Catena Media plc · OMXSTO:CTM
Catena Media — Q4 2020 Earnings Presentation
18 slides from Catena Media's earnings presentation, Feb 24, 2021
Slide 1: Year-End Report 2020 Presentation
YEAR-END REPORT 2020 PRESENTATION / 24 FEBRUARY 2021
Slide 2: Agenda and presenters
Agenda and presenters GÖRAN BLOMBERG ACTING CEO 1 Quarterly highlights 2 Business highlights MICHAEL DALY 3 Financials Q4 2020 CEO OF CATENA MEDIA AS OF 1 MARCH 2021 4 Outlook PETER MESSNER GROUP CFO 22
Slide 3: Quarterly highlights
Quarterly highlights +2% OCT – DEC 2020 OCT – DEC 2020 OCT – DEC 2020 +0.3% +9% REVENUE GROWTH YOY EUR 26.6m ORGANIC SEARCH REVENUE GROWTH YOY EUR 23.7m ADJUSTED EBITDA GROWTH YOY EUR 12.3m “ Catena Media had an exceptional ending to a strong quarter, breaking an all-time high in US Revenues in Dece
Slide 4: Business highlights
Business highlights • The US iGaming business has been a success story • Our improved financial position will enable us to with this business increasing from 18 percent in 2019 start looking for strategic acquisitions within rapidly to 30 percent in 2020. growing business areas, as well as give us r
Slide 5: Financials Q4 2020
Financials Q4 2020 catenamedia
Slide 6: Revenue and NDCs
Revenue and NDCs 0.5 0.4 0.4 0.4 0.4 0.9 0.4 0.7 26.6 26.7 27.8 160 26.1 26.4 26.6 Search revenue 24.9 124 125 23.7 1.6 2.8 2.8 2.4 2.5 140 120 3.5 2.0 113 Paid revenue 2.8 100 99 104 120 Subscription 95 100 25.8 23.7 23.4 23.9 23.1 22.5 21.7 80 20.2 60 40 20 Revenue EURm NDCs ‘000 0 Q1-19 Q2-19 Q3-
Slide 7: Segments
Segments REVENUE BY SEGMENT, IN % REVENUE BY SOURCE, IN % 4% 3% 2% 2% 2% 1% 1% 1% 13% 13% 15% 13% 15% 14% 15% 16% 53% 56% 62% 59% 61% 64% 60% 38% 39% 76% 39% 35% 43% 39% 44% 41% Subscription 41% Fixed Fees 38% 36% Casino 47% 46% 46% 33% 33% 30% 35% 44% 42% 44% 42% 41% 18% Cost per Acquisition Sports
Slide 8: Adjusted EBITDA
Adjusted EBITDA 52.0 50.1 EURm 43.5 12.3 Q4 12.0 36.1 Q3 11.3 12.0 13.6 Q2 11.1 22.1 11.5 Q1 6.5 9.5 12.1 14.8 Note: Q4 2019 has been reported 9.5 6.0 as EUR 11.8m excluding an excep- 8.0 tional revenue adjustment of EUR 5.3 12.4 11.2 12.9 0.5m. The adjustment amount has 7.6 4.3 been included here t
Slide 9: Costs
Costs COST DEVELOPMENT* 58% 54% • Direct costs related to paid revenue EURm decreased by 9% compared to Q4 2019. 5.9 5.6 6.1 5.4 5.1 Other OPEX 5.2 • Personnel expenses excluding IACs 4.6 4.6 increased by 6% when compared to Personnel Expenses corresponding period in prior year due Direct Costs 5.7
Slide 10: Profit for the fourth quarter
Profit for the fourth quarter • From EUR 12.3m (11.3) Adjusted EBITDA to EUR 12.4m EUR, MILLIONS Q4 2020 Q4 2019 (8.5) in Reported EBITDA: Items affecting comparability (IACs) amounted to an income of EUR 0.1m and rela- ted to a gain on divestment in subsidiary of EUR 0.5m, EBITDA 12.4 8.5 increase
Slide 11: Cash
Cash • Net cash generated from operating 134% activities amounted to EUR 11.9m (9.0), an increase of 32 percent year on year. 111% 106% 96% • The cash conversion resulted in 90% 81% 96 percent (106). 81% 70% • During the quarter, EUR 6.0m of total nominal amount of existing bonds were voluntarily pr
Slide 12: Debt
Debt • During the quarter, EUR 6.0m of total nominal amount of existing bonds were 3.42 3.46 voluntarily prepaid, and bonds with a total 3.17 nominal amount of EUR 9.8m were re- 2.94 2.98 purchased on the market. Further, a final settlement of EUR 7.5m was made to repay the revolving bank credit fac
Slide 13: Outlook
Outlook catenamedia
Slide 14: European Sports & Casino
European Sports & Casino • With the exception of the Italian market, most • Both Sports and Casino faced headwinds in European Casino brands faced continual challenges Germany in Q4 due to the tolerance period for new to maintain website rankings and traffic. regulations. In total, Sports revenues f
Slide 15: US update
US update • Live in 12 states in total now: 5 Casino (and/or poker) markets and 12 Sports. No.1 • Market opening in Michigan, Virginia, and remote US IGAMING registration started in Iowa. Great start to 2021. AFFILIATE • 30% share of total revenues and 72% growth year over year. • Outlook for Q1: Su
Slide 16: US potential
US potential “ PART 1 NEAR TERM STATES The US. continues to CURRENT STATES 46m population UPCOMING STATES 25m population develop in line with our (65m post quarter) high expectations on its NJ, PA, WV, IN, CO, TN, NV-partial, NH IL (already partial), MD? LA? SD? potential.” (IA, MI, VA live after qu
Slide 17: Key takeaways Q4
Key takeaways Q4 We had a soft start to Q4, but ended the year with strong momentum, which is continuing FINANCIAL TARGETS into 2021, well above double-digit growth. • Profitable double-digit organic • Adjusted EBITDA increased by 9 percent to EUR 12.3m for the quarter. growth annually over the peri
Slide 18: Upcoming events
Upcoming events 29 March 12 May 19 May 25 August 2021 2021 2021 2021 ANNUAL REPORT 2020 ANNUAL GENERAL MEETING Q1 INTERIM REPORT Q2 INTERIM REPORT MALTA JANUARY – MARCH APRIL – JUNE 18