Genius Sports beats Q3 guidance and raises full-year outlook

Media sales more than doubled with Legend now fully on board, and the sports data group expects to top $1 billion in sales for 2026.

Genius Sports Limited (NYSE: GENI) reported third-quarter revenue of $269.9 million on 5 November 2026, up 62% year on year and ahead of its own $260 million guidance, and recorded an operating profit for the first time.

Adjusted EBITDA came in at $87.1 million, also above the $85 million the company had guided to, and the margin widened to 32.3% from 20.4% a year earlier.

How the third quarter compares with 2025

Every main measure improved on the third quarter of 2025, and free cash flow grew more than 16-fold, from $3.3 million to $53.6 million.

Betting grows, Legend lifts media

Betting technology, content and services revenue grew 33% to $153.0 million. Genius put this down to more business with existing customers, helped by price increases on contract renewals and renegotiations, more value-added services, expansion in existing markets and new services.

Media technology, content and services revenue rose 126% to $116.9 million, mainly because of Legend. Genius announced on 1 May 2026 that it had completed its acquisition of Legend, a digital sports and gaming media network, so this was the first quarter to include the business for all three months.

Profit and cash flow

Income from operations was $10.4 million, against a loss of $25.6 million a year earlier. The net loss narrowed to $15.7 million from $28.8 million. Lower stock-based compensation helped: it fell by $10.7 million to $15.2 million, or 5.6% of revenue, compared with 15.6% a year earlier. Net interest expense went the other way, rising to $19.1 million from $0.1 million, after Genius took on $825 million of long-term debt this year.

Free cash flow was $53.6 million, or 61% of adjusted EBITDA. Before interest payments, unlevered free cash flow was $69.4 million, an 80% conversion rate. Over the first nine months, free cash flow was still an outflow of $136.2 million, and Genius ended September with $206.5 million in cash.

Mark Locke, founder and CEO of Genius Sports, said:

‘This quarter’s $54m of free cash flow demonstrates the cash-generating power of the combined business and reflects the performance we always believed our model could deliver.’

Locke added that Legend is ‘creating additional commercial value’ and that the company is ‘well positioned to deliver sustained growth, profitability and free cash flow’.

Prediction markets and new deals

Locke also pointed to ‘growing opportunities in prediction markets’. During the quarter, Genius:

• partnered with Polymarket and Kalshi to provide content, integrity services and marketing
• launched Prediction.com, a platform for comparing event contracts and probabilities
• introduced Semi-Automated Offside Technology (SAOT) for the Confederação Brasileira de Futebol (CBF)
• set up an athlete-led sports media company with NBA All-Star Chris Paul and Words + Pictures
• partnered with TelevisaUnivision to add visual augmentations, in-game data and new sponsorship inventory to live Liga MX broadcasts

Since the end of September, it has also linked NFL Gametime on X with the NFL’s official data, and expanded its partnership with the Argentine Football Association (AFA) to bring SAOT to Argentine football.

Full-year outlook raised

Genius raised both of its 2026 targets again, three months after it lifted guidance with its second-quarter results. The new ranges point to an adjusted EBITDA margin of 28.5% at the midpoint.

The company also expects to end 2026 with about $260 million in cash, which implies more than $100 million of free cash flow in the second half of the year.

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