Sportradar also published its 2025 guidance, saying that it expects its revenue for 2025 to reach EUR 1.27 billion
Sports data giant Sportradar has published its FY 2024 results, reporting a significant increase in revenue. In addition to that, the company unveiled a major new acquisition deal, announcing that it will acquire IMG ARENA in a $225 million deal.
Sportradar Publishes Its 2024 Report
In its report, Sportradar outlined full-year revenue of EUR 1.1 billion ($1.2 billion), up 26% year-on-year. In addition to that, the company announced that its profit for the period stood at EUR 34 million, ($37 million) which was consistent with 2023.
Adjusted EBITDA for the year increased 33% to EUR 222 million ($241.6 million) at an expanded margin of 20.1%.
Net cash from operating activities for the period, on the other hand, soared 36% to EUR 353 million ($384.3 million). Free cash flow, meanwhile, more than doubled at EUR 118 million ($128.5 million), up 133% year-on-year.
In the meantime, the company’s customer net retention rate increased to 127%.
Sportradar emphasized that the aforementioned metric exceeded its full-year guidance for both revenue and adjusted EBITDA.
The Fourth Quarter Was Favorable to Sportradar
The strong FY 2024 results were underpinned by favorable Q4 performance. In the fourth quarter of the year, the company’s revenue increased 22% to EUR 307 million ($334.2 million), while adjusted EBITDA increased 53% to EUR 61 million ($66.4 million).
Due to foreign currency fluctuations in Q4, however, Sportradar reported a revenue loss of EUR 1 million ($1.1 million).
In Q4, the company also reported a 57% increase in net cash generated from operating activities to EUR 82 million ($89.3 million)
In Q4, Sportradar repurchased $5.7 million of shares under its share buyback plan.
Additional 2024 Highlights
Other highlights included the 8-year extension to its MLB partnership and extended its agreement with UEFA to cover all UEFA Club and National team competitions. Additionally, the company announced a long-term partnership with UTR Sports.
2024 also saw Sportradar launch an array of new products, including NBA products and micro markets for ATP tennis and basketball.
The company ended the year with EUR 348 million ($378.8 million) in cash and cash equivalents, marking an increase from EUR 277 ($301.5 million) as of December 31, 2023. The company attributed the increase to its strong operating performance.
Including its undrawn credit facility, the company had a total liquidity of EUR 568 million ($618.3 million) on December 31, 2024, and no debt outstanding.
The Company Published Its Guidance
Sportradar also published its 2025 guidance, saying that it expects its revenue for 2025 to reach EUR 1.27 billion ($1.38 billion). The company noted that this figure would represent year-on-year growth of at least 15%.
In addition to that, Sportradar expects adjusted EBITDA to increase by at least EUR 281 million ($305.9 million), which would mark YOY growth of at least 26%. Sportradar also expects adjusted EBITDA margin expansion of at least 200 basic points.
This guidance, however, does not include any potential impact from the aforementioned acquisition of IMG ARENA.
Sportradar to Acquire IMG ARENA
As mentioned, Sportradar will acquire IMG ARENA, which would reinforce its content portfolio.
This addition will further accelerate Sportradar’s robust revenue, adjusted EBITDA and free cash flow growth and will be immediately accretive to adjusted EBITDA margins.
Sportradar statement
Under the agreement, IMG ARENA will provide financial consideration of a total of $225 million for the transaction. This will include an upfront payment of $125 million in cash paid to Sportradar and up to $100 million in cash repayments made to certain of the sports rightsholders.
Sportradar, on the other hand, will not be required to pay any financial consideration to the Endeavor Group.
For context, IMG’s portfolio of betting rights comprises relationships with some 70 rightsholders covering approximately 39,000 official data events and 30,000 streaming events.
