Sportradar Group AG reported second-quarter 2026 results that missed analyst expectations for revenue and earnings, leading investors to react negatively as the sports technology company also reduced its full-year outlook.

Shares of Sportradar declined following the earnings announcement, falling as much as 17.9% during trading and reaching a new 52-week low. The stock later traded around $11.78 after previously closing at $14.54.

For the second quarter, Sportradar generated revenue of €377.8 million, representing a 19% increase compared with the same period last year. However, the result was below market expectations of approximately €381.9 million.

The company reported adjusted earnings of €0.00 per share, missing analyst estimates of €0.06 per share. Sportradar also recorded a net loss of €4 million for the quarter, compared with net income of €49 million during the same period in 2025.

The company attributed the decline primarily to foreign exchange movements. Sportradar recorded unrealized foreign exchange losses of €9 million during the quarter, compared with unrealized gains of €54 million a year earlier. The losses were mainly linked to currency fluctuations involving US dollar-denominated sports rights.

Revenue Growth Continues Across Core Segments

Despite the weaker financial results, Sportradar reported continued growth across its main business areas.

The Betting Technology & Solutions segment produced revenue of €313.6 million, an increase of 21% year over year. Within that segment, Betting & Gaming Content revenue climbed 27%, supported by demand for sports data, betting streaming rights and customer adoption following the acquisition of IMG ARENA.

Sports Content, Technology & Services revenue reached €64.2 million, up 8.8% compared with the previous year. Growth in Marketing & Media Services contributed to the increase, while Sports Performance revenue declined by 13%, primarily due to currency-related impacts.

As published in the official news release, adjusted EBITDA increased 19% year over year to €76.3 million, while the adjusted EBITDA margin improved slightly to 20.2% from 20.1%.

Operating cash flow increased 20% to €117 million, while free cash flow reached €59 million, representing a 14% increase.

Chief Executive Officer Carsten Koerl said the company’s results reflected continued demand for its technology and content services.

“Sportradar’s second-quarter financial growth, along with the progress we delivered across a variety of key strategic initiatives, reflects our mission-critical role at the center of the global sports ecosystem,” said Carsten Koerl, Chief Executive Officer, as reported by InvestorsHub.

Koerl also highlighted demand for the company’s offerings, saying: “Strong demand for our premium content, data and technology solutions, including increased monetization of our IMG ARENA rights portfolio, drove double-digit growth.”

Lower Forecast Adds Pressure On Investor Sentiment

Sportradar adjusted its 2026 guidance following the second-quarter results.

The company now expects full-year revenue between €1.518 billion and €1.533 billion, compared with the previous forecast of €1.56 billion to €1.58 billion. Constant-currency revenue growth is expected to reach 19% to 21%, down from the earlier range of 23% to 25%.

Adjusted EBITDA guidance was also reduced. Sportradar now forecasts adjusted EBITDA between €360 million and €368 million, compared with its previous expectation of €390 million to €400 million. The updated range represents projected growth of 24% to 27%, compared with the previous forecast of 34% to 37%.

The company did not provide a specific reason for the revised outlook, although it cited moderating US growth, foreign exchange pressures and higher expenses related to sports rights and operations.

Sports-rights expenses increased 29.7% to €137.8 million, mainly due to additional rights obtained through the IMG ARENA acquisition. Adjusted other operating expenses rose 41.8% to €34.6 million, reflecting costs in Brazil and legal expenses connected with expansion into adjacent markets.

These increases were partly offset by lower adjusted personnel expenses, which declined 3.6% to €76.8 million.

Revenue outside the US increased 20%, while US revenue grew 16% amid slower market growth.

Sportradar Maintains Expansion Plans

The company continues to develop new business opportunities, including partnerships related to prediction markets. Sportradar has expanded agreements with platforms such as Kalshi and Polymarket while continuing to strengthen its sports content portfolio.

Sportradar also repurchased $140 million worth of shares during the quarter and expanded its revolving credit facility to €250 million through 2031. Sportradar reported no outstanding debt at the end of the period, although cash declined to €251 million partly due to share buybacks and sports-rights investments.

Analysts continue to hold mixed views on the company’s outlook. According to MarketBeat, Sportradar has an average rating of “Moderate Buy” with an average target price of $22.47. Research firms have adjusted their price targets following the earnings announcement, with some maintaining positive ratings while others lowered expectations.