Codere Online breaks even for first quarter since US listing
The gaming group reported strong growth in Mexico and Spain.
Spain.- Codere Online has increased its forecast following strong Q3 results. The company reported break-even EBITDA for the first time since its 2021 listing on the NASDAQ through a SPAC deal with DD3 Acquisition Corp II. That compares to negative €12.8m in the same quarter last year.
The company’s biggest markets, Mexico and Spain, drove net gaming revenue (NGR) up 41 per cent year-on-year to €43.2m. Mexican revenue was up 63 per cent at €21m and Spanish revenue 27 per cent at €18.9m. NGR in Colombia fell 5 per cent to €1.5m. Over half of NGR was from casino and 42 per cent from sports betting.
Active players rose 19 per cent to 124,500, with the number up 39 per cent in Mexico. Marketing costs were reduced to €19.7m from €24.3m in Q3 last year. For the nine months ending September 30, NGR was 43 per cent higher than last year at €121.8m. Adjusted EBITDA was 79.2 per cent higher at negative €7.6m.
Codere Online has raised its NGR forecast for the full year from €150m-€160m to €155m and €165m. It’s revised its adjusted EBITDA forecast from negative €15m-€25m to negative €10m-€18m.
CFO Oscar Iglesias said: “Our third quarter results have shown that the combination of a strong brand, high-quality customer acquisitions and an attractive product offering has allowed us to deliver not only strong top line growth but also a significant improvement in profitability, with our first quarter of breakeven adjusted EBITDA less than two years following our US listing.”
In March, Codere Online announced Moshe Edree’s departure as CEO. Group COO Aviv Sher took over immediately.
