SBC News Voice of the Sports Betting Industry
Codere Online trades uninterrupted despite the threat of its securities being delisted from the Global Nasdaq exchange.
Publishing its Q3 trading statement, the Spanish online gambling group expects to “finish the year in the upper part of both the full-year 2024 net gaming revenue outlook of €205–215m and Adjusted EBITDA3 outlook of positive €2.5–7.5m.”
Confidence is bolstered by strong Q3 trading, in which Codere Online achieved net gaming revenues of €52m, up 20% compared to 2023’s €43m.
During the period, Codere Online maintained growth in its home market of Spain, generating revenues of €48m (+11%).
In Mexico, Codere Online income grew by 23% to €63m (Q3 2023: €51m), despite the challenge of negative currency fluctuations against the Mexican peso.
Year-to-date accounts show Codere revenues at €159m, up 31% from 2023’s €122m.
Aviv Sher, CEO of Codere Online, commented on the results: “Our company delivered another quarter of strong results, with net gaming revenue of €51.7 million, representing a 20% increase over the third quarter of 2023.
In Mexico, net gaming revenue reached €26.7 million, 27% above the prior year period, despite the significant devaluation of the Mexican peso following the presidential election in June. In constant currency terms, our net gaming revenue in the country would have grown by 43%. Meanwhile, performance in Spain remained strong, with net gaming revenue of €20.9 million in the quarter, 11% above last year.”
Of significance, leadership highlighted improved cost controls and lower interest expenses, as Codere Online posted a Q3 positive EBITDA of €1.4m, reversing 2023 comparative losses of €7.5m.
Positive earnings results see Codere’s year-to-date EBITDA stand at €3m, reversing previous losses of €15m.
Towards the end of the year, leadership continues to work diligently to complete and file its Form 20-F for 2023 as soon as possible.
On 18 November 2024, the company formally requested a hearing with Nasdaq to appeal the delisting determination. Nasdaq informed the company that the hearing request had been accepted and scheduled for 16 January 2025.
Oscar Iglesias, CFO of Codere Online, stated: “Beyond the significant top-line growth, we also generated €1.5 million of Adjusted EBITDA and €3.5 million of cash in the quarter. This is now the third consecutive quarter of positive Adjusted EBITDA and brings the year-to-date total to €4.5 million.”
“With regards to our existing outlook for 2024, we expect to finish the year in the upper part of the range with respect to both our net gaming revenue and Adjusted EBITDA guidance.”
