Q2 revenue more than doubled year-over-year to $55.8m

Second quarter Group Adj. EBITDA up 126% year-over year to $5.2m

Enhanced our technological capabilities with the acquisitions of Spirable, Second Spectrum and FanHub, supporting improved long-term customer traction

Announced multi-year strategic partnerships with DraftKings, Caesars, WynnBET and 888 SI Sportsbook to provide our full range of official sportsbook data and content and fan engagement solutions, including a complete suite of NFL-related products

Raised $435 million of primary and secondary proceeds in an upsized public offering

Tightening 2021 Group Revenue guidance at the high end of the previous range from $250-$260m to $255-$260m and reaffirming Group Adj. EBITDA guidance of $10-$20m

$ in thousands

Group Revenue

Betting Technology, Content & Services

Sports Technology & Services

Media Technology, Content & Services

Group Adj. EBITDA

Group Adj. EBITDA Margin

Group Revenue: Group revenue increased 108% year-over-year to $55.8 million, driven by significant growth in our core Betting Technology, Content & Services product, and supported by strong growth in the Sports and Media Technology businesses. On a constant currency basis, revenue increased $25.6 million, or 84% year-over-year.

Betting Technology, Content & Services: Revenue increased 122% year-over-year to $40.7 million. Growth in the business was driven by the return of sports calendars, increased market share, higher share of wallet through additional services for sportsbooks, and new customer wins.

Sports Technology & Services: Revenue increased 105% year-over-year to $7.2 million, driven by the inclusion of revenues relating to two acquisitions, Sportzcast, acquired in December 2020, and Second Spectrum, acquired in June 2021.

Media Technology, Content & Services: Revenue increased 62% year-over-year to $8.0 million, driven by increased advertising spend in the US and Europe alongside new key customer wins.

Group Adj. EBITDA: Group adjusted (non-GAAP) EBITDA increased to $5.2 million from $2.3 million, driven by revenue growth, strong operating leverage, and disciplined cost control.

Group Adjusted EBITDA margin was 9% in the quarter.

Agreed to new official partnerships with sports leagues and federations, including, but not limited to, Argentine Football Association (AFA), Professional Pickleball Association (PPA), and The Colombian Soccer Major Division (DIMAYOR).

Raised $435 million of primary and secondary proceeds in an upsized public offering. Genius intends to use the net primary proceeds for general corporate purposes.

Closed the two previously announced acquisitions of FanHub and Second Spectrum, demonstrating efficient M&A integration.

Named “Acquisition & Retention Partner of the Year” at this year’s EGR North America Awards, which recognizes companies that “excelled as a marketing partner to sportsbook and iGaming operators during the past 12 months.”

Announced multi-year strategic partnerships with DraftKings, Caesars, WynnBET and 888 SI Sportsbook to provide our full range of official sportsbook data and content and fan engagement solutions, including a complete suite of NFL-related products.

Announced acquisition of Spirable, a leading creative performance platform that will enable Genius to combine official data-driven marketing with curated video content to deliver a more personalized fan experience.

Announced strategic partnership with MEDIAPRO Canada, to grow Canadian soccer fan engagement and further strengthen both Genius Sports and MEDIAPRO’s existing relationships with the sport.

Genius was granted a permanent sports wagering license by the West Virginia Lottery Commission, marking our commitment to supporting the development of, and operating in, regulated territories in partnership with fully licensed sportsbooks.

Secured a multi-year agreement with the British Columbia Lottery Corporation (BCLC), to support its sportsbook operations as Canada legalizes single-event sports wagering.

Genius was granted a long-term Online Sports Wagering Vendor Permit by the Wyoming Gaming Commission.

Appointed Kim Williams-Bradley to Genius Sports’ Board of Directors, bringing over two decades of experience in key leadership positions within sports and media, including the NFL, WTA, Core Media Group and Warner Bros. Entertainment Group.

Appointed Former NFL Network and ESPN CEO, Steve Bornstein, to the newly created executive role of President, North America.

Revenue

Cost of revenue

Gross (loss) profit

Operating expenses:

Sales and marketing

Research and development

General and administrative

Transaction expenses

Total operating expense

Loss from operations

Interest income (expense), net

Gain (loss) on disposal of assets

Change in fair value of derivative warrant liabilities

Gain (loss) on foreign currency

Total other income (expenses)

Loss before income taxes

Income tax benefit (expense)

Net loss

Net loss per common share:

Basic and diluted

Weighted average common stock outstanding:

Basic and diluted

ASSETS

Current assets:

Cash and cash equivalents

Accounts receivable, net

Contract assets

Prepaid expenses

Other current assets

Total current assets

Property and equipment, net

Intangible assets, net

Goodwill

Deferred tax asset

Other assets

Total assets

LIABILITIES, TEMPORARY EQUITY AND SHAREHOLDERS’ DEFICIT

Current liabilities:

Accounts payable

Accrued expenses

Deferred revenue

Current debt

Derivative warrant liabilities

Other current liabilities

Total current liabilities

Long-term debt – less current portion

Deferred tax liability

Other liabilities

Total liabilities

Temporary equity:

Preference shares, $0.0001 par value, none authorized, issued and outstanding at June 30, 2021; 218,561,319 shares authorized, issued and outstanding at December 31, 2020

Total temporary equity

Shareholders’ deficit

Common stock, $0.01 par value, unlimited shares authorized, 186,459,124 shares issued and outstanding at June 30, 2021; 70,040,242 shares authorized, issued and outstanding at December 31, 2020

B Shares, $0.0001 par value, 22,500,000 shares authorized, 18,500,000 shares issued and outstanding at June 30, 2021; none authorized, issued and outstanding at December 31, 2020

Additional paid-in capital

Accumulated deficit

Accumulated other comprehensive income

Total shareholders’ deficit

Total liabilities, temporary equity and shareholders’ deficit

Cash Flows from operating activities:

Net loss

Adjustments to reconcile net loss to net cash provided by (used in) operating activities:

Depreciation and amortization

Loss (gain) on disposal of assets

Stock-based compensation

Change in fair value of derivative warrant liabilities

Non-cash interest expense (income), net

Amortization of contract cost

Deferred income taxes

Loss (gain) on foreign currency remeasurement

Changes in assets and liabilities

Effect of business combinations

Accounts receivable, net

Contract asset

Prepaid expenses

Other current assets

Other assets

Accounts payable

Accrued expenses

Deferred revenue

Other current liabilities

Other liabilities

Net cash provided by (used in) operating activities

Cash flows from investing activities:

Purchases of property and equipment

Capitalization of internally developed software costs

Repayment of executive loan notes

Purchases of intangible assets

Acquisition of business, net of cash acquired

Proceeds from disposal of assets

Net cash used in investing activities

Cash flows from financing activities:

Proceeds from merger with dMY Technology Group, Inc. II

dMY Technology Group, Inc. II transaction costs

Capitalization of Genius transaction costs

PIPE financing, net of equity issuance costs

Issuance of common stock in connection with additional equity offering, net of equity issuance costs

Issuance of B shares

Preference shares payout and Incentive Securities Catch-Up Payment

Repayment of loans and mortgage

Proceeds from shareholder deposits

Net cash provided by financing activities

Effect of exchange rate changes on cash

Net increase (decrease) in cash

Cash, beginning of period

Cash, end of period

Supplemental disclosure of cash activities:

Cash paid during the period for interest

Cash paid during the period for income taxes

Supplemental disclosure of noncash investing and financing activities:

Preferred share accretion

Conversion of preference shares to common stock

Warrants acquired as part of merger with dMY Technology Group, Inc. II

Consolidated net loss

Adjusted for:

Net, interest expense

Income tax expense (benefit)

Amortization of acquired intangibles ⁽¹⁾

Other depreciation and amortization ⁽²⁾

Stock-based compensation ⁽³⁾

Transaction expenses

Litigation and related costs ⁽⁴⁾

Change in fair value of derivative warrant liabilities

Other ⁽⁵⁾

Adjusted EBITDA

Includes amortization of intangible assets generated through business acquisitions, inclusive of amortization for data rights, marketing products, and acquired technology.

Includes depreciation of Genius’ property and equipment, amortization of contract cost, and amortization of internally developed software and other intangible assets. Excludes amortization of intangible assets generated through business acquisitions.

Includes restricted shares and stock options granted to employees and directors and equity-classified non-employee awards issued to suppliers.

Includes mainly legal and related costs in connection with non-routine litigation matters including Sportradar litigation and BetConstruct litigation.

Includes gain/losses on disposal of assets, gain/losses on foreign currency and expenses incurred related to earn-out payments on historical acquisitions.