The operator’s revenue exceeded its guidance for the quarter, which was set at $68m.
Betting technology, content and services brought in $44.8m, which was up by 10.4% year-on-year. Genius said about half of the increase was due to new customer additions, around $1.5m from renewed or renegotiated contracts with existing clients at higher prices, and a further $500,000 from “increased customer utilisation of existing Genius content”.
Revenue from media technology, content and services almost doubled to $15.0m. Sports technology content and services revenue was $11.3m, up 56.9%.
Looking at revenue geographically, $43.9m came from Europe, a 4.5% increase, $21.4m from the Americas, more than double the total from a year earlier, and $5.8m from the rest of the world, up by 34.9%.
Genius’ cost of revenue came to $61.8m. This total was down by almost 75%, due mostly to the fact that 2021’s figure included 22.5 million warrants to purchase shares granted to the National Football League (NFL) in order to gain the rights to distribute NFL betting data.
Genius’ sales and marketing costs grew to $9.0m and research and development costs grew to $7.7m, while general and administrative costs also fell sharply, again due to stock-based expenses, including more costs for the NFL deal as well as employee stock compensation.
As a result, Genius’ operating loss was slashed from $429.1m a year ago to $36.7m.
After a gain of $30.1m on currency exchange, Genius was left with a €5.3m loss before tax. Taking into account taxes and businesses in which it holds a non-controlling stake, the supplier’s net loss was $4.8m.
Genius also reported adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) of $8.4m, again ahead of guidance, which was $8.0m.
“We remain highly focused on delivering profitable growth and have executed ahead of expectations through the first half of the year. We continue to utilise our partnerships and unique technology to yield strong results and build upon our commercial strategy,” said Mark Locke, Genius Sports co-founder and CEO. “We have maintained steady EBITDA profitability globally and established a leading position within the US, all while achieving EBITDA profitability at the group level. Genius has strong momentum and we feel confident in the continued execution of our strategic plan.”