Q2 2025 Genius Sports Ltd Earnings Call

Van: Thank you for standing by. My name is Van, and I will be your conference operator today. At this time, I would like to welcome everyone to the Genius Sports Q2 2025 earnings results call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you would like to ask a question during this time, simply press star, followed by the number one on your telephone keypad. If you would like to withdraw your question, press star one again. Thank you. I would now like to turn the call over to Genius Sports. Please go ahead.

Thank you for standing by. My name is van and I will be your conference operator. Today at this time I would like to welcome everyone to the genius Sports second quarter 2025 earnings results. Call all lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session.

If you would like to ask a question during this time, simply press star followed by the number 1 on your telephone keypad,

If you would like to withdraw your question, press star 1 again.

Thank you.

I would now like to turn the call over to genius Sports. Please go ahead.

Operator: Thank you and good morning. Before we begin, we would like to remind you that certain statements made during this call may constitute forward-looking statements that are subject to risks that could cause our actual results to differ materially from our historical results or from our forecast. We assume no responsibility for updating forward-looking statements. Any such statements should be considered in conjunction with cautionary statements in our earnings release and risk factor discussions in our filings with the SEC, including our annual report on Form 20-F filed with the SEC on March 14, 2025. During the call, management will also discuss certain non-GAAP measures that we believe may be useful in evaluating Genius Sports' operating performance. These measures should not be considered in isolation or as a substitute for Genius Sports' financial results prepared in accordance with U.S. GAAP.

Thank you and good morning before we begin. We'd like to remind you that certain statements made. During this call May constitute. Forward-looking statements that are subject to risks that could cause our actual the different materially from our historical results. Or from our forecasts, we assume no responsibility for updating forward-looking statements. Any such statements should be considered in conjunction with cautionary. Statements in our earnings release and risk factor discussions in our filings, with the SEC, including our annual report on form, 20f filed with the SEC on March 14th 2025.

Operator: A reconciliation of these non-GAAP measures to the most directly comparable U.S. GAAP measures is available in our earnings press release and earnings presentation, which can be found on our website at investors.geniussports.com. With that, I will now turn the call over to our CEO, Mark Locke.

During the call management will also discuss certain non-gaap measures that we believe may be useful in evaluating Geniuses operating performance. These measures should not be considered in isolation or as a substitute for geniuses Financial results prepared in accordance with us, gaap.

A Reconciliation of these non-gaap measures to the most directly comparable us. Gaap measures is available in our earnings press release and earnings presentation, which can be found on our website at investors.gov.

Mark Locke: Good morning, everyone, and I hope you're enjoying the summer. Today, I'm pleased to report another quarter's strong financial results, further demonstrating the operating leverage and predictability of our business model. In the second quarter, we achieved a 24% growth in group revenue and a record high group adjusted EBITDA margin of 29%. We are also excited to share that we're raising our full-year guidance this quarter, driven by continued momentum in the underlying business, as well as a few major deals we've announced recently. We now expect to generate group revenue and adjusted EBITDA of $645 million and $135 million, respectively. These recent commercial wins highlight our favorable business model and reflect a strong validation of our strategy and the progress we've made executing against it.

With that, I'll now turn the call over to our CEO markwell.

Good morning, everyone. I hope you're enjoying the summer today. I'm pleased to report another quarter of strong financial results, further demonstrating the operating leverage and predictability of our business model. In the second quarter, we achieved a 24% growth in group revenue and a record-high group adjusted EBITDA margin of 29%.

We are also excited to share that we're raising our full-year guidance. This quarter was driven by continued momentum in the underlying business, as well as a few major deals we've announced recently.

We now expected to generate group revenue and adjusted ebit da of 645 million and 135 million respectively.

Mark Locke: Over the last few years, I've been clear about my ambition to distribute our technology across the globe in as many stadiums and with as many leagues as possible, and why it is so strategically important. The recent successes from this quarter are clear examples of how we're shaping the future of league partnerships and why we're even more confident about our path forward. First, our GeniusIQ platform was on full display for the FIBA Under-19 Basketball World Cup last month. As part of our long-standing partnership with FIBA, dating over 20 years, we're now delivering computer vision and AI technology to power the next generation of fan engagement. For instance, this tournament included real-time optical tracking data, augmented broadcasts to deliver immersive viewing experiences for fans, and rich performance insights for coaches and players to optimize training and game strategies.

These recent commercial wins. Highlight, our favorable Mrs. Bottle and reflect, a strong, validation of our strategy, and the progress we've made executing against it.

Over the last few years, I have been clear about my ambition to distribute our technology across the globe in as many stadiums and with as many leagues as possible. And why it is so strategically important, the recent successes from this quarter are clear examples of how we're shaping the future of League Partnerships and why we're even more confident about our path forward.

First, our genius IQ platform was on full display for the fever under 19, basketball World Cup last month.

As part of our long-standing partnership with fever dating over 20 years, we're now delivering computer vision and AI technology to power the next generation of fan engagement.

For instance, this tournament included real-time optical tracking data.

Mark Locke: GeniusIQ is a single platform utilizing computer vision, AI, and machine learning to power many solutions for leagues and teams, sports books, broadcasters, and advertisers. This technology is integral to FIBA's operations and plays a critical role in unlocking new monetization opportunities for the next 10 years of our exclusive partnership with Global Basketball. GeniusIQ is also playing an increasingly central role in the world of soccer. Whether it's powering coaching tools, broadcast augmentations, BetVision, or Semi-Automated Offside Technology (SAOT), our technology is helping to modernize the game. We're addressing critical needs for leagues and rapidly scaling these innovations across the globe. It is also what makes us an indispensable partner to leagues and federations and extremely difficult to replace.

Augmented broadcast to deliver immersive viewing experience for fans and Rich performance, insights for coaches and players to optimize training and gain strategies.

Genius IQ is a single platform that utilizes computer vision, AI, and machine learning to power many solutions for leagues and teams, sportsbooks, broadcasters, and advertisers. This technology is integral to Fever's operations and plays a critical role in unlocking new monetization opportunities for the next 10 years of our exclusive partnership with Global Basketball.

Genius IQ is also playing an increasingly Central role in the world of soccer.

That Vision or semi-automated off sides. Our technology is helping to modernize the game.

We're addressing critical needs for leagues and rapidly scaling these innovations across the globe.

Mark Locke: This technology is a clear differentiator and a key reason why we have won major rights deals in the last few weeks. I will quickly highlight a few high-profile examples to demonstrate how our strategy is working. First, we have just won the exclusive data and streaming rights to Serie A, the top professional soccer league in Italy and among the highest quality content globally. For those less familiar with the European sports betting landscape, Italy is the largest market in Europe in terms of annual GGR, making Serie A one of the most valuable rights in Europe. These rights became available after Stats Perform withdrew from its contract last year. Serie A ultimately chose Genius Sports based on a more holistic partnership centered around technology capabilities rather than rights fees alone.

It is also what makes us an indispensable partner to leagues and federations and extremely difficult to replace.

This technology is a clear differentiator and a key reason why we have won major rights deals in the last few weeks, I'll quickly highlight a few high-profile examples to demonstrate how our strategy is working.

First, we've just won the exclusive data and streaming rights to Syria. The top professional soccer league in Italy and among the highest quality content globally.

And for those less familiar with the European sports betting, landscape, Italy is the largest market in Europe in terms of annual ggr making Syria 1 of the most valuable rights in Europe.

These rights became available after stats performed with Drew from its contract last year.

Mark Locke: For instance, we now plan to launch BetVision for Serie A, driving even greater fan engagement and betting volume through a differentiated immersive interface. This further illustrates the difference in our strategic approach and why we are winning major rights deals on a cost-effective basis. We have also just signed a deal to provide the Belgian Pro League with Semi-Automated Offside Technology (SAOT), further expanding our global distribution of GeniusIQ. This deal also marked an important launchpad to a much larger partnership with the European leagues, which brings me to the next major announcement. Our technology has just won us the exclusive rights to the European leagues from IMG Arena. There are several reasons why I am excited about this and why we believe it marks a critical turning point for Genius.

Syria ultimately chose genius Sports based on a more holistic partnership centered around technology capabilities rather than rights fees alone. For instance we now plan to launch bet vision for Syria driving, even greater fan engagement and betting volume through a differentiated immersive interface.

This further illustrates the difference in our strategic approach and why we are winning major rights deals on a cost-effective basis.

We've also just signed a deal to provide Belgian pro league with semi-automated offside technology further expanding our global distribution of genius IQ. This deal also marked an important launch pad to a much larger partnership with the European leagues which brings me to the next major announcement.

Our technology.

Mark Locke: First, this gives us exclusive rights to thousands of top-tier soccer events spanning 18 different member competitions across Europe. This, along with Serie A and our existing portfolio, including the English Premier League and several others, has tipped the scales and given Genius a leading position in European soccer. We have won these rights because of our differentiated technology, resulting in reduced rights fees that are just a fraction of what IMG Arena had previously paid. This also sets the foundation for a long-term collaborative partnership with the European leagues, as GeniusIQ will become the new technology infrastructure to support several future initiatives. As our technology is deployed across hundreds of venues, these leagues and teams will begin to rely more heavily on this, making GeniusIQ incredibly sticky and difficult to replace.

Has just won US the exclusive rights to the European leagues from IMG arena. There are several reasons why I'm excited about this and why we believe it marks a critical turning point for genius.

First this gives us exclusive rights to thousands of top tier soccer events spanning 18, different member competitions across Europe.

This along with Siri app and our existing portfolio, including the English Premier League and several others has tipped the scales and given genius a leading position in European soccer.

We've won these rights because of our differentiated technology resulting in reduced rights fees, that are just a fraction of what IMG Arena had previously paid.

This also sets the foundation for a long-term collaborative partnership with the European leagues, as Genius IQ will become the new technology infrastructure to support several future initiatives.

Mark Locke: This creates a sustainable long-term model with high barriers to entry and lays the groundwork for additional monetization opportunities for many years. This partnership further demonstrates how we are fundamentally transforming the traditional rights model. By leveraging our technology to secure rights deals, we are reducing rights costs while deepening our competitive moat and paving the way for future technological advancements. The evolution of the rights market is shifting the competitive dynamics in our favor, and these deals continue to validate our strategy. We have also extended and expanded our partnership with the NFL. Over the last four years, we have delivered on several tech initiatives, and we continue to expand our product roadmap to support some of the NFL's next strategic opportunities. This reflects our strong relationship that we have built over the past four years and represents a natural evolution of our continued collaboration.

As our technology is deployed across hundreds of venues. These leagues and teams will begin to rely more heavily on this making genius IQ, incredibly sticky and difficult to replace.

This creates a sustainable long-term model with high barriers to entry and lays the groundwork for additional monetization opportunities for many years.

This partnership further demonstrates, how we are fundamentally transforming, the traditional rights model by leveraging, our technology to secure rights deals, we are reducing rights costs while deepening our competitive mode and Paving the way for future technological advancements.

The evolution of the rights Market is Shifting, the competitive Dynamics in our favor, and these deals continue to validate our strategy.

And finally, we've also extended and expanded our partnership with the NFL.

Over the last 4 years, we've delivered on several technicians and we continue to expand our product road map to support some of the NFL's. Next strategic opportunities.

Mark Locke: This deal now extends our exclusive betting data rights through to the 2030 Super Bowl. We have also extended our watch and bet rights for in-market and national NFL games on phone and tablet to be co-terminus with our data rights, allowing us to continue providing BetVision to the global sports betting market for at least the next five NFL seasons. BetVision has proven to drive more interactive engagement and live betting over the last two seasons, and we are excited to continue innovating this product even further. On that note, this expanded partnership also gives us exclusive rights to sell select in-game advertising inventory on BetVision. This unique inventory can only be accessed through FanHub and further strengthens our value proposition to advertisers. In fact, this inventory has already been sold out up front of the upcoming NFL season, a clear signal of demand for this type of offering.

This reflects our strong relationship that we've built over the past 4 years and represents a natural evolution of our continued collaboration.

This deal. Now extends our exclusive betting data rights through to the 2030 Super Bowl.

We've also extended our watch and bet rights for in-market and National NFL games on phone and tablet to be co-terminus with our data rights. Allowing us to continue providing bet Vision to the global sports, betting market for, at least the next 5 NFL seasons.

that Vision has proven to drive more interactive engagement and live betting over the last 2 seasons and we're excited to continue innovating this product even further

On that note, this expanded partnership also gives us exclusive rights to sell Select in-game Advertising, inventory on BET vision.

To advertisers.

Mark Locke: We are now feeling more confident than ever about FanHub's continued growth potential in the second half of this year. As such, we now expect full-year media revenue growth of at least 20%, up from our initial forecast for low to mid-teens growth for the full year. We continue to make key advancements to the FanHub platform, giving advertisers more tools to manage and measure digital advertising campaigns and targeting sports audiences. Additionally, we have maintained a consistent presence at industry events and even hosted our own new front in New York City, attracting over 300 attendees, including several agencies and direct brands.

In fact, this inventory has already been sold out up front of the upcoming NFL season. A clear signal of demand for this type of offering.

We are now feeling more confident than ever about fan. Hubs continued growth potential in the second half of this year.

As such we now expect full year media, Revenue growth of at least 20% up from our initial forecast for low to mid teens growth for the full year.

We can continue to make key advancements to the fanhub platform. Giving advertisers more tools to manage and measure digital advertising campaigns and targeting Sports audiences.

Mark Locke: As a result, we have signed several deals with well-known brands this year, including Walmart, Pepsi, Dairy Queen, and Yeti, just to name a few. We have also just announced a major deal with a major advertising agency, PMG, who represents some of the biggest brands in the world, including Apple, Nike, Best Western, TurboTax, Beats by Dre, and several others. Our media business has substantial long-term growth potential as we continue to broaden our customer base to include non-betting brands and agencies. FanHub is gaining significant traction, as evidenced by our recently announced partnerships. With advertisers increasingly allocating budgets to live sports, Genius is well-positioned to capitalize on this growing market opportunity.

Additionally, we've maintained a consistent Presence at industry events and even hosted our own new front in New York City attracting over 300 attendees, including several agencies and direct brands

As a result, we've signed several deals with well-known brands this year, including Walmart, Pepsi, Dairy Queen, and Yeti, just to name a few.

We've also just announced a major deal with a major advertising agency, PMG who represents some of the biggest brands in the world, including Apple Nike Best, Western Turbo, Tax Beats by Dre and several others.

A media business has substantial long-term growth potential as we continue to broaden, our customer base to include non-b Brands and agencies.

Fanhub is gaining significant traction as evidenced by our recently announced Partnerships.

With advertisers increasingly allocating budgets to live sports, Genius is well positioned to capitalize on this growing market opportunity.

Mark Locke: In summary, the key takeaways from this quarter are simple. We are seeing strong momentum across all aspects of the business. We have won major deals that will drive additional revenue in both betting and media, allowing us to raise our guidance for the year. We are leveraging our technology to win key rights deals in a cost-effective manner while shifting the competitive dynamics in our favor and widening the competitive moat. Our technology is differentiated and difficult to displace, further solidifying our long-term position with leagues and federations on a global scale. This technology is also unlocking additional monetization opportunities, enabling us to maintain consistent long-term revenue growth. We now have certainty of our largest fixed costs over a multi-year period, paving a clear path for continued EBITDA margin expansion to our long-term target of at least 30%. We are well-positioned for continued near-term and long-term financial success.

In summary, the key takeaways from this quarter are simple.

We're seeing strong momentum across all aspects of the business. We've won major deals, that will drive additional Revenue in both betting and media allowing us to raise our guidance for the year.

We're leveraging our technology to win Key rights deals in a cost-effective manner. While shifting, the competitive Dynamics in our favor, and widening the competitive mode.

Our technology is differentiated and difficult to displace, further solidifying our long-term position with the leagues and federations on a global scale.

This technology is also unlocking, additional monetization opportunities enabling us to maintain consistent long-term Revenue growth.

And we now have certainty of our largest fixed costs over a multi-year period, Paving a clear path for continued ebitda margin expansion to our long-term Target of at least 30%.

Mark Locke: I will now turn to Nick to discuss the quarter's results in more detail. First, I would like to acknowledge the CFO transition we announced this morning. As we have indicated in the last few calls, the gravitational center of the business is shifting to New York as the U.S. becomes an increasingly important part of our strategy. We've expanded our U.S. senior leadership team, as previously announced, and we're excited to now welcome Brian Castellani, who will join Genius Sports in New York as Chief Financial Officer. Brian brings over 20 years of experience across some of the most distinguished media organizations in the world, including ESPN, the Walt Disney Group, and more recently, Warner Music Group, where he served as CFO.

We are well positioned for continued near-term and long-term financial success. I will now turn to Nick to discuss the quarter's results in more detail. But first, I'd like to acknowledge the CFO transition we announced this morning, as we have indicated in the last few calls. The gravitational center of the business is shifting to New York, as the U.S. becomes an increasingly important part of our strategy. We've expanded our U.S. senior leadership team, as previously announced, and we're excited to now welcome Brian Castellani, who will join Genius Sports in New York as Chief Financial Officer.

Mark Locke: I'd like to sincerely thank Nick for his dedication to Genius Sports over the last six years, as he has been an integral part of our growth and transformation as a public company. Nick will remain actively engaged to help facilitate a smooth and orderly transition. We wish Nick the best of luck in his next endeavor and look forward to formally introducing Brian on our next call.

Brian brings over 20 years of experience across some of the most distinguished media organizations in the world, including ESPN, the Walt Disney Group, and more recently, Warner Music Group, where he served as CFO. I would like to sincerely thank Nick for his dedication to Genius Sports over the last six years, as he has been an integral part of our growth and transformation as a public company. Nick will remain actively engaged to help facilitate a smooth and orderly transition.

We wish Nick the best of luck in his next Endeavor and look forward to formally introducing Brian on our next call.

Nicholas Taylor: Thank you, Mark. The past six years have been an incredible journey, and I am really confident that Brian and the entire team are well-equipped to drive continued growth, operating excellence, and long-term value creation for the shareholders. Continuing to the results, Q2 is typically a straightforward quarter for us, given the quieter sporting calendar this time of year. As such, most revenue in the quarter was derived from fixed-fee sports book contracts outside of the U.S., where we have much higher predictability. Our results were largely in line with expectations. Betting revenue increased 30% year-on-year to $88 million. This increase was largely the result of price increases from contract renewals and expansion of value-added services and products, like BetVision for Soccer, for example, which was launched in the quarter. Media revenue returned to growth this quarter, increasing 4% year-on-year to $19 million.

Thank you, Mark.

The past 6 years have been an incredible journey.

And I'm really confident that Brian. And the entire team are well equipped to drive continued growth. Operating excellence and long-term value creation for the shareholders.

Now, continuing to the results.

Q2 is typically a straightforward quarter for us. Given the quieter sporting calendar this time of year.

As such.

Most Revenue in the quarter was derived from fixed fees sports book contracts, outside of the US.

Where we have much higher predictability.

So, our results were largely in line with expectations.

Betting, Revenue increased 30%, year-on-year to 88 million.

Value added services and products like that vision for soccer, for example, which was launched in the quarter.

Nicholas Taylor: Again, given the quieter sporting calendar in the summer months, we expect most of this year's growth will occur in the second half, during the peak season for major sporting events. As Mark highlighted, we have also just signed an exciting new deal with PMG, which should contribute near-term revenue and further support this growth. With this in mind, we are now tracking above our initial expectations of low to mid-teens media revenue growth the full year, and we now expect growth in the low 20s. Our sports tech revenue increased 22% year-on-year to $13 million. As you have heard Mark discuss, leagues and federations across the globe are utilizing GeniusIQ to empower many key objectives, ranging from automated officiating, coaching tools, broadcasting technology, and much more. This technology is gaining strong momentum and is now driving meaningful revenue growth as we continue to scale this globally.

Media Revenue returned to growth this quarter, increasing 4% year-on-year to 19 million.

Again, given the quieter sporting calendar in the summer months.

We expect most of this year's growth will occur in the second half, during the peak season for major sporting events.

As Mark highlighted.

we've also just signed an exciting new deal with PMG which should contribute near-term revenue and further support this growth,

With this in mind.

We are now tracking above our initial, expectations of low to mid teens media Revenue growth this year.

And we now expect growth in the low 20s.

Our Sports Tech Revenue, increased 22% year-on-year to 13 million.

As you've heard, Mark discuss.

Leagues and federations are the globe are utilizing, genius IQ to empower many key objectives. Ranging from automated officiating, coaching tools broadcasting technology, and much more.

This technology is getting strong momentum and is now driving meaningful revenue growth.

as we continue to scale this globally,

Nicholas Taylor: Turning quickly to costs, we continue to take a disciplined approach in managing cash operating expenses. That said, you will see a one-time increase in stock-based compensation in the second quarter, primarily tied to the tranche of warrants issued to the NFL as part of our expanded partnership, which vested upon announcement. To be clear, the equity component of our NFL partnership is unique, and we do not expect to offer equity to any other leagues in the future. Otherwise, we want to emphasize that this is a non-recurring increase, and our cost base remains well controlled, and we continue to demonstrate strong operating leverage. To further illustrate our operating leverage, we have now generated over $47 million of group revenue and added $26 million of group adjusted EBITDA through the first half of the year, representing a 55% incremental margin.

Turning quickly to costs.

We continue to take a disciplined approach in managing cash operating expenses.

that said,

you'll see a 1-time increase in stock based compensation in the second quarter.

Primarily tied to the Triumph of warrants issued to the NFL as part of our expanded partnership which vested upon announcement.

To be clear.

The equity component of our NFL partnership is unique and we do not expect to offer Equity to any other leagues in the future.

Otherwise, we want to emphasize that this is a non-recurring increase.

and our cost base remains well controlled, and we continue to demonstrate strong operating Leverage

to further illustrate our operating, Leverage

We have now generated over 47 million of group revenue and added 26 million of group, adjusted debit de to the first half of the year.

Nicholas Taylor: In Q2 specifically, our group revenue growth contributed to adjusted EBITDA at a 57% incremental margin. This resulted in group adjusted EBITDA growth of 64% year-on-year to $34 million. This also translated to 700 bps of margin expansion, setting a new quarterly record margin of 29%. Given the exciting developments you have heard from Mark Locke, we are now raising our group revenue and adjusted EBITDA guidance to $645 million and $135 million, respectively. This equates to 26% group revenue growth, 57% growth in adjusted EBITDA and over 400 basis points of EBITDA margin expansion to 21%. To be clear, as it relates to FX, our reiterated guidance from the Q1 earnings call in May assumed some level of appreciation of the sterling against the U.S. dollar through the year.

Representing a 55% incremental, margin.

In Q2 specifically.

our group Revenue growth contributed to adjusted ebit da

at a 57%, incremental margin.

This resulted in group adjusted EVA dog growth of 64% year-over-year, reaching $34 million.

This also translated to 700 bits of margin expansion. The new quarterly record margin of 29%.

Given the exciting developments you've heard from Mark.

We are now raising our group revenue and adjusted IBA Dar guidance to 645 million and 135 million respectively.

This equates to 26% group Revenue growth.

57% growth in adjusted ebit da

And over 400 basis points of EBITDA margin extension to 21%.

To be clear as it relates to FX.

Nicholas Taylor: Based on our current forecast, the difference in our estimates using today's exchange rate is immaterial, and therefore, our increased guidance is a function of our newly announced partnerships and the strong underlying business performance rather than any FX impact. Our increased guidance for the year is primarily driven by betting and media. As I said, we expect our full-year media revenue to increase year-on-year to the low 20% range and our betting revenue to increase by about 30%, consistent with the last two years. We also expect to increase our annual cash flow in the year, with most of the cash inflow occurring in the second half of the year, which again is consistent with prior years. As we conclude our prepared remarks, it is worth reiterating our confidence in both the near-term and long-term model.

Are reiterated guidance from the q1 earnings call in May assumed some level of appreciation, of the Sterling against the US dollar through the year.

Based on our current forecast.

The difference in our estimates, using today's exchange rate, is immaterial.

and therefore our increased guidance is a function of our newly announced Partnerships and the strong underlying business performance rather than any FX impact.

Our increased guidance for the year is primarily driven by betting in Media.

As I said, we expect our full year media Revenue to increase year-on-year to the low 20% range, and our betting Revenue to increase by about 30% consistent with the last 2 years.

We also expect to increase our annual cash flow in the year.

With most of the cash inflow occurring in the second half of the year, which again is consistent with prior years.

Nicholas Taylor: We remain very well-positioned for continued margin expansion and cash flow growth for the next several years, especially as we have just extended our largest rights agreement through the end of the decade on a fixed cost basis. This gives us even greater visibility and predictability moving forward. We are also continuing to validate our core strategy through consistent execution, giving us strong momentum as we enter the peak sporting calendar in just a couple of months. We look forward to updating you again next quarter. In the meantime, we now conclude our remarks and open the line to Q&A.

It is worth reiterating our confidence in both the near-term and long-term model.

We remain very well positioned for continued margin expansion and cash flow growth for the next several years.

Especially as we've just extended our largest rights agreements through the end of the decade on a fixed cost basis.

This gives us even greater visibility and predictability moving forward.

We are also continuing to validate our core strategy to consistent execution.

Giving us strong momentum as we enter the peak sporting calendar in just a couple of months.

We look forward to updating you again, next quarter. And in the meantime, we now conclude our remarks and open the line to Q&A.

Operator: At this time, I would like to remind everyone, in order to ask a question, press star then the number one on your telephone keypad. Please limit your question to one and one follow-up. We will pause for just a moment to compile the Q&A roster. Your first question comes from the line of Jordan Bender from Citizens. Please go ahead.

At this time, I would like to remind everyone in order to ask a question press star and then the number 1 on your telephone keypad.

Please limit your question to 1 and 1 follow up. We will pause for just a moment to compile the Q&A roster.

Mark Locke: Hey, everyone. Good morning. I assume the tie-up between ESPN and the NFL can have some sort of positive impact on the business. Mark Locke, I am wondering if you can maybe give your view on where you believe it enhances any of your technology offerings. Thank you.

Your first question comes from the line of Jordan Bender from citizens. Please go ahead.

Everyone, good morning. Um, I assume to tie up between ESPN and the NFL can have some sort of positive impact on the business. Mark, I'm wondering if you can, maybe give your view on where you believe it. Enhances any of your technology offerings. Thank you.

Mark Locke: Yeah. I mean, clearly, we see this as a positive thing for the business. We've been investing heavily in media tech around this space for a long time. I mean, obviously, it's pretty early days, so we don't want to comment too far. But you know, clearly, the areas of our investment, what you've seen through things like BetVision, some of the augmentation that we've done, as well as some of the ad provisioning that we've been investing in and monetizing recently, we expect to be having positive conversations with them around that.

Yeah, I um, this, I mean, clearly we see this as a positive thing for for the business we've been investing heavily in um, Media Tech, um, around this space, um, for a long time. Um, I mean, obviously it's pretty early days, so we don't want to comment to too far. But, um, you know, clearly we, you know, that the areas of our investment, what you've seen through, um, you know, things like bet Vision. Some of the, um, augmentation that we've done as well as some of the ad provisioning that we've, um, you know, been investing in and, and, and monetizing recently. Um, we we, we, you know, we expect to be having positive conversations with them around that

Mark Locke: Great. Thank you. I just want to follow up on FanHub and the marketing platform. I think people generally have a hard time translating maybe the earnings power of some of the recent announcements with FanHub to the business in the medium and long term. I was wondering if you can maybe just elaborate on that revenue potential, whether it is the size of the opportunity over time or how big of that piece can be an overall part of your business, just any color that can kind of help us model that out over the next couple of years.

Great. Thank you. Um, and I just want to follow up on Fan Hub and the marketing platform. You know, I think people generally have a hard time translating maybe the earnings power of some of the recent announcements with fanhub to the business in the medium and long term. I was wondering if you could maybe just elaborate on that Revenue potential whether it's the size of the opportunity, uh, over time or how big of, uh, that piece can be can be

The overall part of your business. Um, just any color that can kind of help us kind of model that out over the next couple years.

Mark Locke: Sure. Yeah. It is pretty simple. The way we think about it is we think about it in terms of spend and customers. So the number of customers that we have got exposure to and the amount of spend that the advertising community wants to put through to those specific kind of sports fans. The media business is performing, as you can see, much better than the last quarter. I think we were a little behind where we wanted to be, if we are honest. That has rebounded back very nicely. Again, we are seeing strong growth coming out of that over the rest of the year. We expect the media business size-wise to be at least the same size as, and frankly, longer term in excess of the size of the betting business on a medium to long-term basis.

Sure. Yeah, I mean it's pretty simple. I mean, it's the way we think about it is we think about um, in terms of, um, spend and customers. So the the, you know, the number of customers that that, that we've got exposure to and the amount of spend that the advertising, um, you know, Community want to, um, you know, put through to those specific and sports fans. Um, the the, the the, you know, the the, the media business um, is, is performing as as you can see, um, much better than than, um, you know, the, the last quarter. I think we were a little little behind where we wanted to be, if we're, If we're honest. Um, and, um, that's rebounded back, very nicely. And again, we're seeing strong growth coming out of that over the, um, over the rest of the year. Um, we expect the media business size-wise to, you know, be at least the um, the same size as and and, you know, frankly longer term in excess of the size of the betting business um on a medium to long-term basis.

Mark Locke: Great. Thank you. Nick, best of luck.

Great. Thank you and Nick best of luck.

Operator: Your next question comes from the line of Barry Jonas from Truist. Please go ahead.

Your next question comes from the line of Barry. Jonas from truist. Let's go ahead.

Analyst: Hey, guys. Yesterday, a competitor noted they couldn't make the math work for Serie A and the European leagues. Appreciate the very helpful comments so far on the call. But maybe walk through a little more of your financial or ROI expectations for those contracts. Thanks.

Hey guys. Um, yesterday a competitor noted, they couldn't make the math work for Syria in the European leagues. Uh appreciate the very helpful comments so for so far on the call but maybe walk through a little more of your financial or Roi expectations for those contracts. Thanks.

Mark Locke: Look, I mean, we have got a pretty high bar for making these deals give us a positive return. We have been pretty clear about historically that we have got all the rights that we need and would only enter into deals if those rights deals generated positive returns. So, we have had that focus. The specific deal that I think you are referring to meets all of those criteria, and it is something that we feel very positive about. Clearly, the business has invested a lot over the last few years in technology, and we have been pretty clear that over the course of that investment that we would be seeing a reduction in rights fees and our ability to trade technology for improved commercial deals.

Mark Locke: It is something that we are starting to see across all of the rights deals that we are doing and all of the relationships with the sports leagues that we are having. So, we feel very positive about the deals that we have done. They meet the criteria that we have been very, very clear about with you guys in the past. It is pushing up our EBITDA. It is pushing up our revenue. They are immediately accretive. Again, it really is proving the model that we have been championing for a long time and the investments that we have been making in that technology and our ability to secure those deals on very favorable terms.

Feel very positive about clearly the businesses invested a lot over the last, um, few years in technology. And, you know, we've been pretty clear that over, you know, over the course of, um, you know, that investment that we've, that we would be seeing, uh, reduction in rights fees and our ability to, um, trade technology for improved, um, commercial deals. And it's something that we're we're starting to see, um, across all of the, um, you know, right skills that we're doing. And, and, and all of the relationships with the sports leagues that we're having. So, um, you know, we we feel very positive about the deals that we've done, you know? They they meet the criteria that we've been very, very clear about with you guys the past. It's it's pushing up, um, you know, it's pushing up our bizarre is pushing up our revenue and they're they're immediately accretive. And um, you know,

Improving the model that we've been, um, championing for a long time and the Investments that we've been making, um, uh, in in that technology and our ability to secure those deals um, on very favorable terms.

Analyst: Got it. That is really helpful. Given the flurry of announcements that have come out, curious, are there any other material rights deals you are eyeing to compete on in the near term?

Got it. That's really helpful. And then, you know, just given the flurry of, uh, announcements that have come out. Curious. Are there any other material, right deals, your aim to compete on in the near term?

Mark Locke: I mean, again, I do not want to really repeat myself, but we have got everything that we really need, and we have had for a while. We will always look at new rights deals. There is quite an interesting dynamic in the market. The market has consolidated quite a lot over the last while. Obviously, IMG and staff and really the duopolistic nature of the market, I think, has become very clear to everybody. Reading the commentary and a lot of the press that is out there from you guys is showing that that has become really well understood. I think as time goes on, the rights market becomes even more rational. I think it has rationalized a lot recently. I think we and our competitor have shown good financial discipline in the rights deals that we have done, and I suspect that will continue over the coming future.

No. I mean, you sort of again, kind of want to really repeat myself, but I mean, we we we've got everything that we really need. Um, and we we have had for a while. So, you know, we'll always look at new rights deals and there's quite an interesting sort of dynamic in the market. You know, there's, um, you know, the the market has, um, Consolidated quite a lot over the over the last. Um, while you know, obviously IMG and, um, sort of stats and, um, and really, the geopolitic nature of the market. I think has become very clear to, to everybody, obviously really in the commentary and a lot of the press that's out there from from you guys. Is is, um, you know, showing that that's, um, that that's become really well understood and I, I think as time goes on, you know, the rights Market becomes. Um, you know, even more rational. I think it's rationalized a lot recently. Um, I think we, um, and um, our competitor of, um, you know, have have shown, um, you know, good Financial discipline in the right skills that we've done and um, I suspect that will continue um, over the oh, oh, oh,

Over over over the over the coming future.

Operator: Your next question comes from the line of Ryan Sigdahl from Craig-Hallum Capital Group. Please go ahead.

Okay. Next question comes from the line of Ryan Signal from Craig-Hallum Capital Group. Let's go ahead.

Analyst: Hey. Good day, guys, and all the best to Nicholas Taylor. I want to stay kind of on the new awards. Appreciate all the commentary about the economics and what you guys are providing versus previous. Can you comment? The guidance increase assumes 40% incremental margins on the upside, but several of those seasons are starting, I think, in the back half of this year will impact. I guess how much is in guidance for Serie A and the European leagues? We will maybe start there.

Hey, good day, guys. Uh, and, uh, all the best, Nick. Um,

Wanted to stay kind on the new awards. Appreciate all the commentary about the economics and, uh, what you guys are providing for us. Previous, can you comment? So, the guidance increased assumes 40% incremental margins on the upside, but several of those seasons are starting. I think in the back half of this year will impact because how much is in guidance for Syria and the European leagues? Um, well, maybe start there.

Nicholas Taylor: Hey, Ryan. It's Nick. Thanks. Effectively, all those three announcements that we've made this week are in guide together with the underlying momentum within the business. You're right. Some of the Euro leagues have actually already kicked off, and Serie A starts in a couple of weeks. So the commercial guys have got some fun and games over the next month or so. They're all built into the guide. As you say, for the 40% drop through, and just to reiterate what Mark Locke said actually a second ago in relation to those new deals, they are immediately accretive to us from an EBITDA perspective, and you're seeing that in the updated guide that we've just given.

Hey, Ron, it's Nick.

Um, um, I mean, effectively that their, their, their all those 3 announce that we've made this week, we can guide together with the underlying momentum within the business.

Um, you're right. Um, you know, some of the Euro leagues have actually already kicked off and Ciara starts in a couple of weeks. So, the commercial guys have got some, uh, got some fun and games over the next month or so. Um, but yeah, they're all built into the guide. Um, and as you say you to the 40 drop through and just to reiterate what Mark said actually, um, a second ago in relation to those new deals, um, you know, they are immediately A Creative to us when Eva dub perspective and you're seeing that in in the updated guide that we've just given

Analyst: Very good. Then you mentioned that the NFL ad inventory is sold out ahead of the season already. That's fantastic at this point. Curious how much more opportunity there is to add more placement slots or kind of build on that, or is it kind of what's sold is sold at this point?

Very good. Uh, then you mentioned, uh,

That the NFL ad inventory is sold out ahead of the season already, that's fantastic. At this point, I'm curious how much more opportunity there is to add more placement slots or kind of build on that. Or is it kind of what sold is sold at this point?

Mark Locke: Yeah, it's a really good question. It's obviously a focus for us as that product develops, and there are a couple of levers for growth there. One is around additional sports and scale. So we are adding, as you would have seen, new sports to that product set. That rollout, as you can see from some of the deals that we have recently announced, that rollout has been, we are a long way down the road of that, and it is looking very positive. The specific NFL inventory is something that we are obviously very aware of. We are working closely with our partners to find additional ways of making sure that we are creating monetization opportunities through that. Suffice to say, it is a fairly large focus for the team to make sure that we are optimizing those relationships and the products that we have got.

Yeah, it's it's it's a really good question. It's obviously a focus for us as as as that product developed. And you know there there are a couple of levers for growth there 1 1 is around additional Sports and scale. So you know we we we're adding as you as you would have seen, you know, new sports to that product set. Um and um, that's that, that that roll out. Um, as you can see, from some of the deals that we recently announced at, you know, that that's

that that, that, that that role as being, um, you know,

Yeah, the specific uh, NFL inventory. Um, you know, is something that we're obviously very aware of we're working closely with our partners to, um, you know, find, uh, additional ways of, um, making sure that we're creating monetization opportunities through that. And, um, you know, suffice to say it's, um, a fairly large Focus for the team to make sure that we're optimizing those relationships. And the products that we've got

Analyst: Thanks, Mark. Best wishes, Nick, and a very nice job, guys.

Thanks Mark. Best wishes Nick. And a very nice job, guys.

Operator: Your next question comes from the line of Ben Miller from Goldman Sachs. Please go ahead.

Your next question comes from the line of Ben Miller from Goldman Sachs. Please go ahead.

Analyst: Taking the questions. Just on the updated guidance again, I am just curious if you could expand on the bridge for the increased guidance. How much of that is specifically related to the new league partnerships versus just broader organic trends you are expecting in the betting segment in the back half, and then obviously the strong second half media segment expectations?

Taking the questions, um, just on the updated guidance. Again, I'm just curious if you could expand on the bridge uh, for the increased guide and how much of that is specifically related to the new league Partnerships versus just broader. Organic Trends, You're Expecting in the betting segment uh, in the back half and then obviously the strong second, half media segment expectations.

Nicholas Taylor: Yeah. Hey, Ben Miller. I mean, I think we said the prepared remarks. Certainly, if we look at it, I think there is clearly some momentum in the second half of the year with our media business, not just the deals that we have announced, including the PMG deal that we announced last week, but also, as Mark Locke talked about in the prepared remarks in relation to the additional products and the inventories that came on the back of the NFL extension. So it is both effectively. What we have said is we expect media as a whole to be a low 20% grower for the year, which obviously is where we sit today. It is an acceleration. We talked about it earlier in the year, and obviously, we have got more visibility of that position today.

Yeah. Hey Ben. I mean

Certainly, if we look at it, I think we're there. There's clearly some momentum in the second half of the year with our media business. Um, not just the deals that we've announced, including the PMG deal that we announced last week, but also as Mark talked, about and prepared remarks in relation to the additional products, and the inventories that came with the back of the NFL extension. So, so, both effectively and what we've said is,

Nicholas Taylor: On the betting side, you can see that the betting in H1 shows significant momentum with a 30% growth in the first half of the year. We always said that that growth would slow down a little bit in the second half because if you remember, we were growing at sort of 45%, 46% at the back end of 2024. But these new deals, as I said in the early question to Ryan Sigdahl, I think they are immediately accretive, and therefore, we are expecting betting as a whole to be around about 30% up when you look across the year.

We we expect media as a whole to be low, 20% grower for the year, which obviously is where we sit today is an acceleration and and and we talked about it earlier in the year and obviously we we've got more visibility of that position today on the betting side. Um, and you can see that the betting, um, you know, in H1 shows significant momentum with the growth in 30% growth, in the first half of the year. We always said that that growth would slow down a little bit in the second half. Because if you remember, we were growing at sort of 45 466 percent of the back end of 2024, but these new deals. Um, as I said into the earlier question, um, to Ryan, I think it's that, they're immediately accretive and therefore, expecting betting as a whole to be around about 30% up. When you look at the

Analyst: Great. Then, just as a follow-up on the commentary around the expansion of value-added services and products, can you provide any color on what attach rates look like today and where you think that can get to to help frame the potential for further monetization aside from the like-for-like price increases that might come through over time?

Great. And then just as a follow up on the commentary around uh the expansion of value added services and products, can you provide any color on what a tax rates look like today and and where you think that can get to to help frame the potential for further, monetization aside from the like for like price increases that that might come through over time?

Nicholas Taylor: Yeah. Hey, Ben. As you know, we have a huge suite of products, and as you see from our announcements, they continue to grow week by week. Taking BetVision, obviously, we've talked to you guys a lot about. It's a really good example where you talk about adoption rates. As you know, within the U.S., we've had some significant success with our NFL BetVision product over the last two years, and we're very excited about the upcoming season and all the product advances that you'll see through the 2025-2026 NFL season for that. As we've talked about on FedMark and indeed across the last couple of months, we're also very excited about that we're allowed to BetVision for other sports and much more sort of mass participation and a higher number of events. Obviously, we're specifically talking about soccer and basketball.

Yeah. Hey Ben, I I I I guess as you know, we have a, a huge Suite of products and and and as you've seen from our announcements, they continue to grow week by week. And we are taking bet Vision that obviously we we've talked to you guys a lot about. It's a really good example. When you talk about adoption rates, as you know, within

The us we've had some um significant success with our NFL bet Vision product over the last 2 years and we're very excited about the upcoming season and and all the product advances that you'll see through the 2526 NFL season for that.

Nicholas Taylor: We're beginning to see some really good uptake there, but that's where we expect to see some real rubber hitting the road effectively on those two sports over the course of the next six months. So I'd anticipate seeing a lot more uptake on BetVision for those two sports for the rest of 2025.

Um, as we've talked about on in the prepared marks and indeed across the last couple of months, we're also very excited about the world out of bet vision for other sports and um much more sort of mass mass participation and higher number of events on the field with specifically talking about soccer and basketball. Um we begin to see some really good uptake there but that's where um we expect to see some some real sort of rubber hitting the road effectively on on those 2, Sports over the course of the next 6 months. So I'd anticipate seeing a lot more uptake on on on BET vision for other um for those 2 Sports um for the rest of 2025.

Analyst: Great. Thanks so much.

Great. Thanks so much.

Operator: Your next question comes from the line of Jed Kelly from Oppenheimer. Please go ahead.

Mark Locke: Hey. Great. Thanks for taking my question. Just on the recent contract wins, you have obviously boosted your European football portfolio. Is there a timeline on when you do negotiations with some of the European sportsbook operators we should be watching? Then I have a follow-up question.

Your next question comes from the line of Jed Kelly from oppenheim. Let's go ahead.

Hey um great, thanks for taking my questions. Um just on the re on the on the recent contract wins, you know, you've obviously boosted your European football portfolio. Is there a timeline on when you do negotiations with some of the European, uh, sports book operators, we should be watching and then I have a follow-up question.

Mark Locke: Yeah. Hey, Jed. Look, we are obviously under contract with, I will say, most of the operators in Europe. This is if the question is related to the way that revenue flows through. These contracts are additional to the existing contracts that we have got. So whilst there is, I guess, a mother contract, if you like, these are additional products that we will be selling to those sportsbooks. Again, that comes as part of the new deal that we have just announced and is happening, as Nicholas Taylor said, now.

Today's sports books and, um, you know, again that comes as part of part of the new deals that we, that we've just announced and and, and is happening as Nick said now.

Mark Locke: Great. Then just as a follow-up on some of the new FanHub contracts, is that going to be more of the traditional managed spend, or is it going to be more self-service, and it will be kind of booked on the financials as like net revenue versus gross? Thanks.

Great. And then then just as a follow-up on on some of the new fanhub contracts is that going to be more of the traditional managed spend, or is there going to be more self-service? And, you know, it will be, you know, kind of booked on the on the financials is, like, net revenue versus gross. Thanks

Nicholas Taylor: Hey, Jed. It's Nick. Firstly, obviously, we are very excited about announcing the agency deals. As we have said before, this is really unlocking incremental media spend from customers. It's a really good proof point about how we are progressing on that basis. I think, as Mark Locke said earlier, one of the key things is innovative opportunities in sports are becoming increasingly important to brand, and therefore, all the major agencies are looking at how they can target these sports customers in new ways. Obviously, we, Jed Kelly, sit right at the heart of that. In terms of that specific deal, if you are talking about the PMG deal, it was only announced last week. We are talking with them and their brands about really the whole suite of our media products.

I mean you I mean firstly we're we're very excited about announcing the agency deals. You know as we've said before that this is really unlocking incremental media spend from customers and it's a really good proof Point um about how we're progressing on that basis.

Um, I think, as Mark said, earlier, you know, 1 of the key things is innovative opportunities in sports for becoming increasingly important to Brands and therefore, all the major agencies are looking at how they can Target the, the sports customers, um, in new ways. And obviously, we Jets it right in the heart of that.

Nicholas Taylor: Obviously, on an ongoing basis, once we get into that and once we get some of those months behind us, just from an accounting perspective, Jed Kelly, if that's what you are alluding to, when we get into the self-serve, that would likely be on a net basis. When we continue to do some programmatic marketing on a managed basis, that will be on the gross basis, as how we have always accounted for.

Um, you know, in terms of that specific deal, if you don't have the PMG deal, you know, it's it was only announced last last week with talking with them and their brands about really the whole, the whole um, uh, Suite of our media products. Um, and and, and obviously on an ongoing basis once we get into that once, um, once we get some, some of those months behind, that's just from an accounting perspective, that's what you're alluding to.

No. Um

Mark Locke: Yeah. I think strategically, from our point of view, Nick used the word proof point. I think that is a really important focus. As a business, we have been working hard on developing the product set, and the goal has been the distribution of this product set to the brands. The best way to do that is in partnership with the agencies. So, this is a very important deal. It is a very important step in our growth as it allows those major brands that we mentioned to have access to the inventory and to our portfolio of products, which clearly, from a strategic point of view and frankly, a future revenue point of view, is critically important. So, we are very, very excited about this. It is a really good proof point, and it puts us in a very strong position with our new product set.

When we get into the, the self-serve that like, to be on the next basis. And when we continue to do some programmatic marketing, on a managed basis that will be on the growth basis.

Analyst: Thank you.

I've always accounted for. Yeah, and I think I think strategically from from our point of view, the, these these were proof point. I think, I think that's, that's a really important Focus, you know, as, as a business, you know, we, we, we've been working hard on developing the product set and uh, the the the goal is being the distribution of this product set to the brand. And the best way to do that is in partnership with the agencies. So this is a very important deal is a very important step in our growth. As it allows those major brands that we mentioned to have access to the inventory and tell our portfolio of products um which which which which which clearly um from a strategic point of view. And frankly, a future Revenue point of view is critically important. So we're very, very excited about this. It's a, it's a really good proof point and um, you know, it it it puts us in a very strong position with uh, with with our new product set.

Thank you.

Operator: Your next question comes from the line of Bernie McTernan from Needham. Please go ahead.

Analyst: Great. Thanks for taking questions. First, Nick, it has been great working with you and all the best. I wanted to follow up on media. I know it has been a big focus of the call, but back of the envelope numbers suggest media revenue should be up about 60% in the back half of the year. Mark, given your comments that eventually, over the long term, you think media could be larger than betting revenue, how linear should we expect media to be from here? Are there any major bottlenecks, whether it is ad inventory or anything else, we should be thinking about in order to get to those ultimate goals?

Your next question comes from the line of Bernie mcternan from nidam. Please go ahead.

Great. Um, thanks for taking questions, and just first nick, uh, it's been great working with you and and all the best, um, want to follow up on media. Um, I know it's been a big Focus for the call but, you know, my I I'm back at the envelope. Number suggests media Revenue should be up about 60% in the back half of the year. Um, and Mark given your comments that eventually over the long term, you think media could be larger than betting Revenue. How linear should we expect media to be from here and are there any, you know, major bottlenecks whether it's, you know, add inventory or anything else we should be thinking about, um, in order to get to those ultimate goals.

Nicholas Taylor: Hey, Ben. It's Nicholas Taylor. Look, thanks for your comments. Just so everyone's aware, I am around really. I am delighted that Ryan Sigdahl is joining. You have seen his experience. He is going to add an enormous amount of value to this organization. You have not quite got rid of me yet. I am going to be around until certainly through the fall and indeed probably attending some of your conferences in that time anyway. Onto the more important stuff around your media question. You are right, Bernie McTernan. Your back-of-the-envelope math is impressive. I think we are looking at around about Q3 and Q4 both at around about a 60% media increase year-on-year. In the short term, that is really a layering impact of all the tailwinds that we are seeing in there.

Nicholas Taylor: As you know, we are always back half, and we said in the last quarter, we are going to be back half loaded. As you know, we always start with a really good base of minimum media contracts through our sportsbook deals. Of course, we are entering the second year of those deals in the kickoff of the season shortly on NFL. It is not just that. We have talked about the agency deals. Mark Locke has just talked about that and the importance of those that we have just announced. The inventory we talked, I think, in Ryan's question in relation to all the products and all the inventory. If you layer all of those, you really start seeing that acceleration of growth on the media position for 2025. On a long-term basis, I will hand over to Mark in a second to add any color on this.

Hey, Ben is Nick. Uh look thanks for your comments. Um just so everyone's aware obviously um you know I'm around really um you know, I'm delighted to grinds joining, um, you know you seen his experience. He's he's got a lot of enormous amount of value to this organization. Um but you haven't quite got with him yet. I'm going to be around until till certainly through the fall and indeed, probably attending some of your conferences in that time. Anyway. Anyway on to the, the more important stuff around your media question. So yeah, you're right Benny, you're back at the envelope Masters impressive. Um, I think we're looking at, um, around about 23 and Q4 both for around about a 60%, um, me me to increase your own year and look in the short term that's really allowing impact of all the the Tailwinds, that we're seeing in there, you know, as you know, we're

Nicholas Taylor: On a long-term basis.

Nicholas Taylor: We are extremely well set up from a technology perspective, from a partnership perspective, and from a sports perspective. Sports in itself, as I am sure as you guys know, when you are speaking to brands themselves, is absolutely in the sweet spot of where people are wanting to advertise and looking for innovative ways to reach the sports target audience. Genius is absolutely at the thick of that. We have seen that when we did our New Front event, which I think a few of you attended back in May. We saw that when we were attending Cannes Lion earlier this year. So we are feeling very good about it.

On this, look on a long-term basis. Um, uh, you know, we are extremely well set up for a technology perspective, from a partnership perspective, and from a sports perspective, you know, sporting itself as I'm sure, as you guys know, when you're speaking to Brands themselves is absolutely in The Sweet Spot of where people are wanting to advertise and looking for innovative ways to reach the, the, the sport, um, target audience. And, um, genius is absolutely the thing that we've seen that when we did our new front event, which I think a few of you attended back in may, we saw that when we were attending, canned lion this earlier this year. So, um, we're feeling very good about it.

Van: Your next question comes from the line of Steve Pizzola from Deutsche Bank. Please go ahead.

Your next question comes from the line of Steve vittala from Deutsche Bank. Let's go ahead.

Operator: The mix of betting tech revenue. The fixed revenue did accelerate materially in the quarter. Can you talk about how we should think about the fixed revenue growth moving forward?

The next vetting Tech Revenue. So the fixed Revenue did accelerate materially in the quarter. Can you talk about how we should think about the fixed Revenue growth moving forward?

Nicholas Taylor: Hey, hey, Steve. Thanks. Yeah, Q2 specifically, obviously, is a little bit more weighted to non-U.S. because of the sports calendar. As you know, traditionally, and we continue to do outside of the U.S., we tend to have more SaaS style, all-you-can-eat style contracts. You are seeing that growth coming through from Europe. You will see that in European numbers. It is worth reminding everyone on the call that I know we concentrate a lot on our U.S. deals. We have seen a significant ability to take price and indeed provide additional products to European sports books as well on the back of not just our NFL deals, but our extensions, things like UK soccer that we now have until the end of the decade.

Hey hey Steve thanks. Um yeah I mean Q2 specifically obviously is a little bit more weighted to the to to non us because of the sports calendar and and as you know traditionally and and continue to do outside of of the us, we tend to have more sat style or you can eat style contracts. Um you're seeing that growth coming through from Europe, you'll see that in European numbers. It's worth reminding, everyone, the call that I know we concentrate a lot on our us deals and um, we've seen significant ability to take price and indeed provide additional products to your principles books as well. On the back of, not just our NFL deals, but our extension of things like UK soccer that we now have until the end of the decade.

Operator: OK, thanks. Just a follow-up on the balance sheet. I think you have about $222 million of cash now plus positive free cash flow moving forward. Can you talk about the options of what you are going to do with that?

Okay. Thanks and then just a follow-up on the balance sheet. Um I think you have about 222 million of cash. Now plus positive, free cash flow moving forward. Can you talk about kind of the options of what you're going to do with that?

Nicholas Taylor: Yeah, hey, Steve. Thanks again. As I said, I reiterated in the prepared remarks earlier, we expect it to be a positive cash position. Now, what are we looking at that? We were very clear around potential M&A positions for 2025. We are continuing to be very disciplined in that area and looking to get the right product. But we are absolutely looking right now. Or, as we said to you before, Steve, we do not need anything. We are just looking at things that we feel can accelerate the growth of our business. So that is absolutely the key focus of our cash positions. As housekeeping, we also announced a shared buyback position last quarter. As I said, that is far less of a priority than M&A, but it is something that is another string to our bow that we have.

Yeah hey Steve, this is Nick again. Um yeah yeah as I said reiterated in the in the prepared remarks earlier, you know we expect it to be positive, cash position, you know what, what are we looking at that? You know, we were very clear, um, around um, potential m&a positions, um, for 2025. Um, you know, we're continue to be in very disciplined in that area and and looking to get the right product but we are

We are absolutely looking right now or orbit as we've said to you before, Steve, um, we don't need anything. We're just looking at things that we feel can accelerate the growth of our business. So, that's absolutely the key Focus, um, of our cash positions as the housekeeping. We also announced a share buyback position

Last uh, last quarter.

uh, said that that

Far less of.

Mark Locke: Yeah, it is probably worth mentioning on the M&A point. We have been pretty busy looking at quite a lot of businesses, as you would expect, over the period. The bar, however, that we have is extremely high for these deals. There are not a lot of businesses that meet our growth requirements, frankly, or the cash flow and EBITDA requirements that we have for the business. There is not a huge number of those businesses that actually achieve that. But again, it is a focus for the business. Our organic investment is working. You are seeing that in the reduced rights fee.

Mark Locke: I guess the change in the interest in just the structure of the rights deals that we are starting to see and the change in the way that those models are operating with that investment that we have been making in the business over the years is coming through. We are feeling good about our ability to invest with the right level of ROI and have a high bar and a high focus on getting the right returns on that basis as well.

A priority than m&a, but it's something that's another string to our bow that we have. Yeah, it's probably worth mentioning on this sort of m&a Point, um, you know, we, we, you know, we, we, we, we, we, we, we, we've been pretty busy looking at quite a lot of businesses as you would expect over the over, the period, the the, um, the bar, however, that we, that we have is extremely high for these deals. Um, you know, there's there's not a lot of businesses that meet our our um, our our growth growth, uh requirements for friend, frankly are the the cash flow and ibida requirements that that we have for the business. So um it's it's they're not there's not a huge um number of those businesses that actually is achieved that but um but but again it it is a focus for the business and I think our you know I think the other things that say is that our organic investment is working. You know, you're you're seeing that in the reduced rights um fee the um, I guess the change in the sort of interest just the the structure of the right skills that we're starting to see in the changes.

In a way that that those models are operating with that investment that we've been making um, in in, in the business over the years is, is coming through. So we're feeling good about our ability to, um, invest with, um, the right level of Roi and have a have a, have a high bar for for of and a high focus on on getting the right Returns on on, that basis, as well.

Operator: OK, great. Appreciate it.

Okay, great. Appreciate

Van: Your next question comes from the line of Josh Dickels from B. Riley Securities. Please go ahead.

Your next question comes from the line of Joshua calls from B Riley Securities. Please go ahead.

Nicholas Taylor: Great to see the accretive league partnerships and the raised guidance here for 2025. I just wanted to ask, how much exactly has the company's market share really increased now with these new partnerships when you look at European soccer relative to what it was? How long is it going to take to get GeniusIQ fully deployed across all these new European leagues? Are there any key milestones we should be tracking as you progress on that front?

Relative to to what it was and how long is it going to take to to get genius IQ, fully deploy, the ac across all these new European leagues and are there any key kind of milestones? We should be tracking as you progress on that front.

Nicholas Taylor: Hey, Josh. Thanks. Market share is always a difficult one to answer because, you know, different peers have different products and sportsbooks work with all of us. I think you raise a good point there in terms of soccer, particularly European soccer. You know, we're in a very strong position there when you think about what our portfolio adds and the European leagues, as well as the Serie A and the European leagues add also a significant quantity of events, around about 8,000 events as well. So we're really happy with that position. That is undoubtedly helping our relationships with the European sportsbooks. In terms of rollout, you're right to call that out as an important part of the deal on the European deals. Now, we have the ability, I think it's north of 400 stadiums on a European soccer basis, to put GeniusIQ in there.

Nicholas Taylor: What I would say is we have the ability to do that at the pace that we choose to do it at, which I think is an important part. So we can manage that effectively where we get it right strategically. But at the same point in time, we are managing investors' expectations, street expectations, and investment expectations. So I would be expecting us to start rolling that out at the back end of this year. And we're very excited about what the technology rollout will be able to bring us on a long-term basis.

Hey Josh thanks. Um, Mark and chars always. Always a difficult 1 to answer because um, you know, different, different peers, have different products and sports Works work with all of us. I, I think you raised a good point, though, in terms of soccer, particularly European soccer, you know, we're in a very strong position there when you think about what our portfolio ads and and the Europe European leagues as well as the Syria are the European leagues ads. Also significant quantity of events around about 8,000 events, um, as well. So that we're really happy with that position. That is undoubtedly helping our relationships, um, with uh, with the European Sports books in terms of, um, rollouts you, you're right to call that out. As, as an important part of the deal on the European on the European deals. You know, we have now the ability, I think it's, uh, north of 400 stadiums on a on European soccer basis to put genius IQ in there. What I would say is we have the ability to do that at the pace that we choose to do it at which I

Mark Locke: On market share, I mentioned it earlier, but kind of reiterating it here, the market is consolidating to a very dual holistic focus here. Market share by definition is something that is increasing. You are seeing that coming through the numbers. I think the focus that we have had around the data rights deals, the English Football League (EFL), Serie A, is that data is a prerequisite. You need to have the data. It is not a nice-to-have, it is a must-have. We feel good about our position in terms of the way the market share is increasing.

I think is an important part so so we can manage that effectively where we um we we get it right strategically. But at the same point in time we are managing um investors expectations, Street, expectations and investment expectations. So so I I would be expecting us to start rolling that out back end of this year, um, and we're very excited about what that that the, the technology rollout will be able to bring us at, um, on a long-term basis. And I think on market share is, it's also sort of just, I I mentioned it earlier, but kind of reiterating it here is, you know, the market the market is, you know, consolidating, you know, to to the sort of very, you know, ballistic, uh, Focus here. So, you know, market share by definition. Is is, um, you know, is something that is, is is increasing and you're seeing that through coming through the numbers. And I think that, you know, the focus that we've had had around the, um, the data rights deals. You know, the, the the bfl Syria is that, you know, data is a prerequisite that you need to have the data. It's a, it's not a

nice to have, it's a nice to have. So we feel good about our position in, in terms of, um, in in terms of, um, you know, the way that market shares, um, increasing

Nicholas Taylor: Thank you. Last question for me. As you start to deploy GeniusIQ across all these European stadiums, what do you think is the highest value opportunity in terms of incremental platform service revenue beyond this core betting data? Typically, how do those unit economics compare to traditional betting fees that you guys get?

Thank you. And then last question for me, as you start to deploy genius IQ across these all these European stadiums. What do you think is like the highest value opportunity in terms of incremental platform service Revenue Beyond this like core, betting data and you know typically how do those unit economics compared

To like traditional bedding fees that you guys get.

Nicholas Taylor: Yeah, hey, Josh. The great thing about the technology is the technology you are putting in GeniusIQ has so many different user cases. You have heard us talk about some of the things we do in relation to broadcasters and augmentation, what we do in relation to clubs and performance, what we are doing in terms of coaching tools with League, indeed what we are doing with Semi-Automated Offside Technology with the Premier League, for example. The great news for us is that all of those user cases come off the back of the same technology. Therefore, there will be some leagues who we think certain products are more appropriate than to other leagues and some that are more cost-effective for us to use than other leagues. So it is not one size fits all.

Yeah. Hey Joseph. I mean the great thing about the technology is is the technology you're putting in genius IQ has so many different user cases. You've heard us talk about, you know, some of the things we do in relation to broadcasters and augmentation, what we do in relation to clubs.

Nicholas Taylor: But what I would say is getting that, you have heard Mark Locke before about getting that out there, getting our tech into these stadiums is an important proof point of us, again, over the course of the next 18 months. This is a great deal where we can effectively capture large parts of the European soccer market.

And performance, what we're doing in terms of coaching tools with leads indeed. What we're doing with semi-automatic or sides with the Premier League. For example, the great news is that for us is that, is that all of those user cases? You come from the back of the same technology and therefore, there'll be some leagues who who we think certain products are more appropriate than to other leagues and some that are more cost-effective for us to use than other leagues. So it's it's not 1. Um but what I'd say is is getting that you've heard Mark before about get getting that out there, getting our Tech into these stadiums is an important proof point of us again over the course of the next 18 months. And this is a great deal where we can. We can effectively capture large parts of the, the European soccer Market.

Nicholas Taylor: Appreciate the context. Thank you.

Appreciate the context. Thank you.

Van: Your next question comes from the line of Mike Hickey from Benchmark. Please go ahead.

Nicholas Taylor: Hey, Mark, Nicholas Taylor, Brandon Bukstel, Charles. Nice quarter, guys, and great guide. Two topics from us. First on the CFO departure, obviously, Nicholas Taylor. Sad to see you go. Clearly, you have been a steady hand here and strong partner for all of us during a very pivotal phase here for Genius Sports. So good luck to you. Thank you. That said, Mark Locke, what skill set or experience were you most focused on when you are selecting Brian as the new CFO? How do you see his background helping Genius Sports in the next chapter here? I have a follow-up.

Your next question comes from the line of my Kiki from bench Benchmark. Please, go ahead.

Hey Mark, Nick, Brandon, Charles, nice quarter. Canadian, great guide. Um, two topics from us. First, on the CFO departure, obviously, Nick, sad to see you go. Um, clearly, you're going to be a steady hand here and a strong partner for all of us during a very...

Pivotal phase here for a genius. So good. Good luck to you and and thank you. That said, Mark, um, you know what what skill set or experience were you most focused on?

In your selecting Brian as a new CFO and, and sort of how do you see his background helping genius in the next chapter here? That have a follow-up?

Mark Locke: Yeah, hey, Mike. I will let Nick give his swan song in a second. Look, we are super excited about Brian's joining us. His background in media is something that was a big focus of his. Nick mentioned this before. There has been quite a shift to the U.S. Nick, I think, I have heard him a thousand times say that at some point we will see a New York-based CFO. That indeed his prediction of the future was correct. That is exactly what we are seeing. Brian's history in media coming from Warner and Disney. He has got a very strong understanding of the global rights market, understanding of the media space, good understanding, obviously worked with ESPN, and good understanding of that history. That just consolidates a lot of our strategy that we have got. On top of that, he has got a ton of experience.

Mark Locke: He obviously worked in the public market. One of the phrases, when we look at our business is, we always want to be better. We always want to know what good looks like. He certainly knows what good looks like coming from some of the businesses he has. So we are very excited about the next step in the evolution of the business that Brian can bring. His transition with Nick, we think will be over a two, three-month period. I will let Nick give you.

We're super excited about um, uh, about Brian's, um, uh, you know, uh, joining us. Um, his, his background in media is something that was, you know, a big focus of his. I mean, Nick Nick sort of mentioned this before. There's been a, there's been quite a, um, you know, a shift. Um, you know, to the US and Nick, I think is, I've heard about a thousand times say that, you know, at some point we'll see a, um, you know, see a New York based, um, CFO. And, and, and, and that's indeed, you know, his, his, his prediction of the future was correct. That's exactly what we're seeing. Brian's history media coming from, um, you know, Warner and Disney. He's got a very strong understanding of the global rights Market understanding in the media space. Good. Understand. You know, obviously works with ESPN and, you know, understanding of of that history, that, that, that just sort of consolidates. A lot of our, uh, the strategy that we've got on top of that, you know. Um, he's he's got a, um, a ton of experience. He's, um, you know, he's, he's obviously worked in the public markets. He's, he's, he's, um, you know, 1 of the the phrases.

You know, when we, when we look at our businesses, you know, we we always, we always want to be better and we always want to, you know, what know what good looks like and he knows what good luck looks like coming from from, um, you know, from some of the businesses he has. So we we're very excited about the next step in the evolution of, um, uh, the business, um, you know that Brian can bring and, um, you know, him him, uh, his, his transition with Nick. We don't call you, you know, be over over a sort of 2, 3 months, period. Um, and um, well, I let

Nicholas Taylor: Yeah, nothing to add to that. Thanks, Mike. Thanks, Kavi, to say that. As I said earlier, I think to Bernie McTernan is that, you know, I am not going anywhere. I am around for several months. There will be a very smooth transition. I will be interested as a shareholder of Genius Sports and a massive supporter of Mark Locke, and Charles, and Brandon Bukstel, and the team, and Brian to see where the business goes.

Nick. You yeah, no, no, no nothing to add to that. I mean, that might say. Can you to say that? As I said earlier, I think the Bernie is that, um, you know, I'm I'm not going anywhere. I'm around for several months that there'll be a place to move transition and, and I'll be uh um interested as a as a shareholder genius and the massive supporter of of Martin Charles and Brandon and the team Brian, um, to see whether business goes

Nicholas Taylor: Well, good luck, Nick. We will be excited to see where you head in the future. Next topic, Mark, Nick, on in-game, as we sort of head pretty soon here. We have got a month and we are in the NFL season. I think we are all really excited. In-game is obviously, you know, ending last year. There was a lot of energy, a lot of growth there. You were a big part of that with your BetVision product. I think, Nick, you expressed sort of maybe it was last call, rather modest growth expectations in in-game, despite that enthusiasm from operators and certainly also from players. Just checking on your updated guidance here, if that is still the case.

Nice, welcome. Good luck in the air and we'll be excited to see uh where you head in the future. Uh, any next topic, Mark Nick on in-game uh, as we sort of head.

Pretty soon. Here we got a month and we're in the NFL season I think we're all really excited and in-game is obviously, you know, ending last year. There was a lot of energy.

A lot of growth there and, um, you were a big part of that, uh, with your, uh, that Vision product and I think Nick, you expressed sort of, maybe it was last call, uh, rather modest growth expectations, um, in in in-game just despite that enthusiasm from operators. And, and certainly also from players, uh, just checking on your

Nicholas Taylor: Depending upon sort of how you approach that modeling opportunity, do you see a scenario here where that energy we saw at the end of last season in terms of in-game participation from players, if that stronger engagement in part through BetVision could drive upside to your current performance expectations? Thank you, guys.

You're updated guidance here. Is that still the case?

And then depending upon sort of how you approach that modeling opportunity, do do you see a scenario here? Where if that energy we saw at the end of last season, in terms of uh in-game participation from from players, uh if that's stronger engagement in part through bad Vision, could drive upside to to your current performance expectations. Thank you guys.

Nicholas Taylor: Yeah, hey, Mike. I think you quite rightly call out, you know, we have been saying this for a number of years, that effectively in-game betting is coming, but it needs to be a product-led evolution. We have seen that, and we continue to see that. The last NFL season was very successful for us, as you say, from BetVision. We are in the vanguard of that move, and we expect that to continue through the 2025-2026 season as we add more product down the pipes to the U.S. sportsbooks. You know me. I have been relatively conservative in the guide that we have just given you. Obviously, if it moves significantly at the end of this season, then there will be upside to Genius at that point. Yeah, let us wait and see. We will know a little bit more in about four weeks, Mike.

Yeah, hey Mike. So um, look, I think you're quite rightly called out. We, you know, we've been saying this for a number of years that that effectively in game betting is coming, but it needs to be a product LED Evolution. Um, and we've seen that and we continue to see that. And yeah, the last NFL season was very successful for us, as you say, from that vision. And we're in the Vanguard of that, that move. And we expected that to continue through the 25/26 season as we add more product, um, um, down the pipes to the US Sports books, you know, me, uh, uh, my I, I, I've been relatively conservative in the guy that we've just given you, you know? Um, obviously if we, if we, if it moves significantly in the end of the, um, in this season, then they'll be upside to genius at that point. Um, yeah, let's wait and see we we'll we'll know a little bit more in uh, in about 4 weeks. Like

Nicholas Taylor: Thank you, guys. Good luck.

Thank you guys, good luck.

Van: Your next question comes from the line of Chad Beynon from Macquarie. Please go ahead.

Your next question comes from the line of Chad Bayon from akhwari. Let's go ahead.

Analyst: Good morning. Thanks for taking my question, and best of luck, Nick. Just one for me. We have talked a lot about some of the recent wins in some of these major, mature, or mature but growing leagues and markets. One thing we have not talked about is some of the emerging markets that you have discussed in the past, whether it is India or Africa or Brazil. Where are we with some of these emerging markets? Are there still big opportunities for you to implement your technology into those and do what you have done in some of the bigger ones? Thank you.

Done. Uh, in some of the bigger ones. Thank you.

Mark Locke: Yeah, it's a good question. As you'll see, I can't remember what slide it was, but we put it out there as a 43% slide 11, there is. So 43% growth in the rest of the world in revenue. We see big opportunities in those markets. Obviously, Brazil, we've talked about still adding to an item. It's a big opportunity. There's a lot of the same sportsbooks. We have relationships with a lot of those guys. That's something that is obviously a focus for the business. I think we've talked about it historically. On a global basis, with a strong eye on regulated markets, there's interesting developments. Again, we're seeing strong growth from that, as you can see from the numbers. We expect that to continue. Coming back to Europe, Europe is still a very big focus for us. We've got 26% growth in Europe.

Yeah, it's it's it's a good question. I mean, as, as you'll see, um, I think I can't remember what slide it was but, but, um, you know, we we we put it out there as a 43%. Um,

Mark Locke: We see a lot of opportunity, an awful lot of opportunity actually in Europe for continued growth and continued product distribution and investment. It's an exciting market. I know we always spend a lot of time talking about America. We do have a lot of focus on that European growth metric as well.

Um, slide 11. There is so 43% from uh growth and rest of the world in, in in revenue. And we, you know, we we see, we see big opportunities in those markets. Um, uh, obviously Brazil, you know, we've talked about, um, sort of filler adding for an item. Um, you know, it's, it's, you know, there's a, it's a, it's a, it's a big opportunity. But, you know, it's the sort of, there's a lot of the same Sports books. Um, uh, we, you know, we we, we, you know, we have relationships with a lot of those guys. And that's, um, you know, that's something that that, that is obviously a focus for the business. And I think we've talked about historically. Um, but but you know, on a on a global basis, you know, with, with a strong eye on regulated markets, you know, um, we, you know, there there's, there's, there's, there's a, there's interesting developments. And again, you know, we're seeing strong strong growth from that. And you can see from from from, from from the numbers and we expect that to continue. We you know, again coming back to Europe um you know Europe is still a very big Focus for us. You know, we're seeing uh you know we got 26% growth um in Europe. We we see a lot of opportunity in an awful lot of opportunity actually in Europe.

um, for continued growth and and and can um continued um,

Product distribution and investment. You know. It's it's it's an exciting Market. I know we, we always spend a lot of time talking about America, um, but but we do have a lot of focus on that European growth um uh metric as well.

Analyst: Thank you, Mark. Appreciate it.

Thank you, Mark. Appreciate it.

Van: Your last question comes from the line of Greg Givas from Northland Securities. Please go ahead.

Your last question comes from the line of Greg. Gibbus from Northland Securities, please, go ahead.

Nicholas Taylor: Hey, Mark and Nick. Thanks for taking the questions. Congrats on the results and the recent rights deals. Wanted to ask on the estimated timing of BetVision rollout for additional sports and whether maybe your guidance assumes its launch for anything incremental in the back half regarding growth in the number of BetVision events.

Hey Morgan. Nick. Uh, thanks for taking the question, congrats on the results and the recent rights deals. Um, you know, wanted to ask on the estimated timing of uh, bet Vision roll out for additional Sports and you know whether maybe your guidance assumes its launch for anything incremental in the back, half regarding, you know, growth in the number of bed Vision events.

Nicholas Taylor: Yeah, hey, Greg. Soccer is large right now. Obviously, you know, some of the announcements we have made over the last week or so, we are expecting, I would anticipate, BetVision to be rolled out to Serie A, for example, as really important content for European sportsbooks. Anything like that is effectively built into the guide. It is part of the accretion in the guide. Basketball, I think we are going live in this quarter. So expect to hear more through this quarter and probably at the Q3 earnings announcement.

Yeah, hey Greg, um, soccer is uh, live right now. Um, um, obviously, you know, some of the announcements we've made over the last week or so we're expecting a um I would anticipate that Vision to be rolled out to to to, to Syria app. For example, um,

As really important content for European Sports books. Um, anything like that is effectively built into the guide as part of the accretion and the guide basketball, I think. Um, we're going live in this quarter. Um, so expect to hear more through this quarter and probably at the Q3 earning Financial

Nicholas Taylor: OK, great. A quick follow-up regarding your commentary on changes in FX-related impacts. Could you specify or remind me the dollar impact or so on the change and your assumptions?

Okay, great. And then a quick follow-up. Just regarding your, uh, commentary on on changes in um, FX related impacts. Um, could you maybe specify or remind me kind of the the dollar impact or so on, on the change?

And your assumptions.

Nicholas Taylor: Yeah, Greg, is that you're talking about in the quarter that's just been or in the forecast going forward?

Yeah, because that—you're talking about in the course of this, just being, or in the forecast going forward.

Nicholas Taylor: In the forecast, please.

Um, in the forecast, please.

Nicholas Taylor: Yeah, yeah. We updated actually the market at the end of last quarter. So we had assumed an appreciation of the sterling against dollar in that forecast and again have done for the second half of the year. Therefore, effectively, the current spot rate is effectively what we've used going forward and has always been in our guide. So what we're seeing is that that 2025 revenue increase and the 10% EBITDA increase are effectively outside of foreign exchange and all about the momentum in the underlying business.

Yeah, I yeah we we we we updated actually the market at the end of last quarter. So we had assumed and appreciation of the um Sterling against Dollar in that forecast and again have done for the second half of the year and therefore effectively um the current spot rate is effectively what we've used going forward and has always been in our guide. So what we're seeing is that that 25 Revenue increase

Um and the 10y, the d uh increase our our effectively outside of Foreign Exchange and and and all about the momentum in the underlying business.

Nicholas Taylor: Understood. Thanks very much.

Understood. Thanks very much.

Van: Ladies and gentlemen, that concludes today's call. Thank you all for joining. You may now disconnect.

Ladies and gentlemen, that concludes today's call, thank you all for joining. You may now disconnect

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