Catena Media plc (CTM) Q1 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good evening, everyone. Welcome to Catena Media's Q1 Interim Report. I am Manuel Stan, and today I am joined by our Chief Financial Officer, Mike Giroux. Today, we will be speaking to our Q1 Interim Report, related financials, and our strategy and outlook. We will start today's presentation with a high-level summary of the most important developments in the quarter. Q1 showed a continued underperformance across both casino and sports segments, resulting in a 3% revenue decline compared to Q4. The adjusted EBITDA margin fell to 9% after two quarters moving in the right direction. On the back of the poor performance, we have taken significant measures to streamline operations and cut costs. These measures include flattening the organization by removing a senior management layer, plus review and removal of certain external services. The elimination of more than 50 roles across the organization, estimated to generate annual cost savings of 4.5 to 5 million euro. And the consolidation of our tech stack, expected to generate annual cost savings of more than 0.8 million euro. On the positive side, during the quarter, we continue to see improved performance in our efforts to diversify the group's revenue streams, which include segments like sub-affiliation and CRM. Moving on to the financial summary. Q1 revenue from continued operations was €9.8 million, representing a 39% year-on-year decline and a 3% quarter-on-quarter decline. While the decline remains disappointing, the level is signaling that the steep declines of past quarters are now behind us. Looking forward, the year-on-year comparables in the next quarters will improve. The adjusted EBITDA was €0.9 million, down 3 percentage points from the same period previous year. This was a disappointing step down after having...