, life revenue that growth and it's talks us to that of these what about that these meat growth. going and to -- bones a product a of to sets levers give always bringing are we some of it's about on put for the really a is, Nick lot bit

Dragon, never roll The through some individual we've some lot of with because do a them coming of other in the disparate built pull quite is product been that's products out together from long again, sort hope a of the leverage to And now we've individual to business finished the rolling on by I've of to the very to the one really rollout had a a and always another. never what's fan of position incremental FanHub, all wanting Edge, and really rollout get But product, to of We've together now sit we're what works. products is do this that's between big really And about. drive products. excited thing, been effect We've this these multiple of about to the starting some answer, bang, able basis. to quite products sorry, that product it much of on these this of we're of going a but out them. into a BetVision, really products of And something develop market. sort in from each is stuff growth the are kind a all always growth a pulling bit be compounding is been never that and I of out the What generate room, give it's do we're think of useful in a color areas.

a of that's EBITDA amount to it's value and deliver tangible, path excited we feel just being visibility, this But where of that, So at remain the so clear huge margin visibility of got top and of sort again, said this again, what to very together from on second why shareholders. do opportunity to are he's we able we very stuff It's in it. all a the and our from about Nick look this XX% confident can target. this business. there's terms very I really we And a ago, exceptional in something pull it's

Unknown Analyst

NFL in-play get far that And to I upside guys so get possible year then line the Awesome. that the it you as of just from, the rate follow-up, improving can of time and in-play kind hold evolving? you just how hold is the sportsbooks and a this guess, see simply the

Mark Locke

Obviously, in-play. north last business. a I XX%. hearing answer knows ago, and coming. a and the interesting more taking, back were again, is of give not few my years bigger thing lot I I'm Nick's went focus we're to bookmakers growth a everyone on When XX%. out in-play you are We're we I We're understands is it's the to margin we from but XX% We're to were where is. about improving. sure, going and going will about more rates, fact give focus a answer markets the the And now thing bit on that year, previous But guys, -- that's much There's a in-play, think of higher you in-play. now everybody in-play hold we much market that that previous think and the to

I BetVision. targets, is but driven is I'll of remarks, my the BetVision live by at this in if in BetVision now. said interest you lot out betting. driving And them prepared in-play look again, a of again Now pull latest sort them

in-play in-play betting think I through BetVision. it's handle XX% all is of

definitely think to an now, XX%. of our product increases Europe, for gives there's again as the increases I in our an BetVision think more increase going for becomes it ubiquitous So the is which share It to share, obviously opportunity market kind I us you'll the appetite heading from see a and hold the growth. in And as margin which the take that of towards grow. is really around XX%, is grow, increases huge sportsbooks again, in-play makes, where sets

at was So point looking from an that's this if be really business where I'd external I focused view. of

Operator

Your Lake with of Eric Martinuzzi Markets. comes line the next Street from Capital question

Eric Martinuzzi

getting terms renewals. on The Yes. sportsbook staggered the

maybe far was Just went sportsbooks for term that. to Take of be shorter the them Did achieved you of or wanted versa? maybe to Genius-led sportsbooks smaller you -- through longer and curious this as me as logic. discussion how to more as some where as vice a you a the larger

Mark Locke

think, a X there's but I last signed. our Genius-led. business I done to customers, some our that's small our over Sure. them contracts. we new we idea, and them I is, answer contract to mean and an mean, awful to your new mean, I But lot goal marketing signed of we short related, lot of our some question obviously, XXX it's are you discuss of signed give I is and of have are we both of mean talk that in desires. the stagger been -- will been months, ultimately, to sort some the deals yes, terms. of

and So very we're been the sort our it's for very our renewals. was that in We understood a of de-risk of business goal busy very shareholders terms from the business, was But something sort period -- the that, on. that in they of successful. here to were focused contract

few next us And in have a listened. we terms, growth. place which, again, strong put of we've again, for contract So staggered the years

Eric Martinuzzi

Or larger, is to commitment other around? potentially goal away giving it therefore, me longer-term way take the sportsbooks. on and to a -- But Right. the more you meaningful back the was them get Were margin?

Mark Locke

and mean, going long sportsbook look, for comment any deals. have having the us multiple to the individual distribution. as a is we've got with of path that we lot that to across it. staggered I we're that got I out Suffice achieve, Yes. ended They're up, sort sportsbooks working achieved a I something where think sportsbook areas. We've a say of and different renewal again, us result We've can is growth. larger And I on well. we across a say product to of obviously, phase set the not think, to good

are. So where happy we with pretty we're

Operator

Bender of constraints, time final Jordan JMP. our line question Due from Citizens the to with comes

Jordan Bender

incremental legalization assumption is to the revenue course hit XX% wave, outside business pricing? is, target, into potentially just When next any we'll and XX% Brazil, that baked medium-term thinking legalization what's medium-term I normal this see growth of question through product of Alberta. beyond that the number? Missouri, guess the there the number like But year,

Mark Locke

how top always as everyone same which the question. I much on Yes, based the market most a out it's a aggressive of bit obviously, it's of a market mean, a pretty for model to excited been good that takes obviously We is -- said. we've and about strip account Brazil consensus. is take like the least We We on built very grow, and kind has going how view I me consensus about the am have legalization. wrong. aggressive. on into about a number long long I time, -- and get some more skeptical times I Don't as is size way going the to on And we're with views take varied Brazil. the of that excited I about market. interesting again, There's to come calls, some from Brazil. am I conservative am of a these the said through. view, fairly we this our and think point of of

there's a there. opportunity I big think

to of still hitting the actually a -- to go a in bottom money door and through our there's it comes think before this really way line. bit I

the at So from and And world a as fairly conservative of can Europe on to the of I when when comes U.S., on guess, our pretty basis rest it fairly a, estimates growth well. our the it is U.S. comes I look the point to it. of view outside consensus think straightforward view, you

So of kind covers view. our hopefully, that

Jordan Bender

part the we've back Or if as or always think follow the January going as happens we like modeling mean, And and seems into that up I Yes. But even through middle I something it now can that's forth back on is it's at believed? we think Brazil, the that, assume we should that. of year? XXXX, it X, about this part pushing more point. like

Mark Locke

at we mean, right. said, breath I Q&As last my you and if that's on transcripts conservative view. back proven a don't too hold And I pretty Yes. to be Look, stuff, earnings took again, your pretty I've the much. think I look this

when I be happy XXXX. view. my again, 'XX. Brazil I'm not comes in take early on I'm I conservative think too I just will view. happen to pleasantly but would But sure in on that's be through, slightly surprised banking it a

Operator

for call. today's joining. concludes This Thank you

may disconnect. You now

Genius Sports Limited (GENI) 12 Nov 242024 Q3 Earnings call transcript