Data specialist Sportradar has raised 2025 projections following record growth in Q2. The company saw revenue rise by 30% in the U.S., with profits and adjusted EBITDA also climbing.
Key Takeaways
- Sportradar’s overall revenue was up 14% in Q2, to a record €318 million.
- The company raised its full-year outlook to revenue of at least €1,278 million following the results.
- Tech and AI advances are said to have driven customer uptake and above market growth.
Sports analytics company Sportradar has raised its full-year outlook for 2025. The data specialist now expects revenue to top €1,278 million by the end of the year, which would put growth at 16%. It’s also forecasting adjusted EBITDA of at least €284 million (28% growth).
Forecasting has been upgraded due to the company’s record-breaking quarterly results. The Switzerland-based firm revealed a revenue increase of 14% in Q2, to €318 million.
The increase was driven by growth of 12% in betting technology and solutions, along with 22% growth for the company’s sports content, technology and services. Managed betting services were also up 21% in Q2, to €59 million.
The news comes following the company’s April announcement that it expects revenue to reach at least €1.7 billion by 2027. This would represent a 15% compound annual growth rate (CAGR).
“Given our momentum we are raising our full-year expectations and anticipate the acquisition of IMG ARENA will further expand our capabilities, creating even greater value for our clients, partners, and shareholders," Sportradar CEO Carsten Koerl said.
Q2 revenue boosted by 30% increase in U.S. markets
Sportradar saw strong U.S. market growth in Q2, with significant new customer uptake across the region.
In the U.S., revenue was up 30%. Meanwhile, revenue growth for the rest of the world was a more modest 9%. The company’s U.S. revenue represented 28% of its total revenue for Q2, a higher share than the 24% recorded in Q2 2024.
Profit rose significantly during Q2. It reached €49 million, 15.5% of revenue. In Q2 2024, the company recorded a loss of €2 million, which Sportradar put down to “strong operating results and a foreign currency gain of €54 million,” compared to the €8 million foreign currency loss seen last year.
Adjusted EBITDA was up 31% to €64 million in Q2, increasing its margin to more than 20%. That’s a 31% rise when compared to the same quarter a year ago. This came despite the renewed partnership with Major League Baseball and the continuation of its ATP partnership deal contributing to higher sports rights costs.
The company saw net cash generated from operating activities rise by 14% in the quarter, with free cash flow recorded at €52 million.
Tech, AI advances drive new customer adoption
Koerl stated that the company’s “customer uptake and above market growth,” which was far more pronounced in its U.S. markets, was largely driven by its “premium content and product portfolio” as well as “leading technology and AI.”
Sportradar’s AI-driven universal fraud detection system came into play for the FIFA Club World Cup in Q2, with the company expanding its soccer offering as it took over exclusive global betting rights, live data, live odds, and media content for the entire tournament.
The sports data specialist also strengthened its partnership with the German Bundesliga in the last quarter, to enhance in-game experiences using its suite of immersive products. These include player markets, 4Sight streaming and live match trackers.
Market growth, cross-selling fuel rise in customer retention
Customer net retention reached 117% in Q2, which a Sportradar spokesperson said is demonstrative of its “ability to cross sell and up sell to our clients, as well as the market growth in the United States.”
The company’s “record quarterly revenue, expanding operating margins and significant cash flow” were attributed to both “sustained operating momentum and execution against [Sportradar’s] growth strategy.”
Koerl also pointed to the company’s renewed focus on efficiencies as key to the “sustainable margin expansion and cash flow generation” seen in the last quarter.
