Genius Sports Ltd (GENI) 2023 Q3 法說會逐字稿

Good day. My name is Rob, and I'll be your conference operator today. At this time, I would like to welcome everyone to the Genius Sports Third Quarter 2023 Earnings Conference Call.

再會。我叫羅布，今天我將擔任你們的會議操作員。在此，我歡迎大家參加天才體育2023年第三季財報電話會議。

(Operator Instructions) After the speaker's remarks, there will be a question-and-answer session. (Operator Instructions)

（操作員說明） 演講者發言後，將進行問答環節。 （操作員說明）

I will now turn the conference over to Genius Sports. You may now begin.

我現在將會議轉交給天才體育。你現在可以開始了。

Thank you, and good morning, everyone. 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 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 30, 2023.

謝謝大家，大家早安。在開始之前，我們想提醒您，本次電話會議中所做的某些陳述可能構成前瞻性陳述，這些陳述存在可能導致我們的實際結果與我們的歷史結果或我們的預測有重大差異的風險。我們不承擔更新前瞻性陳述的責任。任何此類聲明應與我們向 SEC 提交的財報中的警告聲明和風險因素討論結合起來考慮，包括我們於 2023 年 3 月 30 日向 SEC 提交的 20-F 表格年度報告。

During the call, management will also discuss certain non-GAAP measures that we believe may be useful in evaluating Genius' operating performance. These measures should not be considered in isolation or as a substitute for Genuis' financial results prepared in accordance with U.S. GAAP. 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.

在電話會議期間，管理階層也會討論某些我們認為可能有助於評估 Genius 經營績效的非 GAAP 指標。這些措施不應被孤立地考慮，也不應被視為 Genuis 根據美國公認會計原則編制的財務表現的替代品。這些非 GAAP 指標與最直接可比較的美國 GAAP 指標的調整可在我們的收益新聞稿和收益演示中找到，這些內容可以在我們的網站 Investors.geniussports.com 上找到。

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

現在，我將把電話轉給我們的執行長馬克洛克 (Mark Locke)。

Good morning, and thank you for joining us today. We're happy to report quarterly financial results ahead of expectations for the seventh consecutive quarter. And for the third time this year, we are once again raising our full year guidance. For the full year, we are now expecting adjusted EBITDA growth of over 230% to $53 million, an 830 basis point margin improvement over last year, along with a step into positive free cash flow territory as we start to demonstrate this quarter.

早安，感謝您今天加入我們。我們很高興連續第七個季度超出預期地報告季度財務業績。今年我們第三次上調全年指引。對於全年，我們目前預計調整後 EBITDA 將成長超過 230%，達到 5,300 萬美元，利潤率比去年提高 830 個基點，並且隨著我們在本季度開始展示，將邁入正自由現金流領域。

We have achieved these significant financial milestones ahead of expectations due to our disciplined execution throughout the year, balancing growth and profitability, whilst continuing to strengthen our long-term position with our most important partners. Our position, now even more secure through high-profile new partnerships and renewals that we announced recently, provides us with the opportunity to reiterate, with confidence, the near, medium and long-term strategic and financial path forward.

由於我們全年嚴格執行、平衡成長和獲利能力，同時繼續加強我們與最重要合作夥伴的長期地位，我們提前實現了這些重要的財務里程碑。透過我們最近宣布的備受矚目的新合作夥伴關係和續約，我們的地位現在更加穩固，為我們提供了充滿信心地重申近期、中期和長期戰略和財務道路的機會。

On today's call, we will cover a few key topics to emphasize these points. We will discuss how our league relationships are growing stronger through the deployment of new technology. We will provide more detail on our innovative product set, including the launch of BetVision, which is completely unique in the market and revolutionizes the way sports betters engage with the NFL and its Sportsbook partners. And we will review how this accrues to our benefit in the form of steady revenue growth, EBITDA margin expansion and free cash flow generation.

在今天的電話會議上，我們將討論幾個關鍵主題來強調這些要點。我們將討論如何透過新技術的部署來加強我們的聯盟關係。我們將提供有關我們創新產品系列的更多詳細信息，包括推出 BetVision，該產品在市場上完全獨一無二，徹底改變了體育界更好地與 NFL 及其體育博彩合作夥伴互動的方式。我們將審查這如何以穩定的收入成長、EBITDA 利潤率擴張和自由現金流產生的形式為我們帶來利益。

To start, let's recap the financial results from the quarter. We reported group revenue of $102 million, beating our guidance of $100 million and representing a 29% year-on-year growth. This translated to $18 million of group adjusted EBITDA, exceeding our guidance of $17 million and representing nearly 2.5x growth versus last year. We have also consistently expanded our group adjusted EBITDA margin in each quarter this year. This quarter, our margins improved to 17% up from 10% in quarter 3, 2022, further demonstrating the operating leverage of our business model.

首先，讓我們回顧一下本季的財務表現。我們報告的集團收入為 1.02 億美元，超出了我們 1 億美元的指導，年增 29%。這相當於 1800 萬美元的集團調整後 EBITDA，超出了我們 1700 萬美元的指導，與去年相比增長了近 2.5 倍。今年每季我們也持續擴大集團調整後的 EBITDA 利潤率。本季度，我們的利潤率從 2022 年第三季的 10% 提高至 17%，進一步證明了我們業務模式的營運槓桿。

Nick will cover in greater detail in his section, but you will see how we, again, remain disciplined on costs and reported lower GAAP operating expenses in this quarter compared to the prior year, even as we grew top line by nearly 30%. This type of quarterly performance is exactly what makes the business model unique in the market.

尼克將在他的部分中更詳細地介紹，但您將看到我們如何再次保持成本紀律，並報告本季度的 GAAP 營運費用與前一年相比較低，儘管我們的收入增長了近 30%。這種季度業績正是該業務模式在市場上獨一無二的原因。

Looking ahead, we are also raising our full year 2023 revenue and EBITDA guidance of $412 million and $53 million, respectively, well above our initial expectations of $391 million and $41 million at the start of the year. This represents meaningful EBITDA margin improvement from 5% in the full year 2022 to 13% in 2023. Importantly, we have also reached a critical inflection point in free cash flow generation. Throughout the year, we have reiterated our expectation to become free cash flow positive in H2. And after reporting a positive group quarter we are reaffirming this outlook.

展望未來，我們也將 2023 年全年營收和 EBITDA 指引分別上調 4.12 億美元和 5,300 萬美元，遠高於我們年初 3.91 億美元和 4,100 萬美元的初步預期。這意味著 EBITDA 利潤率從 2022 年全年的 5% 大幅提高到 2023 年的 13%。重要的是，我們也達到了自由現金流產生的關鍵拐點。全年中，我們重申了下半年自由現金流為正值的預期。在報告了積極的集團季度業績後，我們重申了這一前景。

As we look ahead to the outer years, we also remain confident in our ability to achieve the long-term EBITDA margin target in excess of 30%. As I mentioned earlier, what gives us confidence is the high visibility of our fixed cost base going forward, particularly as we have just renewed and extended our NFL rights agreement through 2028, along with the growing demand for our products and services from all customer segments in our business: leagues, sportsbooks, broadcasters and brands and sponsors.

展望未來，我們對實現超過 30% 的長期 EBITDA 利潤率目標仍然充滿信心。正如我之前提到的，讓我們充滿信心的是我們未來固定成本基礎的高度可見性，特別是我們剛剛將NFL 轉播權協議續簽並延長至2028 年，以及所有客戶群對我們產品和服務的需求不斷成長我們的業務包括：聯賽、體育博彩、廣播公司以及品牌和贊助商。

As we discussed last quarter, it is critical to understand that Genius technology is the reason why leagues [renew], extend and expand our partnerships, often without even running a competitive tender process. To put it simply, the more deeply integrated we are within the league's digital ecosystem, the stickier we become as a partner to that league, offering them greater value beyond the fees we pay to data rights alone. The more time we have to integrate technology, the stronger our position becomes, which gives us greater confidence in our ability to maintain those relationships over time.

正如我們上季度討論的那樣，了解 Genius 技術是聯盟[更新]、延長和擴大我們的合作夥伴關係的原因至關重要，而通常甚至不需要運行競爭性招標流程。簡而言之，我們在聯盟的數位生態系統中融入得越深，我們作為該聯盟合作夥伴的黏性就越大，為他們提供的價值超出了我們單獨支付的數據權利費用。我們整合科技的時間越多，我們的地位就變得越強，這讓我們對長期維持這些關係的能力更有信心。

Through the deployment of new technology, Genius is already an integral partner of the digital infrastructure supporting sports ecosystem. Leagues, like the NFL or English Premier League, for instance, are utilizing Genius tech-enabled solutions to drive forward their key initiatives across sports betting, fan engagement and broadcast innovation, to name a few.

透過新技術的部署，Genius已成為支援體育生態系統的數位基礎設施不可或缺的合作夥伴。例如，NFL 或英超聯賽等聯盟正在利用 Genius 技術支援的解決方案來推動其在體育博彩、球迷參與和廣播創新等方面的關鍵舉措。

This technological entrenchment is a key pillar of our partnership and reinforces our competitive advantage. It is exactly how we continue to strengthen our moat and gain more confidence in our ability to renew deals and deliver on our long-term financial model. Whenever you see us expand our technology offering and partnerships with leagues, you should understand this is not only incremental revenue, but also as Genius becoming even more deeply ingrained with our partners.

這種技術鞏固是我們合作關係的關鍵支柱，並增強了我們的競爭優勢。這正是我們如何繼續加強我們的護城河，並對我們續簽交易和實現長期財務模式的能力更有信心。每當您看到我們擴展我們的技術產品以及與聯盟的合作夥伴關係時，您應該明白這不僅是收入的增量，而且還表明 Genius 與我們的合作夥伴的關係變得更加根深蒂固。

On Slide 6, you will find just a few examples of this from the quarter. For instance, with the NFL, we have added new features to each of the broadcast we have been working with this season, including Amazon Prime, CBS, TSN or the NFL streaming subscription service called NFL Plus, who we recently announced a deal with to power AI-driven data visualization and graphics. One example that you may have seen on Thursday Night Football is our AI and machine learning technology, now identifying potential defensive blitzers or open receivers, bringing even more insights into the viewing experience and all in real time.

在投影片 6 中，您會發現本季的幾個範例。例如，對於 NFL，我們為本賽季合作的每個廣播節目添加了新功能，包括 Amazon Prime、CBS、TSN 或名為 NFL Plus 的 NFL 串流訂閱服務，我們最近宣布與該服務達成協議為人工智慧驅動的數據視覺化和圖形提供動力。您可能在《週四橄欖球之夜》中看到的一個例子是我們的人工智慧和機器學習技術，現在可以識別潛在的防守閃電戰或空位接球手，從而為觀看體驗帶來更多即時洞察。

At the start of the year, one of our goals was to distribute this technology as widely as possible as we aim to make these features ubiquitous with live sports broadcast. We have executed on this plan throughout the year as Genius is now augmenting every single NFL game on one platform or another. On one hand, this demonstrates the importance of our technology to the NFL broadcast. But equally, this represents a critical milestone for the broadcast distribution of this technology. Similarly, we have also signed a new partnership with Premier League production to enhance live forecast of English Premier League matches across 185 countries with rich insights and data-driven augmentations.

今年年初，我們的目標之一是盡可能廣泛地傳播這項技術，因為我們的目標是讓這些功能在體育直播中無處不在。我們全年都在執行這項計劃，因為 Genius 現在正在一個或另一個平台上增強每一場 NFL 比賽。一方面，這證明了我們的技術對 NFL 轉播的重要性。但同樣，這代表了該技術廣播分發的一個重要里程碑。同樣，我們也與英超製作公司簽署了新的合作夥伴關係，透過豐富的見解和數據驅動的增強功能來增強對 185 個國家的英超比賽的即時預測。

The alternate broadcast called Premier League Data Zone allows viewers to see player names, passing accuracy, shot speeds and pitch maps, all into woven into the live broadcast through the unique L-bar. This is currently being utilized by 19 different broadcasts across the EMEA and APAC regions as well as the Americas and reinforces our wide-ranging partnership with Football DataCo. We encourage anyone listening on the call to explore this new innovation in broadcast and see for yourselves how we're helping leagues and their broadcast partners better engage their fans in new creative ways.

稱為英超聯賽數據區的備用廣播允許觀眾看到球員姓名、傳球準確性、射門速度和球場圖，所有這些都透過獨特的 L 欄融入直播中。目前，歐洲、中東和非洲 (EMEA)、亞太地區以及美洲的 19 個不同的廣播電台正在使用該技術，並加強了我們與 Football DataCo 的廣泛合作夥伴關係。我們鼓勵所有收聽電話會議的人探索這一廣播領域的新創新，並親眼看看我們如何幫助聯盟及其廣播合作夥伴以新的創意方式更好地吸引球迷。

Each week brings a new wave of positive public responses to these innovations, which further validates the idea that fans enjoy having the option to watch live scores with these enhanced features. The technology integration with leagues across the globe is the most effective way for us to protect our data rights, strengthen our competitive moat, create more ways for leagues to better activate their partners and fans and, of course, drive new pools of revenue for our business.

每週都會對這些創新產生新一波的公眾積極反應，這進一步證實了球迷喜歡透過這些增強功能觀看現場比分的想法。與全球聯賽的技術整合是我們保護數據權利、加強競爭護城河、為聯賽創造更多方式更好地激活其合作夥伴和球迷的最有效方式，當然，也為我們帶來新的收入來源。商業。

This brings us to BetVision. BetVision is a first of its kind product that is differentiated from anything else in the market. While live streaming has existed on Sportsbook apps for several years, the key difference in BetVision is the combination of all our best technology assets that are unique to Genius. Real-time NFL stats, live betting markets, computer vision and augmentation capabilities and integrated bet slips. This sets us up on the path to revolutionize sports betting experience and represents the first genuine example of the convergence of sports betting, media and broadcast.

這讓我們想到了 BetVision。 BetVision 是同類產品中的第一個，與市場上的其他產品不同。雖然體育博彩應用程式中的直播已存在多年，但 BetVision 的主要區別在於結合了 Genius 獨有的所有最佳技術資產。即時 NFL 統計數據、即時投注市場、電腦視覺和增強功能以及整合投注單。這使我們走上了徹底改變體育博彩體驗的道路，並代表了體育博彩、媒體和廣播融合的第一個真正的例子。

For those who have not yet seen the product, BetVision is a single platform where users can view the lowest latency stream of NFL games, find real-time data, control the level of broadcast enhancements and place bets or from within the video player. In other words, users can find everything they need, all in one place, giving our sportsbook customers and league partners a critical tool to attract the sticky engaged fans that they all want.

對於那些還沒有見過該產品的人來說，BetVision 是一個單一平台，用戶可以在其中查看最低延遲的 NFL 比賽串流、查找即時數據、控制廣播增強級別並在視訊播放器內下注。換句話說，用戶可以在一個地方找到他們需要的一切，這為我們的體育博彩客戶和聯盟合作夥伴提供了一個關鍵工具來吸引他們想要的黏性粉絲。

Importantly, it also simplifies and enhances the discoverability of in-play betting. BetVision now delivers many of the features that users want to see alongside their in-play betting experience. And although it's still in early days and early in the season, the initial results in September have been very encouraging. First, 54% of the total number of bets made by BetVision streamers were in-play bets. Of the total betting handle or dollar volume [bet] from BetVision streamers, 83% was from in-play betting. This compares to the 20% to 25% we have seen historically in the U.S.

重要的是，它還簡化並增強了滾球投注的可發現性。 BetVision 現在提供了許多用戶希望看到的功能以及現場投注體驗。儘管現在仍處於季節初期，但 9 月的初步結果非常令人鼓舞。首先，BetVision 主播投注總數的 54% 是滾球投注。在 BetVision 主播的總投注額或金額 [投注] 中，83% 來自賽中投注。相較之下，我們在美國歷史上看到的比例為 20% 至 25%。

We've also seen that in-play handle from streamers increased by 121% since week 1 and overall handle per streamer has increased by 87% in that same time period. These data points should highlight how BetVision drives higher engagement and more betting volume for our Sportsbook partners. The growth of in-play volume from BetVision is a clear demonstration that we can achieve our longer-term expectations of 70% to 80% like we have seen in more mature markets. This is important to us because we own 5% to 6% share of in-play gaming revenue, which is roughly 3x higher than our pre-match revenue share. So as we continue to increase the in-play betting, we directly benefit from this higher revenue share at no incremental cost, therefore, contributing to our profitability at near 100% margin.

我們還發現，自第一周以來，主播的遊戲中處理量增加了 121%，同一時期內每個主播的整體處理量增加了 87%。這些數據點應強調 BetVision 如何為我們的運動博彩合作夥伴提高參與度和投注量。 BetVision 投注量的成長清楚地表明，我們可以實現 70% 至 80% 的長期預期，就像我們在更成熟的市場中看到的那樣。這對我們來說很重要，因為我們擁有 5% 到 6% 的現場遊戲收入份額，這比我們的賽前收入份額高出約 3 倍。因此，隨著我們繼續增加滾球盤投注，我們可以直接從更高的收入份額中受益，而無需增加成本，從而為我們帶來接近 100% 利潤率的盈利能力。

To close, you should hopefully have a better understanding of how our technology is solidifying our position within leagues and helping all of our partners better engage fans and drive profitability. We're delivering on our strategic objectives, and this is translating into consistent financial results ahead of expectations.

最後，您應該希望能夠更好地了解我們的技術如何鞏固我們在聯盟中的地位，並幫助我們所有的合作夥伴更好地吸引球迷並提高盈利能力。我們正在實現我們的策略目標，這正在轉化為持續超出預期的財務表現。

I'll now hand the call to Nick to cover these financial results in more detail.

現在我將把電話轉給尼克，以更詳細地介紹這些財務表現。

Thank you, Mark. You've already heard that the group level numbers from Mark, and we're pleased to report revenue and adjusted EBITDA ahead of expectations for the third time this year. Much of the outperformance was in our betting product, which contributed $66 million of revenue in the quarter. This exceeded our guidance by $2 million and represented 34% year-on-year growth, the highest annual growth rate in almost 2 years. We exceeded our expectations despite operator win margins being lower than the comparable period last year, as you have heard them discuss over the previous few weeks.

謝謝你，馬克。您已經從 Mark 那裡聽說過集團層面的數據，我們很高興今年第三次超出預期地報告收入和調整後 EBITDA。我們的博彩產品表現出色，該產品在本季度貢獻了 6,600 萬美元的收入。這超出了我們的指引 200 萬美元，年成長 34%，是近兩年來的最高年度成長率。儘管營運商的利潤率低於去年同期，但正如您在過去幾週聽到他們討論的那樣，我們還是超出了我們的預期。

Our performance was driven by multiple talents in the sports betting industry across the globe, new customer wins and continued growth with our global Sportsbook partners through the cross-sell of additional services and higher utilization of content. Our media revenue was $23 million in the quarter, only slightly behind our guidance of $24 million, mostly due to Sportsbooks, pulling some of their advertising spend forward in Q2, as we mentioned on the last call. That said, our major segment returned to the type of strong growth we expected against more normalized comps with growth of 28% year-on-year.

我們的業績得益於全球體育博彩行業的多名人才、新客戶的贏得以及透過交叉銷售附加服務和提高內容利用率與我們的全球體育博彩合作夥伴的持續增長。我們本季的媒體收入為2300 萬美元，僅略低於我們2400 萬美元的指導，這主要歸功於體育博彩，正如我們在上次電話會議中提到的那樣，他們在第二季度提前了一些廣告支出。也就是說，我們的主要細分市場恢復了我們預期的強勁成長類型，而較正常化的公司則是年增 28%。

On a group adjusted EBITDA basis, we've reported $18 million, beating our guidance of $17 million and representing nearly 2.5x growth compared to Q3 of 2022. On the right-hand side of Slide 10, I'd like to highlight the consistent growth in adjusted EBITDA we have demonstrated throughout the year. Year-to-date, we have grown our adjusted EBITDA by $28 million compared to last year, representing a 56% incremental margin of the revenue growth of $50 million.

在集團調整後的EBITDA 基礎上，我們報告了1800 萬美元，超出了1700 萬美元的指導，與2022 年第三季度相比增長了近2.5 倍。在幻燈片10 的右側，我想強調一致的我們全年展示了調整後 EBITDA 的成長。今年迄今為止，我們的調整後 EBITDA 與去年相比增長了 2800 萬美元，相當於 5000 萬美元收入增長的 56% 的增量利潤率。

You will see how our adjusted EBITDA margins have expanded in each quarter this year, beginning in Q1, where we improved by nearly 1,200 basis points year-on-year to the Q2 improvement of over 600 basis points and the Q3 improvement of 770 basis points. This is true on a group margin basis as well. In each quarter, our gross margins have materially improved year-on-year. Most recently, in Q2 and Q3, we improved our gross margins by 1,500 to 1,600 basis points. This is driven by a cost structure that, as we've said before, can support significantly higher revenues.

您將看到今年每季我們調整後的EBITDA 利潤率如何擴大，從第一季開始，我們比去年同期提高了近1,200 個基點，第二季提高了600 多個基點，第三季提高了770 個基點。在集團利潤率的基礎上也是如此。每個季度，我們的毛利率都比去年同期大幅提高。最近，在第二季和第三季度，我們的毛利率提高了 1,500 至 1,600 個基點。這是由成本結構驅動的，正如我們之前所說，該結構可以支援顯著更高的收入。

If you look at Page 15, you will see for the 9 months ended the 30th September, our cost of revenue, sales and marketing, R&D and G&A are all down on a GAAP basis over the comparable time frame from 2022. We have long discussed the operating leverage of this business, and we are now proving this in our year-to-date results. Looking ahead, we expect to finish the year well ahead of where we initially guided, and now aim to deliver $412 million in group revenue and $53 million in group adjusted EBITDA. And this assumes an exchange rate of 1.25, consistent with our assumptions last quarter. Importantly, we also finished the quarter with $116 million of cash on the balance sheet, ahead of our closing balance in Q2, and we maintained our expectation to be cash flow positive in H2.

如果您查看第15 頁，您會發現截至9 月30 日的9 個月中，我們的收入、銷售和行銷、研發和一般行政費用在2022 年可比時間範圍內按GAAP 計算均有所下降。我們長期以來一直在討論該業務的營運槓桿，我們現在正在今年迄今的業績中證明這一點。展望未來，我們預計今年的業績將遠遠超出最初的預期，目前的目標是實現 4.12 億美元的集團收入和 5300 萬美元的集團調整後 EBITDA。假設匯率為 1.25，與我們上季的假設一致。重要的是，本季結束時，我們的資產負債表上還有 1.16 億美元的現金，早於第二季的期末餘額，我們維持下半年現金流為正的預期。

And with that, we will conclude our prepared remarks and open the line to Q&A.

至此，我們將結束準備好的發言並開始問答。

(Operator Instructions) Your first question comes from the line of Ryan Sigdahl from Craig Hallam.

（操作員說明）您的第一個問題來自 Craig Hallam 的 Ryan Sigdahl。

I want to start with Florida. So the Seminole Tribe via the Hard Rock app relaunched last week. Are they a Genius data customer? And how do you think about that opportunity?

我想從佛羅裡達開始。因此，塞米諾爾部落上週透過 Hard Rock 應用程式重新啟動。他們是 Genius 數據客戶嗎？您如何看待這個機會？

Ryan, it's Mark. Yes, they are a data customer. And obviously, it's very good news. We [supported] them this weekend with their launch. They've -- some sort of nuance to the launch at the moment. They've gone live only with customers that have historically downloaded their app. So at the moment, we're sort of viewing it very, very positively, it's a significant opportunity, but we've just been cautious to begin with. And overall, we think this is very positive. The other thing that's probably worth just mentioning is it really sort of demonstrates our operational leverage and the underlying business model as a new state comes on board, we are immediately able to support that state with additional products at virtually no extra cost, so it drops through at near 100% margin for us.

瑞安，我是馬克。是的，他們是數據客戶。顯然，這是一個非常好的消息。我們本週末[支持]他們的發布。他們目前的發布存在一些細微差別。他們只對曾經下載過他們的應用程式的客戶開放。所以目前，我們非常非常積極地看待它，這是一個重要的機會，但我們一開始就持謹慎態度。總的來說，我們認為這是非常積極的。另一件可能值得一提的事情是，它確實展示了我們的營運槓桿和基礎商業模式，當一個新的州加入時，我們立即能夠透過額外的產品來支持該州，幾乎不需要額外的成本，所以它下降了我們的利潤率接近 100%。

And then just on BetVision, I appreciate those first couple of week metrics you gave in the prepared remarks. Given that, I guess, has that changed your asking price or negotiating leverage with the other Sportsbooks besides that original 3 that you launched with? And then kind of second to that, I guess, what needs to happen to get the big 2 sports books to use it?

然後就在 BetVision 上，我很欣賞您在準備好的評論中給出的前幾週指標。有鑑於此，我想，除了您最初推出的 3 家體育博彩公司之外，這是否改變了您的要價或與其他體育博彩公司的談判籌碼？接下來，我想，需要做什麼才能讓兩大運動書籍使用它？

Look, I've said right at the beginning, this is about not only with BetVision, but with our wider [augmentation] products. It's about ubiquity, and it's changing the user behavior. I think this is a really positive start, and we've got close relationships with those Sportsbooks. I've said a number of times that we're going through a process at the moment of contract renewals that will be coming up over the next period. And obviously, any negotiations we have are going to be part of those wider renewals.

看，我一開始就說過，這不僅與 BetVision 相關，還與我們更廣泛的[增強]產品相關。它無所不在，並且正在改變使用者的行為。我認為這是一個非常積極的開始，我們與這些體育博彩公司建立了密切的關係。我已經說過很多次了，我們正在經歷一個合約續約的過程，該過程將在下一個時期進行。顯然，我們進行的任何談判都將成為更廣泛的續約的一部分。

The other part of your question was -- sorry, remind me the second question you had?

你問題的另一部分是──抱歉，請提醒我你的第二個問題？

Yes, you kind of answered it. It was mainly just the big 2 Sportsbooks. And if there's anything, I guess, to put them on, but you answered it, I think.

是的，你已經回答了。主要是兩大體育博彩公司。我想，如果有東西可以穿上它們，但我想你已經回答了。

Yes. Look, we feel super positive about our position. We're feeling good about that.

是的。看，我們對自己的立場非常樂觀。我們對此感覺良好。

Your next question comes from the line of Bernie McTernan from Needham & Company.

您的下一個問題來自 Needham & Company 的 Bernie McTernan。

Great. Maybe just a follow-up on the Hard Rock question, same thing, but for ESPN BET launching this week. Any thoughts on how that will impact the business and what's contemplated in the 4Q guide?

偉大的。也許只是 Hard Rock 問題的後續，同樣的事情，但 ESPN BET 將於本週推出。對於這將如何影響業務以及第四季度指南中的設想有何想法？

Yes. I mean, good question again, and thanks for sort of highlighting that, but bluntly the same answer. They are a customer, and we see the opportunity as very exciting for the business. And again, underlying operational leverage that we've got.

是的。我的意思是，又是一個好問題，感謝您強調這一點，但坦白說是相同的答案。他們是客戶，我們認為這個機會對業務來說非常令人興奮。再說一遍，我們擁有基本的營運槓桿。

Bernie, it's Nick. And specifically on the Q4 guide, I think Mark alluded to it in the last call, these were very positive long-term trends for us. They don't make any significant difference in the short term given we're dealing with, what, 5 or 6 weeks of the season when as you know as well, Bernie, 70% of our revenues are still outside of the U.S.

伯尼，是尼克。特別是關於第四季度的指南，我認為馬克在上次電話會議中提到了這一點，這些對我們來說是非常積極的長期趨勢。考慮到我們正在處理賽季的 5 或 6 週，伯尼，我們 70% 的收入仍然來自美國境外，因此短期內它們不會產生任何重大影響。

Understood. And then with the hire of Manny Puentes, former CTO of MediaMath, can you just talk about some of the changes or developments that's going to be happening in the advertising product?

明白了。然後，隨著 MediaMath 前首席技術長 Manny Puentes 的聘用，您能否談談廣告產品中將發生的一些變化或發展？

Yes. Look, I mean, I think I've been fairly clear about our strategy in the advertising market over time. It's obviously growing very nicely. You've seen that come through in our results. Manny is, I mean, a fantastic hire for us. He's very well respected in the ad tech market, he's been the pioneer of a number of the ad tech platforms out there, and he's a big part of what we're focusing on.

是的。聽著，我的意思是，我想隨著時間的推移，我對我們在廣告市場的策略已經相當清楚了。顯然它生長得非常好。您已經在我們的結果中看到了這一點。我的意思是，曼尼對我們來說是一個很棒的員工。他在廣告科技市場上非常受人尊敬，他是許多廣告科技平台的先驅，也是我們關注的重要組成部分。

Clearly, brands, agencies are a big focus for us, for the business, and the development of our tech platform and the development of the technology and that really is incremental growth in the business. There's no sort of big bangs we're expecting, is a big part of our strategy. And again, we're seeing real value coming from it. So we're -- frankly, Manny is a great hire, and we're really excited to be working with him.

顯然，品牌、代理商是我們、業務、技術平台和技術發展的重點，這確實是業務的增量成長。我們沒有期待任何大爆炸，這是我們策略的重要組成部分。我們再次看到了它的真正價值。因此，坦白說，曼尼是一位出色的僱員，我們很高興與他合作。

Your next question comes from the line of Jordan Bender from JMP Securities.

您的下一個問題來自 JMP 證券的 Jordan Bender。

Are you seeing -- for BetVision, are you seeing the incremental players or those people watching? Are they coming from traditional cable viewing? Or is there kind of enough evidence to say those are 2 screen watching betters?

對於 BetVision，您看到的是增量玩家還是觀看的人？它們來自傳統的有線電視觀看嗎？或者是否有足夠的證據表明這兩個螢幕觀看效果更好？

Yes. I mean, just to be clear, we obviously don't have any specific data about the crossover between cable and BetVision. But this is about a second screen experience. There's a lot value -- a lot of incremental additional product sets that we rolled out with BetVision with the augmentation. And whilst -- we're treating it cautiously because they are sort of small sample sizes, and we want to -- we want to be very cautious about what we're saying. The initial results are incredibly positive.

是的。我的意思是，需要澄清的是，我們顯然沒有關於有線電視和 BetVision 之間交叉的任何具體數據。但這是關於第二螢幕體驗。這有很多價值——我們透過 BetVision 的增強推出了許多增量附加產品集。同時 - 我們正在謹慎對待它，因為它們的樣本量很小，而且我們希望 - 我們希望對我們所說的話非常謹慎。初步結果非常正面。

One thing that's probably worth I think is a sort of interesting take that you may not sort of be too focused on is, we've obviously talked historically about the shift of in-play. We expect a much higher -- the U.S. market to be a large in-play market in the same way that the European market is just to remind people on the call, roughly sort of 70%, 80% of all bets in a mature market are made in-play.

我認為可能值得的一件事是一種有趣的觀點，你可能不太關注的是，我們顯然在歷史上討論過比賽中的轉變。我們預計美國市場將是一個大型的滾球市場，就像歐洲市場只是提醒人們在電話會議中一樣，大約佔成熟市場所有投注的 70%、80%是在比賽中進行的。

And what we've sort of said consistently is that a lot of the growth is going to come from product-led growth. And if you remember, FanDuel announced in their results a few months ago, 67% of their NFL bets were made from -- by people who didn't leave the homepage. My comment at the time, I think, was that we're very much focused on helping the bookmakers, helping the Sportsbooks to drive their players to in-play betting through better products. That's how we're helping that transition. And this is a really good example of that.

我們一直說的是，大部分成長將來自產品主導的成長。如果你還記得的話，FanDuel 在幾個月前的結果中宣布，他們 67% 的 NFL 投注都是由那些沒有離開主頁的人進行的。我認為，我當時的評論是，我們非常專注於幫助博彩公司，幫助體育博彩公司透過更好的產品推動他們的玩家進行賽中投注。這就是我們幫助這一轉變的方式。這是一個很好的例子。

And frankly, it's also a really good proof point that the bookmakers are taking the transition of players from pre-match or from even homepage betters to sort of more sophisticated in-play -- players is something that we're sort of seeing very positively. So we're incredibly excited about this product. It demonstrates the strength of the augmentation product line, strength of Second Spectrum. And again, we're seeing it very well received in the market.

坦白說，這也是一個很好的證據，表明博彩公司正在將球員從賽前甚至主頁更好的球員轉變為更複雜的比賽中球員——我們對球員的看法非常積極。所以我們對這個產品感到非常興奮。它展示了增強產品線的實力、Second Spectrum 的實力。我們再次看到它在市場上很受歡迎。

Great. And then you guys are having several Board members leave the company. Can you just kind of talk to what you're looking forward to fill those seats?

偉大的。然後你們讓幾位董事會成員離開了公司。您能談談您希望填補這些席位的人嗎？

Sorry. Can you say that again. We're looking...

對不起。你能再說一次嗎。我們正在尋找...

Yes. Can you guys just kind of talk to who you're looking for, the qualities of the people that you're looking for to fill those Board seats?

是的。你們能談談你們正在尋找的人選，以及你們正在尋找的填補董事會席位的人的素質嗎？

Yes. Look, I mean, we have had a very strong Board, and it's done a very good job for the company. This is a natural transition as Board members come to the end of their terms. Going forward, we're looking for, I guess, all the sort of obvious people to support the growth of the company, provide us with the continued ability to scale and leverage the business in public markets and continue to mature as a public company. So I mean, it's is an active process that we are now running, and we're excited about some of the quality of the candidates coming through.

是的。聽著，我的意思是，我們有一個非常強大的董事會，它為公司做了非常好的工作。這是董事會成員任期結束時的自然過渡。展望未來，我想，我們正在尋找所有類型的明顯人才來支持公司的發展，為我們提供持續擴大和利用公開市場業務的能力，並作為一家上市公司繼續成熟。所以我的意思是，這是我們現在正在進行的一個積極的過程，我們對候選人的一些品質感到興奮。

Your next question comes from the line of Joshua Marin from Oppenheimer.

你的下一個問題來自奧本海默的約書亞·馬林。

Could you remind us on your exposure with European soccer holds that other Sportsbooks and competitors have called out? Is there any color to add there?

您能否提醒我們，您在歐洲足球賽事中的表現曾受到其他運動博彩公司和競爭對手的批評？有什麼顏色可以加嗎？

Josh, it's Nick. Our European business isn't massively exposed to hold. As you know, most of our European business is on what's known as a sort of fixed fee basis. And therefore, individual results or individual weekends don't have any significant issues for us in terms of our revenue recognition.

喬什，這是尼克。我們的歐洲業務並沒有大量面臨持有風險。如您所知，我們的歐洲業務大多是以所謂的固定費用為基礎。因此，就我們的收入確認而言，個別結果或個別週末對我們來說不存在任何重大問題。

Your next question comes from the line of Mike Hickey from Benchmark & Company.

您的下一個問題來自 Benchmark & Company 的 Mike Hickey。

Great quarter. Nice to see that free cash flow. Congratulations. Just 2 questions. One on BetVision. Just curious if you double-click there on how you think about scaling the product. Obviously, you can add more operators and get [value or ask] that. But how you think about, I guess, scaling within the operators that you have and/or maybe other sports leagues, Mark, you could add over time besides obviously, it's a component product, and how you think about materiality as you scale it, whether it's impactful for '24, or we should think beyond that?

很棒的季度。很高興看到自由現金流。恭喜。只有 2 個問題。 BetVision 上的一篇。只是好奇您是否雙擊那裡，了解您如何看待擴展產品。顯然，您可以添加更多運算符並獲得[值或詢問]。但是，我想，你如何考慮在你擁有的運營商和/或其他體育聯盟內進行擴展，馬克，你可以隨著時間的推移添加，顯然，它是一個組件產品，以及你在擴展它時如何看待重要性，它對 24 世紀是否有影響，或者我們應該考慮更遠的問題？

Second question is on your model. I mean, clearly, it's working here. Incremental margins off the charts. So margins are growing, obviously, but curious how you think about efficiency, your primary peer here is taking another look at their OpEx, they're optimizing the reducing head count. Just curious how you're thinking about your overall OpEx and if you think there's efficiencies you can find?

第二個問題是關於你的模型。我的意思是，很明顯，它在這裡起作用。增量利潤超出圖表。因此，利潤顯然在增長，但好奇你如何看待效率，你的主要同行正在重新審視他們的營運支出，他們正在優化減少人員數量。只是好奇您如何看待整體營運支出以及您是否認為可以提高效率？

Okay. Let's sort of take those backwards because there's quite a lot in there. So look, in terms of incremental margin, I mean, yes, you're right. I mean they're coming through really nicely. It really is demonstrating, as I said before, sort of kind of [beating myself], the operational leverage in the business, and we're really happy about that. In terms of the scale of the business, we feel we're rightsized. We've been very careful about cost control. We've managed the business very well over the period.

好的。讓我們倒退一下，因為裡面有很多東西。所以看，就增量利潤而言，我的意思是，是的，你是對的。我的意思是他們的進展非常順利。正如我之前所說，這確實展示了一種[打敗自己]，業務的營運槓桿，我們對此感到非常高興。就業務規模而言，我們認為我們的規模正在合理調整。我們一直非常謹慎地控製成本。在此期間，我們的業務管理得非常好。

And I think at the moment, we're seeing the underlying cost base and rightsize if anything, we may even look at sort of potentially a small reduction in some of the capital outlay. And a lot of the reason that we're able to do that is because a lot of the growth in the future, a lot of the focus in the business is Second Spectrum and what we've been doing there. And really when we bought that business, we bought a business that had an awful lot of investment in it. So there's a lot of companies out there that are trying to move into the AI machine learning and computer vision space. I think it's very difficult to do that. But certainly, it's the case if you are even trying to do that, you need to spend a lot of money.

我認為目前，我們正在看到潛在的成本基礎和調整規模（如果有的話），我們甚至可能會考慮一些資本支出的潛在小幅減少。我們能夠做到這一點的許多原因是因為未來的大量成長，業務的大部分重點都是 Second Spectrum 以及我們一直在那裡做的事情。實際上，當我們購買該業務時，我們購買了一家投入了大量投資的業務。因此，有許多公司正在嘗試進入人工智慧機器學習和電腦視覺領域。我認為做到這一點非常困難。但當然，如果你想這樣做，你就需要花很多錢。

Now we've already spent a lot of money. We know -- probably over $250 million, I think, has been invested in Second Spectrum that computer vision, machine learning, AI, augmentation, technology that's now really delivering hard revenues and really delivering growth, which I'll come on to in a second of BetVision. But I think that from our point of view, we're not foreseeing any sort of major material changes in the way we're operating the business. We feel we're doing it in the right way. We feel we're rightsized and we will, if anything, be with the way it's operated at the moment, we'd be potentially reducing some of those cost lines.

現在我們已經花了很多錢了。我們知道，我認為，Second Spectrum 的電腦視覺、機器學習、人工智慧、增強技術的投資可能超過 2.5 億美元，這些技術現在確實帶來了硬收入並真正帶來了成長，我將在BetVision 的第二名。但我認為，從我們的角度來看，我們預計我們的業務運作方式不會發生任何重大的重大變化。我們覺得我們正在以正確的方式做這件事。我們覺得我們的規模正在調整，如果有的話，我們將採用目前的營運方式，我們有可能減少其中一些成本線。

On the BetVision product, there was a lot in that question, and sort of give me a bit of faith to talk about it. I mean, look, in terms of scaling, I think there are 2 main areas, and you correctly highlighted them, that are obvious. One is the number of operators. And again, our model here is about making sure that we distribute the BetVision product in the same way that we're trying to do with the augmentation products and frankly, having a lot of success with that augmentation product to as many different customers as possible. And again, that changes customer behavior, it gets ingrained, and people are starting to see real value. And that value again, has been highlighted in some of the metrics that we've shared today with the results, although we are being cautious about that.

關於 BetVision 產品，這個問題有很多內容，這給了我一些談論它的信心。我的意思是，看，就縮放而言，我認為有兩個主要領域，並且您正確地突出顯示了它們，這是顯而易見的。一是營運商的數量。再說一遍，我們的模型是確保我們以與增強產品相同的方式分發 BetVision 產品，坦白說，透過該增強產品向盡可能多的不同客戶取得了巨大成功。再一次，這改變了客戶的行為，它變得根深蒂固，人們開始看到真正的價值。儘管我們對此持謹慎態度，但我們今天與結果分享的一些指標再次強調了這一價值。

In terms of the sports, clearly, our technology is not only focused on the NFL. I mean, obviously, the NFL is a huge part of our partnership base. But also the work that we've done with Premier League productions recently is worth highlighting because it's maybe not always obvious to people. We have a very sophisticated soccer product that, again, Premier League production, which is the commercial arm that distributes European -- sorry, U.K. soccer to global broadcasters, they have taken Second Spectrum, and they have used -- or they are using Second Spectrum to augment that soccer broadcast to multiple different jurisdictions that they're selling their streams in and including in the states, you'll see on Peacock.

就體育運動而言，顯然我們的技術不僅僅專注於 NFL。我的意思是，顯然，NFL 是我們合作夥伴基礎的重要組成部分。但我們最近在英超聯賽製作方面所做的工作也值得強調，因為這對人們來說可能並不總是顯而易見的。我們有一個非常複雜的足球產品，同樣是英超聯賽的製作，它是向全球廣播公司分發歐洲足球——對不起，英國足球的商業部門，他們已經採用了Second Spectrum，並且他們已經使用了——或者他們正在使用Second Spectrum Spectrum 將足球轉播擴展到多個不同的司法管轄區，他們在這些司法管轄區出售串流媒體，包括在各州，您將在 Peacock 上看到。

So the reason that's interesting is, firstly, it goes to our Second Spectrum technology, which is, again, the broadcast market is good for us. But also in terms of specifically BetVision, it gives us -- it shows you the capabilities that we have with additional sports. So soccer is something that we've done. Basketball is obviously something we're very sophisticated in as well and is available to us. So we've got the ability to augment there.

因此，有趣的原因是，首先，它涉及我們的第二個頻譜技術，這又是廣播市場對我們有利的。但就 BetVision 而言，它向我們展示了我們在其他運動方面的能力。所以足球是我們已經做過的事。籃球顯然也是我們非常擅長的項目，我們可以參與其中。所以我們有能力在那裡增強。

The sort of final area that's probably left sort of obvious with the BetVision stuff is around some of the advertising and sponsorship work. Now clearly, putting out these augmented streams gives us the ability to create new content, and that new content is open for either the bookmakers to advertise effectively to themselves, retarget, reactivate their own customers, but also potentially bringing partners of there. So that's another stream of business that we'll be looking into over the coming period. Hopefully, that sort of answers the question on that, Mike.

BetVision 的最後一個領域可能比較明顯的是一些廣告和贊助工作。現在顯然，推出這些增強的串流使我們能夠創建新內容，並且新內容對博彩公司開放，可以有效地向自己做廣告，重新定位，重新激活自己的客戶，也有可能引入合作夥伴。這是我們在未來一段時間內將研究的另一個業務領域。希望這能回答這個問題，麥克。

Yes, Mark, the only other piece -- that was great. The only other piece was how you think about -- maybe it's too early days here, but if we should be thinking about some level of impact. Obviously, you've got the stickiness and the rights fee impact. That's more qualitative, I guess, but will obviously feed math. But just how you're thinking about whether or not this can be a driver for you in '24 or if we should be thinking more medium term?

是的，馬克，唯一的另一件作品——太棒了。唯一的另一部分是你如何思考——也許現在還為時過早，但我們是否應該考慮某種程度的影響。顯然，你已經受到了黏性和版權費的影響。我想這更具定性，但顯然會為數學提供幫助。但您如何考慮這是否可以成為 24 年您的驅動力，或者我們是否應該考慮更多中期問題？

Yes. Look, I mean, there's sort of 2 parts to that, I guess. The first is the shift of U.S. sports betting in-play is a clear focus for us. I mean, just to remind you, we take about 1.25% prematch and somewhere between 5% and 6% of in-play betting. So not only through the BetVision product, do you see an increase in the volume or increase in handle as I went through in my remarks. But we're also taking somewhat 2, 3x the amount of share of that. So there's a compounding effect there that's obviously material to our business. And in terms of what -- some of the growth that's coming out of the business and some of the numbers that we'll indicate in the future, that will obviously be contained within that.

是的。聽著，我的意思是，我猜這有兩個部分。首先是美國體育賽事中的體育博彩的轉變是我們的一個明確關注點。我的意思是，提醒您一下，我們收取大約 1.25% 的賽前投注和 5% 到 6% 的賽中投注。因此，不僅透過 BetVision 產品，正如我在演講中所講的那樣，您是否會看到音量或手柄的增加。但我們也獲得了 2、3 倍的份額。因此，複合效應顯然對我們的業務至關重要。就業務方面的一些成長以及我們未來將指出的一些數字而言，這顯然將包含在其中。

Your next question comes from the line of Jason Bazinet from Citi.

您的下一個問題來自花旗銀行的 Jason Bazinet。

You guys have a very good track record in terms of delivering financials that are consistent or ahead of your guidance. And I guess my question is, as we think about sort of next quarter you offering up guidance for 2024. I'd be curious the 1 or 2 things that are swing factors next year. Like what are 1 or 2 things that could break your way or work against you as we think the '24?

你們在提供與指導方針一致或超前的財務數據方面有著非常良好的記錄。我想我的問題是，當我們考慮下個季度您會提供 2024 年的指導時。我很好奇明年的一兩個搖擺因素。就像我們認為的 24 世紀那樣，有哪一兩件事可能會破壞你的道路或對你不利？

Yes. Look, there's a number of sort of, I guess -- the underlying business is reasonably predictable. And I appreciate you saying that we've got a good track record. And I think that's a function of us having really strong visibility over the underlying cost base, but also really over the way that we structured our contracts. 2024 -- I'm not sure I got it right, you're right, year is an important year for us in terms of renegotiations with our bookmaker clients, the addition of new products such as BetVision, combined with the cycle of NFL renewals that we've talked about coming through with the U.S. Sportsbooks.

是的。看，我猜，有很多基礎業務是可以合理預測的。我很感謝你說我們有良好的記錄。我認為這是我們對基本成本基礎以及我們建立合約的方式擁有真正強大的可見性的功能。 2024 年——我不確定我是否理解正確，你是對的，這一年對我們來說是重要的一年，我們將與博彩公司客戶重新談判，添加BetVision 等新產品，並結合NFL 的續約週期我們已經討論過與美國體育博彩公司的合作。

So those contract negotiations are very important to us. Again, we've got a very good track record with our partners of doing deals. We've been doing this a very long time. So we understand how to structure mutually beneficial partnerships on an ongoing basis. So that pricing is a function, is a focus of us.

因此，這些合約談判對我們來說非常重要。同樣，我們與合作夥伴在交易方面有著非常良好的記錄。我們已經這樣做很久了。因此，我們了解如何持續建構互利的夥伴關係。所以說定價是功能，是我們關注的重點。

I think on the cost side, it's reasonably straightforward. Again, we've got a very good grip of our underlying cost base. We've got incredibly good visibility. And I think one of the important things to highlight again here is that our rights deals that we've got, they go out into the future, and we've got really good visibility. We know how much we're going to be paying our partners over the coming years. And what that allows us to do is to be very diligent with our cost management.

我認為從成本方面來看，這是相當簡單的。同樣，我們很好地掌握了我們的基本成本基礎。我們擁有令人難以置信的良好能見度。我認為這裡要再次強調的重要事情之一是我們已經獲得的版權交易，它們面向未來，而且我們擁有非常好的知名度。我們知道未來幾年我們將向合作夥伴支付多少錢。這讓我們能夠非常勤奮地進行成本管理。

And I think that, combined with the fact that we don't need to do any other rights deals. We've got everything we need. I've said it many, many times, I'll say it again. It means that we don't expect there to be -- if a rights deal comes up or something comes up that we think is particularly important, then obviously, we'll participate in it. But frankly, we're only going to do that if it marries with the strategy of generating profitable growth. So again, we feel quite good about that.

我認為，再加上我們不需要進行任何其他版權交易這一事實。我們已經擁有了我們所需要的一切。我已經說過很多很多次了，我還要再說一次。這意味著我們不希望出現這樣的情況——如果出現版權交易或出現我們認為特別重要的事情，那麼顯然我們會參與其中。但坦白說，只有與實現獲利成長的策略結合，我們才會這樣做。再說一遍，我們對此感覺很好。

So at the moment, we feel like 2024 is a highly predictable year for us. We understand where we are in our commercial partnerships. It's not without some risk around some of the renegotiations. But equally, we've got an incredible strength of product. So I would think that we will have a lot of success in that -- on that basis.

所以目前，我們覺得 2024 年對我們來說是高度可預測的一年。我們了解我們在商業合作夥伴關係中的位置。一些重新談判並非沒有風險。但同樣，我們擁有令人難以置信的產品實力。所以我認為我們將在此基礎上取得很大的成功。

Can I just ask 1 follow-up. The timing of those contract renewals on the revenue side, will those contracts sort of be known knowns by the time you give '24 guidance? Or it will be known unknown?

我可以只問 1 次後續行動嗎？這些合約在收入方面續約的時間，在您給出 24 小時指導時，這些合約是否已經知道了？還是會被知道未知？

They are known unknowns. We will not -- we know that we don't know. So -- and that will be the case, frankly, until a lot further into the year.

他們是已知的未知數。我們不會——我們知道我們不知道。所以——坦白說，這種情況將會持續到今年更長。

Your next question comes from the line of Clark Lampen from BTIG.

您的下一個問題來自 BTIG 的 Clark Lampen。

I've got 2. I'll ask another, I guess, sort of known unknown question. Nick, you're back to generating free cash. You highlighted sort of value exchange with new services as part of that partner renegotiation process. I guess I'm just curious, as we're thinking about the sort of future stages of renegotiation approaching, how you might think about product and that sort of value exchange? Would you look to build more of this sort of incremental product internally with your own resources? Is this something you could use the balance sheet to boost and sort of improve over time? That's question one.

我有 2 個。我想我會問另一個已知的未知問題。尼克，你又開始賺取自由現金了。您強調了與新服務的價值交換，作為合作夥伴重新談判過程的一部分。我想我只是好奇，當我們正在考慮重新談判的未來階段時，您會如何看待產品和那種價值交換？您是否希望利用自己的資源在內部建立更多此類增量產品？隨著時間的推移，您可以利用資產負債表來推動和改進這一點嗎？這是問題一。

Yes. Clark, it's Nick. It's about balance, I guess, is probably the headline to that answer. We absolutely will continue to develop new products. We are a technology business. I mean one of the great things about BetVision that Mark touched on the answer just earlier to Mike's question was getting it out there and getting it used by all the sports books is then enables us really to use that as a platform to then develop further products and ingrain ourselves and drive further revenues on it.

是的。克拉克，是尼克。我想，這可能是這個答案的標題。我們絕對會繼續開發新產品。我們是一家科技企業。我的意思是，馬克在回答麥克的問題之前談到了 BetVision 的偉大之處之一，就是將其推出並被所有體育書籍使用，這樣我們就可以真正將其用作平台，然後開發更多產品並以此為基礎推動更多收入。

So that's kind of how we're looking at it from the betting side. And it's exactly the same really from the media side. Indeed, again, Mark answered the question earlier about our recruitment in the senior leadership of that area. And that's a really good example, where we're looking. We will develop more products. But going back to my headline is, it's going to be about balance, making sure that we're financially disciplined in doing so and making sure we live within our means.

這就是我們從博彩方面看待它的方式。從媒體方面來看，情況也是完全一樣的。事實上，馬克早些時候再次回答了有關我們在該領域的高級領導層招聘的問題。這是我們正在尋找的一個非常好的例子。我們將開發更多的產品。但回到我的標題是，這將是關於平衡，確保我們在這樣做時遵守財務紀律，並確保我們量入為出。

Understood. And then maybe on the ad business, for Josh. It sounds like the third quarter was a little bit more front-loaded in terms of endemic customer spending. As we're thinking about the sort of implied acceleration for the current quarter, have you seen a pickup in customer spend that sort of underpins or supports that? Are you seeing maybe more of a seasonal push with brand customer cohorts?

明白了。然後也許是喬許的廣告業務。就普遍的客戶支出而言，第三季似乎有點提前了。當我們考慮本季的隱含加速時，您是否看到客戶支出的回升支撐或支持了這一點？您是否看到更多品牌客戶群的季節性推動？

Clark, it's Josh here. Yes, to answer your question, I mean, it's pretty consistent in terms of the spend that we're seeing. I mean Q4 outside -- Q4 is big for the -- is a significant quarter for the Sportsbook business for advertising. It always has been and continue -- will continue to be so. And then as we look to continue to grow the sort of brand space and as people have touched on the hiring there and us sort of very much focused on that, we're seeing some good progress in that area of the business, particularly with it being Q4 and a big spend quarter for a lot of sort of traditional endemic brands around sport. And I expect the seasonality that we see in the betting business around sports to be in that area as well because that's our specialism.

克拉克，我是喬希。是的，為了回答你的問題，我的意思是，就我們所看到的支出而言，這是相當一致的。我的意思是，第四季對於體育博彩廣告業務來說是一個重要的季度。一直如此，並將繼續如此。然後，當我們希望繼續擴大品牌空間，並且人們已經談到那裡的招聘並且我們非常關注這一點時，我們看到該業務領域取得了一些良好的進展，特別是在這方面第四季度是許多傳統運動品牌的大支出季度。我預計我們在體育博彩業務中看到的季節性也會出現在該領域，因為這是我們的專長。

Your next question comes from the line of Eric Martinuzzi from Lake Street.

您的下一個問題來自 Lake Street 的 Eric Martinuzzi。

Yes. On the cash flow projections, I was just curious to know what your expectation is for CapEx for the year. And I think the capitalized software number you've said historically around $40 million for the year, but those 2 numbers would be helpful.

是的。關於現金流預測，我只是想知道您對今年資本支出的預期是多少。我認為您所說的今年軟體資本化金額歷來約為 4000 萬美元，但這兩個數字會有所幫助。

Eric, yes, you're right. We've been spending around about $10 million of capitalized development costs, really, for the last sort of 2 or -- certainly, probably 24 months has been running at that and expecting this quarter to be at a similar level on that position. So it's going to be around about $40 million. CapEx for the quarter is going to be relatively -- it might be $1 million or $2 million in the quarter, but nothing more than that.

艾瑞克，是的，你是對的。實際上，在過去 2 個月（當然，可能是 24 個月）中，我們已經花費了大約 1000 萬美元的資本化開發成本，並預計本季將處於類似水平。所以大約是 4000 萬美元。本季的資本支出將是相對的——本季可能為 100 萬美元或 200 萬美元，但僅此而已。

Your next question comes from the line of Brett Knoblauch from Cantor Fitzgerald.

你的下一個問題來自康托·菲茨杰拉德 (Cantor Fitzgerald) 的布雷特·諾布勞赫 (Brett Knoblauch)。

Congrats on the quarter. I guess I have 2. First, on the betting technology segment, the kind of revenue outperformance there. Could you maybe parse out the drivers behind that a little bit more? Was it maybe NFL performing better from a GGR perspective? Or was it a win rate perspective? Or were there other factors at play? And then on the Ryder Cup and the Rugby World Cup announcements, could you maybe just highlight what that means for your business over maybe the medium to long term? Is that maybe more of building a base to drive additional media revenue? Or how should we think about that?

恭喜本季。我想我有兩個。首先，在博彩技術領域，那裡的收入表現出色。能否進一步解析一下背後的驅動因素？從 GGR 的角度來看，NFL 的表現可能會更好嗎？還是從勝率的角度來看？還是有其他因素在作用？然後，關於萊德盃和橄欖球世界盃的公告，您能否強調一下這對您的業務在中長期內意味著什麼？這是否更多的是建立一個基礎來推動額外的媒體收入？或者說我們該如何思考這個問題？

Brett, I'll take the first part, and I'll hand it over to Josh for the second piece. On the first piece, look, we've always talked about, particularly in the betting business about the multiple levers of growth, and you've heard us talk about that before. And we're seeing -- really seeing those right across 2023. So it's -- and the encouraging thing for us is also growth across the world as well. I think both the European and Americas business are up 30% year-on-year. And that's really coming from a mix of things that's coming from new customer wins, it's coming from pricing in the European markets, but it's also coming from additional services and utilization that we're seeing.

布雷特，我將負責第一部分，第二部分將交給喬許。在第一篇文章中，我們一直在談論，特別是在博彩業務中，關於成長的多種槓桿，你以前也聽過我們談論過這一點。我們確實看到了 2023 年的情況。所以，對我們來說令人鼓舞的是全球範圍內的成長。我認為歐洲和美洲業務年增了30%。這實際上來自於新客戶的贏得，來自歐洲市場的定價，但也來自我們所看到的額外服務和利用率。

So we're seeing it right across the board, and we're very happy with that growth. There's a small benefit of tailwind of foreign exchange within the international business that accounts for a small proportion from the growth. I think the underlying growth is around about 26% once you strip out foreign exchange.

所以我們全面看到了這一點，我們對這種成長感到非常滿意。國際業務中外匯的順風帶來的好處很小，在成長中所佔的比例很小。我認為，如果剔除外匯，潛在成長率約為 26% 左右。

And I'll let Josh pick up the specifics around those biannular events.

我會讓喬許了解這些兩年一次的活動的具體細節。

Yes. I mean, it's really for us, those relationships with Rugby World Cup and Ryder Cup are just a continuation of us having sticky relationships with our sports partners. As a reminder, we built the FIFA World Cup platform. We do a ton of stuff for the NFL. And there's a whole host of reasons that people take those products from us, but around helping our partners understand their audience and feeding that back into the sponsorship models and being able to communicate to their fans better. It's all part of our overall strategy.

是的。我的意思是，這對我們來說真的很重要，與橄欖球世界盃和萊德盃的關係只是我們與體育合作夥伴保持黏性關係的延續。提醒一下，我們建立了 FIFA 世界盃平台。我們為 NFL 做了很多事情。人們從我們這裡購買這些產品的原因有很多，但都是為了幫助我們的合作夥伴了解他們的受眾，並將其反饋到贊助模式中，並能夠更好地與他們的粉絲溝通。這是我們總體戰略的一部分。

(Operator Instructions) Your next question comes from the line of Robin Farley from UBS.

（操作員說明）您的下一個問題來自 UBS 的 Robin Farley。

I had 2 questions. One is, last quarter, you had updated the FX rate that you use in your revenue guidance, and I think it had added to your full year outlook. This quarter, you didn't change, you didn't update for current FX rates. And so I'm just wondering if you did, can you quantify what impact that would have on the revenue guidance, which I guess at this point would just be for Q4? And then also wanted to clarify the earlier comment about the known unknown. You were talking about that you won't know new negotiated terms until later in 2024. Are those terms that would not be effective until 2025? Or would they impact 2024? And we just wouldn't know in your initial guidance? In other words, when do those new terms become effective?

我有兩個問題。一是，上個季度，您更新了收入指引中使用的匯率，我認為它已經增加了您的全年展望。本季度，您沒有改變，也沒有更新目前的匯率。所以我只是想知道你是否這樣做了，你能量化這會對收入指導產生什麼影響嗎？我猜目前這只是針對第四季的影響？然後還想澄清之前關於已知未知的評論。您說要到 2024 年稍後才能知道新的談判條款。這些條款是要到 2025 年才會生效嗎？或者它們會影響 2024 年嗎？我們只是不知道你最初的指導？換句話說，這些新條款什麼時候會生效？

Robin, I'll just take this around the other way, while I remember the second part of the question. Mark's right, in terms of the unknown unknowns, I think Jason's question was talking around about Easter, around about the end of Q1. Most of the negotiations, the contracts roll out mid-summer, really for start of the new NFL season. So they will be effective to '24, but it will be the last few months of '24 rather than knowing about them when we give '24 guidance, which we'd anticipate doing at the full year results.

羅賓，我會用另一種方​​式來理解這個問題，同時我還記得問題的第二部分。馬克是對的，就未知的未知數而言，我認為傑森的問題是在談論復活節，大約是第一季末。大多數談判、合約都會在仲夏時分推出，實際上是為了新的 NFL 賽季的開始。因此，它們將在 24 年生效，但這將是 24 年的最後幾個月，而不是在我們提供 24 年指導時才了解它們，而我們預計會在全年業績中進行指導。

On the FX piece, Robin, your question was -- so we are given the guidance right now to around about 1.25. Actually, current foreign exchange is actually below that now to around about 1.22. So there's a sort of $1 million to $2 million risk on those numbers in relation purely to foreign exchange, which is why we've not moved q4's position.

關於 FX 部分，Robin，你的問題是——所以我們現在得到的指導值約為 1.25。事實上，目前的外匯匯率實際上低於現在，約1.22左右。因此，這些數字純粹與外匯相關，有 100 萬至 200 萬美元的風險，這就是我們沒有改變第四季部位的原因。

When I look at the Q3 position that we've just reported, I think we originally had it at 97 with the original guide at the start of the year. And we've got that to 100, I think, over the course of the last couple of quarters, which I think I called out was mainly foreign exchange related. So the outperformance to 102 to [100] as the underlying outperformance of the business.

當我查看我們剛剛報告的第三季位置時，我認為根據年初的原始指南，我們最初的位置為 97。我想，在過去幾個季度中，我們已經將這個數字提高到了 100，我想我指出的主要是與外匯相關的。因此，以 102 至 [100] 的優異表現作為該業務的基本優異表現。

And there are no further questions at this time. This concludes today's conference call. Thank you for your participation. You may now disconnect.

目前沒有其他問題。今天的電話會議到此結束。感謝您的參與。您現在可以斷開連線。