In This Article:
-
Q4 Revenue: EUR 10.2 million, down 30% year-over-year and 5% quarter-over-quarter.
-
Adjusted EBITDA: EUR 1.5 million, up 2% year-over-year and 13% quarter-over-quarter.
-
Adjusted EBITDA Margin: 15%, up 5 percentage points year-over-year and 10 percentage points from Q2 2024.
-
North America Revenue Contribution: 87% of group revenue, up from 85% last year.
-
North America Casino Revenue: Decreased 12% year-over-year.
-
North America Sports Revenue: Decreased 56% year-over-year, but grew 6% from Q3 2024.
-
Rest of World Revenue: EUR 1.3 million, a decrease of 41% year-over-year.
-
Cost Base Reduction: Decreased by 33% year-over-year and 7% quarter-over-quarter.
-
Net Cash Position: Achieved in February 2025 after final payment from divestments.
-
Cash Balance: EUR 8.5 million at the end of the quarter.
-
Net Debt: EUR 12.9 million at the end of December, resulting in a net cash position of EUR 5.6 million excluding hybrid capital securities.
Release Date: February 11, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
-
Catena Media PLC (LTS:0RUE) achieved the highest adjusted EBITDA margin since Q3 2023, indicating improved profitability.
-
The company has implemented an objective and key result (OKR) system to enhance alignment and accountability across the organization.
-
Catena Media PLC (LTS:0RUE) entered an exclusive collaboration with Daily Racing Form, showcasing strategic media partnerships.
-
The company achieved a positive net cash position in February 2025, which will be used to repay the senior bond in June 2025.
-
Cost management programs have been effective, with a 33% reduction in the adjusted cost base compared to Q4 2023.
Negative Points
-
Q4 revenue from continuing operations was EUR 10.2 million, down 30% from the previous year.
-
North American casino revenue decreased by 12% year on year, reflecting challenges in maintaining growth.
-
The sports segment underperformed, with a 56% decline in North America compared to the previous year.
-
Google's core algorithm updates caused higher-than-normal volatility, negatively impacting search rankings.
-
The discontinuation of the AI content generation platform joint venture indicates challenges in realizing AI opportunities.
Q & A Highlights
Q: Can you discuss the current pressure on CPA levels in North America and the outlook from operators regarding affiliate spending? A: Manuel Stan, CEO: The slight drop in average CPA levels is due to operators optimizing their margins and the distribution of new depositing customers. We expect operators to continue applying pressure, but we are working on packaging deals that include CRM and other benefits to secure long-term partnerships. Overall, we continue to see pressure on CPA levels.