Key Highlights

  • Group Revenue rose 64.7% YoY to $195.5 million in Q2 2026.
  • Group net loss widened to $76.7 million on transaction-related costs.
  • Full-year revenue guidance raised to $1.005-$1.025 billion.
  • Shares closed at $6.53, down $0.08, or 1%, at Tuesday's close.

Genius Sports Limited (NYSE:GENI)'s second quarter combined sharply higher group revenue and adjusted EBITDA with a wider net loss, as non-recurring transaction-related expenses and a smaller foreign currency gain weighed on the bottom line. Chief Executive Mark Locke said the company continues to realize the benefits of infrastructure it has built over several years, citing early synergies from its Legend acquisition.

GENI is a data, technology and broadcast services company serving the global sports, betting and media ecosystem, operating Betting Technology, Content and Services and Media segments following its Acquisition of Legend. The company holds official data rights with a number of major sports leagues, including an exclusive National Football League data and betting video rights agreement through the 2029 season.

Group revenue included $117.4 million from Betting Technology, Content and Services, up 28% year over year, which the company attributed to price increases on contract renewals, expansion of value-add services and growth in existing markets.

Second quarter 2026 compared with the prior-year quarter

Group net loss was $76.7 million in the second quarter, a $22.8 million increase from the $53.9 million loss a year earlier, which the company said reflected non-recurring transaction-related expenses and a $27.0 million decrease in foreign currency gain compared with the prior-year quarter. Group Adjusted EBITDA was $52.6 million, up 54% from $34.2 million, with an adjusted EBITDA Margin of 26.9%, which the company said was 258 basis points above the margin implied by its guidance.

Cost of revenue rose to $131.7 million from $109.8 million. Deferred revenue was $70.7 million, against $97.1 million. The company said quarter-end cash was $155 million, above the $140 million to $150 million range it had set the prior quarter.

Management outlook and stated risks

Management raised its full-year 2026 Group Revenue guidance to $1.005 billion to $1.025 billion from $990 million to $1.010 billion, and its Adjusted EBITDA guidance to $285 million to $295 million from $270 million to $280 million. The company said it expects a 2026 year-end cash balance of approximately $260 million, implying more than $100 million of total Cash Flow in the second half of the year.

For the fiscal third quarter ending September 30, 2026, management said it expects Group Revenue of approximately $260 million and Adjusted EBITDA of approximately $85 million. Chief Executive Mark Locke said synergies from the Legend acquisition are emerging faster than expected, though he said the full impact would be reflected in the company's 2027 results rather than detailed in advance.

Investment Takeaway

Management tied its near-term plans to expanding GeniusIQ distribution following technology and AI partnerships struck with Liga MX and the Swiss Football League during the quarter. On its earnings call, the company also discussed new data and integrity agreements signed with prediction market platforms Kalshi and Polymarket, which it said extend its infrastructure into a new category of the sports wagering ecosystem.