Sportradar's Q2 Earnings: Growth in Sports Betting and Media
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00:00All right, so let's end with a earnings call from Sport Radar, a company we're very familiar
00:09with here, of course, at SportsGrid.
00:11They posted, I know, on social media some commentary just about their growth involved
00:17with UEFA Champions League as well.
00:20A very popular company that has really put their footprint in on a lot of sports betting
00:24and just sports entities as well.
00:26What have we learned from their call?
00:28Yeah, Sport Radar is continuing to grow their business, whether you're talking about betting,
00:33technology, their media partnerships, essentially trying to monetize the growth in customer
00:40outlook, in people interacting with sports through sports betting.
00:44They did a really good job this past quarter, raising revenue 29%, with U.S. leading the
00:49way with 60%, which is pretty interesting given the fact that there weren't that many
00:54popular U.S. sports this quarter.
00:56We saw a lot more popular sports across the world.
00:59You had the Olympics, obviously.
01:01You had the Copa America.
01:03You had the Euros, all sports that get a lot more, or events that get a lot more traction
01:08across the world.
01:09So the fact that they were able to grow the U.S. so much, in what's usually a down quarter
01:12for U.S. sports, is a pretty good sign for the rest of the industry, a pretty good sign
01:16for the rest of the companies that are going to report their calls.
01:19So they're going to continue to try to grow their business that way through more live
01:24betting, through more products that they're giving to partners like the NBA.
01:27They just renewed a contract with UEFA to expand how many matches they offer.
01:32So they're really trying to diversify their portfolio with more live betting products,
01:37more innovative kind of solutions to monetize all this engagement that you're seeing
01:42across the world. Because it's one thing to have people tune in, but then you have to
01:45have companies that are going to figure out how to get money for all these different
01:48leagues. So they had a really good year in terms of handle as well, with a record $9.9
01:53billion across the world.
01:55So you're seeing betting is up across the board and they're raising their outlook for
01:59next year as well. Really bullish on the continued expansion of the U.S.
02:03market. Now that companies aren't necessarily spending as much on customers, now that
02:08sportsbooks aren't necessarily popping up left and right.
02:10We've seen promos cool down with ESPN bet and Fanatics as well and less state launches.
02:16So it looks to be kind of a period where they're going to really dig their heels in and
02:20try to deliver more growth on the product side while their customers are able to spend a
02:24little bit more on that and a little bit less on customers.