Sportradar posts 47% US growth in Q3 as prediction markets gain ground ahead of Atrium exit
Sportradar’s US revenue rose 47% in the third quarter, its fastest growth since 2024, as the sports data group began to benefit more substantially from agreements with prediction-market businesses.
The Switzerland-based company reported revenue of €362.5 million ($406.9 million) for the three months to 30 September, up 24% year on year. Adjusted EBITDA, which excludes certain items, increased 21% to €102 million, giving a margin of 28.2%.
Freedom Capital Markets analyst Nick McKay told iGB that the results exceeded both his forecasts and market expectations. Revenue was above the firm’s estimate of €359 million and consensus of €358 million, while adjusted EBITDA beat its €93.5 million forecast and the €92.6 million consensus.
McKay said quarterly revenue growth of 24.1% was Sportradar’s strongest so far in 2026. The company had previously said the third quarter could be its strongest of the year, reflecting the timing of sporting events and contributions from content rights acquired with IMG ARENA.
Prediction markets
US revenue reached €98 million, representing 27% of group sales, compared with 23% a year earlier. Sportradar said growth reflected market expansion, including prediction markets, and wider use of its content and technology products.
The company has agreements with prediction-market exchanges, brokers and market makers. During the quarter, it expanded its partnership with Polymarket to cover more than 20 leagues and competitions, including the Bundesliga, EuroLeague Basketball and the tennis Grand Slams.
Sportradar also signed agreements with exchanges Kalshi and Novig, broker Robinhood and about 10 market makers.
Sportradar did not disclose revenue specifically attributable to prediction markets. McKay said the company’s comments indicated a meaningful contribution for the first time but cautioned that the business remains at an early stage.
McKay said Sportradar expects traditional US sports-betting clients to grow at a low-single-digit rate in 2027, while international operations face regulatory and tax pressures. He said prediction markets could help offset some of that slower growth, although their legal status remains a risk.
International markets accounted for roughly 73% of Sportradar’s third-quarter revenue, leaving the group exposed to a broader range of markets than US prediction markets and sports betting alone.
Uplift from NBA entry into predictions
Sportradar CEO Carsten Koerl addressed financial analysts for the first time since the NBA signed a memorandum of understanding with the US Commodity Futures Trading Commission last month on prediction markets. Under the framework, the NBA designated Kalshi and Polymarket as the league’s “Preferred Prediction Market Exchanges.” In 2021, Sportradar signed a 10-year extension with the NBA, several years before it became the league’s exclusive gatekeeper for official betting data, beginning with the 2023-24 season.
As of 3 Nov., Sportradar maintained partnerships with at least 10 market makers, Koerl disclosed during this week’s quarterly earnings call. The partnerships have begun to contribute to Sportradar’s financial results, Koerl noted, before adding that he expects the contribution to increase as the company adds more partners.
“We are very happy that the NBA is promoting the official data as the only source to settle the markets there,” he said. “We are enriching it already with deep data from our official league partnerships to get even more reliable and faster information into those feeds.”
During the call, the Sportradar CEO lauded NBA Commissioner Adam Silver for implementing a “strict compliance framework,” for the trade of event contracts that utilise official league data.
Last month, Koerl appeared on stage at a major gaming industry event in Portugal with DraftKings CEO Jason Robins and NBA legend Michael Jordan, an early-stage Sportradar investor. Jordan, a six-time NBA champion, has admitted to gambling heavily on the golf course, along with casino table games.
Former NBA guard Damon Jones is awaiting sentencing in two federal gambling cases, while Malik Beasley, another ex-NBA guard, intends to plead guilty on prop manipulation charges at a hearing next month. Neither Koerl, nor Jordan addressed sports integrity issues on the panel.
Brazil and Atrium weigh on forecasts
Sportradar maintained its 2026 guidance, forecasting revenue of €1.518 billion to €1.533 billion at current exchange rates and adjusted EBITDA of €360 million to €368 million.
McKay said the outlook implied fourth-quarter revenue of €431 million to €439 million and adjusted EBITDA of €116 million to €124 million. His estimates remain near the lower ends of the company’s ranges, partly because of Brazil’s betting ban and the planned sale of Atrium Sports.
The guidance excluded revenue from Brazil but included Atrium, whose sale may be completed before year-end. McKay estimated Brazil had contributed about €60 million of annual revenue, implying a potential fourth-quarter shortfall of about €15 million.
Sportradar had agreed to sell Atrium, its coaching and scouting business, to Teamworks Innovations for $170 million.
At the time of the announcement, Koerl stated, “This transaction optimises and streamlines our business as we focus on our core betting, gaming and media priorities, while enabling us to retain key technology assets and capabilities that will support growth and innovation.
“The proceeds will further strengthen our balance sheet and support capital allocation priorities.”
Growth on the uptick
Atrium accounts for nearly all of Sportradar’s Sports Performance revenue, which totalled about €32m in the first nine months. McKay estimated that the business has a standalone adjusted EBITDA margin just above 30%.
He reduced his forecasts for future years to reflect the Atrium sale and Brazil’s betting ban, while saying Sportradar’s underlying growth opportunity remains.
The company’s 2026 outlook does not yet include the effect of the Atrium sale because the timing of completion remains uncertain.
Betting and Gaming Content rises 37%
Revenue from Betting & Gaming Content, Sportradar’s fastest-growing product line, rose 37% to €242 million. The company attributed the increase to IMG ARENA rights, higher sales to existing customers and new business, including prediction-market participants.
Betting Technology & Solutions, which includes content and managed betting services, generated €297 million, up 27%. Managed Betting Services revenue fell 3% to €54.7 million.
McKay said Managed Betting Services turnover had nevertheless recorded “significant double-digit percentage growth”.
McKay’s revised estimates put 2027 revenue at €1.565 billion and adjusted EBITDA at about €390 million, assuming revenue growth of roughly 10% and a 25% margin. For 2028, he estimated revenue of €1.72 billion and adjusted EBITDA of €450 million, based on further growth and a 26% margin.
In August, Koerl addressed allegations from two short sellers that accused the company of deriving an outsized percentage of its revenues from activity in illegal markets. Sportradar, in response, categorically denied the findings of the reports, describing each as “factually inaccurate.” Koerl did not provide an update on the allegations during Tuesday’s call.
Matt Rybaltowski contributed to this story