KEY TAKEAWAYS
- Sportradar’s U.S. revenue grew 47% year over year in Q3, fueled by growing work in the prediction markets industry.
- CEO Carsten Koerl said he is not concerned about the potential of more states shutting out sports event contracts.
- Sportradar has agreements with NBA prediction market partners Kalshi, Polymarket, and DraftKings, as well as other companies including Novig and Robinhood.
Sportradar CEO Carsten Koerl said he is not concerned about the potential of more states shutting out sports prediction markets, after the data firm reported significant uplift from the sports event contracts industry in the third quarter of 2026.
Already an official league data supplier to state-regulated sportsbooks across the U.S., Sportradar pursued similar operator partnerships in the expanding prediction markets space. It embarked on that expansion at a time when the legality of the products continues to be contested in courts, and as multiple states tout success in getting some operators to pull their sports contracts, including:
During Sportradar’s Q3 2026 earnings call on Tuesday, Koerl said that the company is still in a net-win situation even if more states take enforcement actions and secure court wins.
“In our contracts with the operators, we have clauses that if it is not possible to offer that content in the market, they can’t use our content for serving that specific market,” said the CEO. “At the moment, the markets which are excluded are not really the significant ones, so we see that the growth is continuing and accelerating.
“This is a regulator’s perspective. We can’t influence it, and we keep monitoring the situation. But so far, we see the impact on prediction markets not as material from the states which are excluded.”
Prediction markets fuel Sportradar US revenue growth
Koerl spoke on Tuesday after Sportradar announced its Q3 2026 financial results.
Company-wide revenue increased 24% to €363m (approximately $406m), profit rose 20% to €27m ($30.2m), and adjusted EBITDA grew 21% to €102m ($114.2m). U.S. revenue growth far outpaced the global gains, rising 47% to €98m ($109.7m) in Q3 2026 compared to Q3 2025, while rest-of-world revenue climbed 17%.
Citizen analysts Jordan Bender and Isabelle Slavin noted that Sportradar’s total revenue growth beat consensus expectations and that the U.S. revenue jump was the largest increase for that sector of Sportradar’s business since 2024. Sportradar’s stock price jumped from $12.84 to a high of $14.94 on Tuesday morning.
Sportradar executives attributed that U.S. surge to growing demand for Sportradar’s breadth of content and product solutions, including new opportunities across the production market industry.
“This is the first quarter we saw the benefits of the extension of our flywheel in prediction markets with exchanges,” said Koerl. “While it took some time to strike deals with league prediction market players, we have now established Sportradar as the leading sports data and technology solution partner for the sports prediction market ecosystem.”
The CEO added that Sportradar entered prediction markets keenly in part because it required “minimal incremental investment,” given that the company is using the same sports rights and technology as in regulated sports betting.
“We see prediction markets as a meaningful expansion of the global sports team,” he added. “They are bringing in new participants, new formats, and new demand for sports content, and they are doing it alongside regulated sports betting, not replacing it.”
How does Sportradar work with prediction markets?
Sportradar has partnerships with several federally registered prediction market platforms, offering a range of services including not only official league data but also integrity monitoring and user engagement solutions. Its partners in the sector include:
- Kalshi
- Novig
- Polymarket
- Robinhood
After Sportradar unveiled extensive data and integrity partnerships with Kalshi and Polymarket this year, Koerl noted on the Q3 call that Novig is now the company’s third-leading exchange partner and that the firm recently signed its first broker agreement with Robinhood.
The executives stressed that perhaps the biggest opportunity for Sportradar lies not in deals with exchanges but in collaborations with market-making firms.
“We now have about 10 market makers,” added Koerl. “Of course, in the first wave, we focused on the big ones. The model is the same, so there is a minimum, and then there is a revenue-share component. They are looking for our real-time data to optimize their performance and trade sports event contracts with greater speed.
“This is a segment where we see much stronger growth opportunities. We develop the prediction market feed, especially for the lowest possible latency, and aggregate deep data from our sports partners in the prediction market feed. The market makers are for us a bigger opportunity, and we are doubling and tripling down on the technology to make the lowest latency data.”
NBA prediction markets entrance a boon for Sportradar
Koerl also cited the NBA’s recent embrace of prediction market partners as a big positive for his company.
In October, the NBA unveiled Kalshi and Polymarket as its “preferred prediction market exchanges” and also extended its existing agreement with DraftKings to include sports event contracts as well as sports wagering.
All three of those companies are partners of Sportradar, which is the official supplier of NBA data.
“We continue to expand our exchange relationships and have signed up market makers and brokers, and the NBA recently authorized prediction markets requiring the use of official data,” noted Koerl. “These partnerships are already starting to contribute to our results, and we expect that contribution to grow as trading volumes increase and as we add more partners.
“The statement is very strong and very clear from the NBA commissioner that there is a strict compliance framework for the exchanges involved. We fully support this, and we are very happy that the NBA is promoting the official data as the only source to settle the markets there. That can only be positive.”
Sportradar also sees value in iGaming expansion
Prediction markets are not the only vertical that Sportradar believes is untapped. The firm is also branching out into online casino.
In March 2026, the company announced a new Playradar brand dedicated to providing iGaming solutions to online operators in regulated markets worldwide, using its expertise in data, technology, and live streaming.
Koerl said that venture, which Sportradar showcased at SBC Summit in Lisbon in October, made great progress in Q3. Sportradar will launch a 24/7 destination in early 2027 that will host live casino content and other offerings.
“We got great interest and signed up a couple of year-long clients,” he added. “This is still on the startup stage and that makes it very difficult to predict. But the amount of interest is astonishing, and we are in possession of the content which is driving this iGaming experience. We want to grow this deliberately and on a long-term perspective, not on the short-term and quick money-making.
CFO Craig Felenstein added that Playradar and potential future M&A opportunities will augment Sportradar’s two core business lines of sports betting and sports event contracts heading into 2027.
