Due to continued, changing market conditions following the global outbreak of Covid-19, which in particular affected the sports segment, Catena Media is now providing a trading update on the estimated outcome of the second quarter 2020.
Revenues are estimated to be approximately €27.7m and adjusted EBITDA is estimated to be in the range of €14.5-14.8m, reflecting records in both revenues and profits.
These revenues reflect an increase of around 17 per cent and a record in quarterly revenues for the company. The key drivers for this performance are the casino segment, with both AskGamblers and the Japanese business having their own all-time highs for revenues.
Catena Media’s US business saw a significant increase compared to the same period last year and achieved its best quarter ever. With all land-based casinos closed in the US during most of the quarter and sports non-existent, online casinos experienced tremendous growth rates, supported by an increased interest in social casino.
Catena Media’s sports business naturally suffered from the restrictions and impacts of Covid-19 this quarter but saw a late recovery towards the end of the quarter, with several key football leagues returning by then.
A major Google update to its search and ranking algorithms at the beginning of May negatively impacted traffic numbers for some brands while others, for example Catena Media’s US brands, saw a positive impact.
For those brands that experienced a negative impact, however, conversion rates and revenues were not necessarily hit in the same way, as reflected in the total revenues for the quarter.
New depositing customers for the second quarter amount to 104,000, a decrease of 13 per cent compared to the first quarter and an increase of four per cent compared to the same period last year. A decline of NDCs compared to the first quarter was expected due to the impact of Covid-19 on the sports business.
