Sportradar Group AG (SRAD) shares plummeted 5.06% in Wednesday's trading session following the release of its third-quarter earnings report, which fell short of analyst expectations. The sports data and technology company's disappointing results have raised concerns among investors about its near-term growth prospects.
According to the earnings report, Sportradar posted a profit of 0.07 euros ($0.08) per diluted share for Q3, down from 0.11 euros in the same quarter last year. This figure missed the FactSet analyst consensus estimate of 0.08 euros per share. While revenue for the quarter rose 14.5% year-over-year to 292.1 million euros, it still fell short of the 294.9 million euros analysts had expected.
Despite the earnings miss, Sportradar slightly raised its full-year 2025 revenue guidance to at least 1.29 billion euros, up from its previous forecast of 1.28 billion euros. However, this minor upward revision seems insufficient to allay investor concerns about the company's immediate performance. The stock's sharp decline reflects the market's disappointment with Sportradar's ability to meet short-term growth expectations, even as the company continues to project long-term optimism.
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