Catena Media focuses on casino to balance sports revenue shortfall
Catena Media has provided a trading update outlining several measures it says “have been taken to mitigate any financial or operation impact" of the COVID-19 outbreak.
Despite the coronavirus’ impact on the market, the company reported a revenue increase of 6% year-on-year from January to February 2020, to €18m ($19.4m). Adjusted EBITDA increased 20%, amounting to €8.9m.
Catena Media’s casino segment represented 59% of overall revenue during the period, while sports revenue represented 35%.
As a result of the postponement and cancellation of major sporting events, Catena Media is focusing on increasing its casino business to mitigate the shortfall created in its sports segment.
The company believes the COVID-19 pandemic will have “no foreseeable negative long-term effects on the business.”
Per Hellberg, CEO of Catena Media, said: “The world is facing an unusual and challenging situation due to COVID-19.
“Several sport events have been cancelled or postponed, and it is uncertain for how long this will last, but we are holding back on costs and finding alternative revenue streams for the sport segment.
“Provided the sports events start up after the summer break, our target remains unchanged, to reach double-digit profitable growth in 2020.”
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