Media affliate comapny Catena Media has made a significant stride with a successful sports betting launch in Kentucky, coinciding with the state’s official initiation of legal online sports betting in September.

The state’s eagerly anticipated market opening, strategically timed to align with the busy early-season NFL sports calendar, has already translated into a rise in player engagement. This positive outcome can be attributed to Catena Media’s meticulous pre-launch marketing campaigns and targeted incentives offered by Kentucky’s licensed operators.

Expanding operations

Catena Media’s entry into the Kentucky market was powered by the influential presence of its national brands, including LegalSportsReport.com, GamingToday.com, TheLines.com, and Lineups.com. Moreover, the company’s media partnership with The Sporting News significantly contributed to a substantial influx of player registrations.

Ryan Harper, Vice President for North America at Catena Media, expressed his satisfaction, stating, “We’re pleased to witness a successful start to legal sports betting in Kentucky. Player registrations on our platforms have met our expectations, and we anticipate continuous growth as more individuals discover the advantages of secure and regulated online sports betting.”

Positive start in the Bluegrass State

Kentucky, a relatively small state with an adult population of 3.5 million inhabitants, has now become a pivotal addition to Catena Media’s expanding portfolio, extending its influence to more than 27 states in the USA and Canadian provinces. The company’s strategic approach to entering the Kentucky market continues to demonstrate its commitment to capitalizing on emerging opportunities in the rapidly evolving world of sports betting.

Catena Media’s successful Kentucky launch marks the company’s adaptability and strategic prowess in the sports betting affiliate sector, marking a significant milestone in the company’s quest for industry dominance.

Looking upwards after H1 dive in revenues

Catena Media reported a sharp drop in its shares, plummeting nearly 19 percent following its H1 2023 financial results.

The company reported a substantial 16 percent decline in revenue, totaling €16.9 million, with a significant year-over-year drop of 60 percent in adjusted EBITDA, settling at €2.6 million. This resulted in a decline of the adjusted EBITDA margin from 32 percent in Q2 2022 to 15 percent in the same period of 2023. The count of new depositing customers (NDCs) also declined by 31 percent reaching a total of 49,770 NDCs. The North American segment faced a significant setback, generating €12.5 million, a 16 percent decrease compared to H12022.

Catena Media however is implementing strategic measures, including share buybacks, cost reductions and strategic partnerships to optimize its financial position and recovery. The company aims to achieve a net cash positive position by year-end and increase annual North American revenue to USD 125 million by 2025 with an EBITDA margin exceeding 50 percent.. Additionally, Catena Media is focusing on opportunities in emerging markets, including esports and Latin America. CEO Daly expressed optimism about the future despite the challenges.

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