Codere revenue rises but losses continue

Codere has reported that revenue climbed 8.5 per cent year-on-year for the first nine months of 2021 but it continues to make a loss.

Spain.- The Spanish gaming giant Codere has reported €499.6m in revenue for the first three quarters, up 8.5 per cent year-on-year and up 18 per cent in constant currencies. It put the improvement down to the reopening of land-based operations in Argentina and Uruguay following the end of Covid-19 restrictions.

Third-quarter revenue came in at $233.3m, an increase of 63.1 per cent on the same quarter last year. Latin America (Argentina, Mexico, Panama, Uruguay and Colombia) contributed €110.9m (47.1 per cent), an increase of 430.6 per cent from €20.9m in Q3 2020, during which venues in Argentina and Panama were closed due to the Covid-19 pandemic.

The European business (Italy and Spain) contributed €103.2m, with €37.9m from Spain and €65.3m from Italy. The online business, which is to be spun off and listed on the US Nasdaq, saw revenue of €19.1m.

Group EBITDA for Q3 came in at €32.8m, up from €4.6m in Q3 2020. Operating losses were down from €52.1m to €25.1m and net losses were €74.7m, down 20.3 per cent.

Codere’s restructuring deal, which will see creditors take control of the company, is due to complete on November 19.

Codere said: “The company and its bondholders estimate that the expected date for the implementation of the financial restructuring of the group will take place on November 19, 2021.

“The company expects to have also completed the merger of its gaming subsidiary this month online with the SPAC DD3 Acquisition Corp II, which will lead to the creation of Codere Online, the first online gaming operator in Latin America to be listed on the American securities Nasdaq.”