Igaming affiliate firm Catena Media has published a trading update outlining the estimated outcome of the second quarter of 2020, indicating record revenues and profits.
The firm cited a significant increase in its US business as being among the contributing factors leading to an estimated $31.6m in Q2 revenues (Q2 2019: $27m). EBITDA was reported as being in the range of $16.6m to $16.9m
The key drivers for this performance were, said the company, the casino segment, with both AskGamblers and the Japanese business having their own all-time highs for revenues. But Catena’s US business saw a significant increase compared to the same period last year and achieved its best quarter ever.
The update noted: “With all land-based casinos closed in the US during most of the quarter and sports non-existent, online casinos experienced tremendous growth rates, supported by an increased interest in social casino.
“A major Google update to its search and ranking algorithms at the beginning of May negatively impacted traffic numbers for some brands while others, for example Catena Media’s US brands, saw a positive impact.”
For those brands that experienced a negative impact, however, conversion rates and revenues were not necessarily hit in the same way, as reflected in the total revenues for the quarter. New depositing customers (NDCs) for the second quarter amounted to 104,000, a decrease of 13% compared to the first quarter and an increase of 4% compared to the same period last year.
A decline of NDCs compared to the first quarter was expected due to the impact of Covid-19 on the sports business.
CEO Per Hellberg told investors: “Given the extraordinary global circumstances, Q2 was a very challenging quarter, so we are happy to report that the measures taken by the company helped us achieve the best quarter ever in the history of the company.”
