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The company announced its second-best performance for the fourth quarter of 2023 but remains optimistic about its long-term success. Michael Daly, the CEO of the media chain, expressed his views on the company's strength in the field of artificial intelligence (AI) in the fourth-quarter report. He acknowledged that the financial performance was "disappointing," but he believes the subsidiary excels in AI, surpassing competitors.
The company has consistently invested in AI solutions to enhance its operations. CEO Daly stated that these new solutions have the potential to reshape the entire media industry, especially in the areas of sports betting and casino games.
Daly expressed skepticism about whether other companies could catch up with Catena in AI progress, emphasizing Catena Media's focus on AI and search engine optimization. Despite some investments being in the early stages, Catena Media collaborates with experts in the technology field with excellent records in AI.
Daly could not confirm whether Catena Media's competitors could replicate their current work. He stated that even if competitors attempted to do so, they would face significant challenges. The CEO concluded that his team would leverage their AI investments fully and maintain a leading position.
While Catena Media is optimistic about the prospects of AI technology and plans to continue increasing investments, Daly pointed out that the fourth-quarter performance might have a negative impact on profits.
The media chain updated its long-term financial goals. Based on recent data, Catena Media has redefined its long-term financial goals, planning a gradual shift to more sustainable revenue models from 2024 to 2026. These new goals were established after the group completed a strategic review in November 2023.
According to Catena Media's report, the company expects to resume organic growth in the second half of 2024, with adjusted EBITDA forecasted to be between €20 million and €30 million for the entire year. The goals also include achieving double-digit organic growth in 2025 and 2026 while increasing both revenue and adjusted EBITDA. The company plans to maintain the ratio of net interest-bearing debt to adjusted EBITDA between 0 and 1.75.
Catena Media aims to transition to a more sustainable revenue model, reducing dependence on cost-per-acquisition (CPA) contracts and recruiting more players through revenue-sharing agreements with operators. Additionally, they will launch a technology and data innovation investment plan later this year.
Catena Media aims to reshape its core technological focus, placing technology, innovation, and immersive user experiences at the forefront of the business. According to Daly, the company will continue to invest in AI solutions. Furthermore, Catena Media plans to invest in paid media, affiliates, and other strategic media partnerships.
In mentioning their AI plans, Catena Media stated that they would collaborate with professional AI partners to establish a joint venture and develop a generative AI application specifically for creating online gambling and casino game affiliate content.
The report from Catena Media validates Daly's statements, indicating that AI innovation will help the company scale up and enhance business performance. |
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Post time 13-3-2024 10:49:02
