Codere Online, a premier online gaming operator active in Spain and Latin America, has disclosed its preliminary unaudited financial outcomes for the fourth quarter and the entirety of the year ending December 31, 2023. The report highlights significant growth across key markets, underscoring the company’s strong performance and strategic positioning in the igaming industry.
For the quarter ending December 31, 2023, Codere Online reported total revenue of €46.9 million (£40.1 million/US$50.7 million), with net gaming revenue reaching €50.1 million, marking increases of 32% and 33%, respectively, compared to the fourth quarter of 2022. Notably, the Mexican market demonstrated exceptional growth, with revenue surging to €22.6 million and net gaming revenue climbing to €25.1 million, reflecting a 54% increase from the previous year’s quarter. In Spain, both revenue and net gaming revenue achieved €20.8 million, indicating a 17% growth from Q4 2022.
The company also reported a significant reduction in net loss to €1.0 million in Q4 2023, compared to a net loss of €17.4 million in the same period of the previous year. As of December 31, 2023, Codere Online maintained a healthy cash position of €41 million.
Looking ahead to the full year of 2024, Codere Online projects a net gaming revenue range of €185-200 million, anticipating positive Adjusted EBITDA and cash flow, reflecting confidence in its ongoing growth trajectory and operational efficiency.
The detailed financial and operational metrics for the period further illustrate the company’s performance dynamics, with net gaming revenue showing substantial year-over-year increases across its operating regions, notably in Mexico and Spain. Despite slight variations in average monthly active players, the overall trend indicates a robust engagement level within its customer base, contributing to the company’s strong revenue performance.
This financial report from Codere Online showcases its successful expansion and operational advancements within the competitive igaming sector, setting a positive outlook for its future endeavors.
Aviv Sher, CEO of Codere Online, stated, “In Q4 2023 we delivered an impressive 33% growth in net gaming revenue to €50 million, our highest ever quarterly figure, despite a tough comp with the World Cup in the prior year period. Our strategic focus on Mexico and Spain, where we are seeing a strong return on marketing investment, has proven successful, with significant increases in both our active customer base and spend per customer. Casino continued to exceed our expectations with a second consecutive quarter contributing 58% of total net gaming revenue in the period.”
Mr. Sher further added, “Our net gaming revenue in Mexico grew by 54% in the fourth quarter, reaching more than €25 million, whereas net gaming revenue in Spain, grew by 17%, to nearly €21 million. We were able to grow our active customer base by more than 15% in both markets in the quarter which we believe is impressive considering the similar level of marketing investment in these countries in 2023 versus the prior year.”
Oscar Iglesias, CFO of Codere Online, stated, “Our fourth quarter results have allowed us to reach nearly €172 million of net gaming revenue for the full year, 19% above the midpoint of the initial €140-150 mm outlook we provided early last year. This outperformance, combined with the overall lower level of marketing investment, also allowed us to deliver a better than expected negative €12mm in Adjusted EBITDA versus the initial outlook of negative €20-30mm.”
Mr. Iglesias further added, “We are very encouraged by our performance in 2023 which further supports our expectation that we will generate positive Adjusted EBITDA and cash flow for the full year in 2024, a year in which we expect net gaming revenue of €185-200 mm. In short, we expect to deliver upon our original commitment to investors to be a profitable company in the third year after de-SPAC and are more committed than ever to creating meaningful value for our shareholders.”
