Catena Media estimates its revenue and adjusted earnings before interest, tax, depreciation, and amortization (Ebitda) in 1Q2021 to reach record figures due to US growth, according to the company’s preliminary report.
US Growth Boosts 4Q2020 and 1Q2021 Results
Catena Media expects all-time high revenues and earnings, well above the market’s expectations, according to the affiliate group’s preliminary results. After the company posted exceptional figures for the last quarter of 2020 and reported a strong start of 2021, the business has continued to grow and deliver robust results.
The revenues are estimated to range between EUR39.1 million and EUR40.4 million in the period January-March 2021, while Q1 figures correspond to EUR26.7 million. This means an annual increase of 46% to 51% and an all-time high in terms of quarterly revenues, the company announced.
The increasing number of new depositing customers, as well as the relaunch of sports events, boosted the company’s results in the last quarter of 2020. The US iGaming sector accounted for a 31% share of the total revenues in Q4 and 30% of total annual revenues. The first quarter of 2021 is no different, as the US business continued its growth and expanded its operations to Michigan and Virginia in January.
The company expects adjusted Ebitda, excluding items affecting comparability, to stand between EUR23.9 million and EUR25 million. For comparison, this number was equal to EUR12.9 million in Q12020 or between 85% and 94% rise year-over-year and another quarterly record. The adjusted Ebitda margin is estimated to be in the range of 59% to 62%, while in Q12020 it was 48%.
”This trading update reaffirms our strong start to the year, and I am excited and proud of our teams’ exceptional focus on driving our global portfolio of affiliation brands, and the resulting performance.”Michael Daly, CEO, Catena Media
The company is expected to publish the final results for the first quarter of 2021 on May 19, 2021.
Reshuffling of Management at the Beginning of 2021
In the end of January, the Malta-based operator announced the appointment of Michael Daly as the company’s new CEO. Daly entered into his role effectively as of March 31, when Catena’s interim CEO returned to his position as chairman of the board. Daly has been in charge of Catena’s US business, the company’s growth engine, since April 2018.
On the other hand, the company’s previous CEO, Per Hellberg, moved to PlayStar. Under his guidance, the company will break ground in New Jersey, United States, later this year. Hellberg expressed his confidence that the operator has the potential to become a leading player in the US market.