Sportradar shares in the red as Q4 earnings, full-year outlook fall short

Investing.com -- Sportradar Group AG (NASDAQ: SRAD) shares slid roughly 5% in premarket trading Wednesday after the company reported worse-than-expected earnings for the fourth quarter and offered a downbeat full-year guidance.

The company’s Q4 earnings per share (EPS) came in at breakeven, falling short of the EPS of $0.04 that analysts had expected.

Revenue for the quarter rose 22% year-over-year (YoY) to $307.07 million, better than the consensus estimate of $292.53 million.

Adjusted EBITDA for the period jumped 53% YoY to €60.6 million, also surpassing the estimated €56.3 million.

"We are pleased with our strong execution in 2024, achieving record revenue, operating margins and free cash flow generation,” said Carsten Koerl, CEO of Sportradar.

“Importantly, as we grow our topline, we are at an inflection point for multi-year margin expansion and increasing cash flow, positioning us to deliver meaningful shareholder value for years to come."

Sportradar’s guidance for the full fiscal 2025 fell short of expectations. The company projects revenue of $1.273 billion, below the consensus estimate of $1.37 billion.

It expects an adjusted EBITDA margin expansion of at least 200 basis points and free cash flow conversion to exceed the 2024 level of 53%.

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