Codere Online has released its preliminary financial results for the third quarter of 2024, showing strong growth in key markets.
The company reported a total net gaming revenue of 51.7 million euros (54.6 million USD) for the quarter, a 20% increase from the same period in 2023.
This growth was primarily driven by strong performances in its two main markets, Mexico and Spain.
Mexico emerged as a particularly impressive market, with net gaming revenue reaching 26.7 million euros, up 27% year-over-year.
Despite challenges in the region—including a significant devaluation of the Mexican peso following the presidential election in June—the company noted that the revenue growth would have been even higher at a constant exchange rate, reaching 43%.
Spain also made a significant contribution to the company's performance, with net gaming revenue of 20.9 million euros, an increase of 11% over the previous year.
Codere Online's financial health assessment is not limited to revenue metrics; the company's adjusted EBITDA for the quarter was 1.5 million euros, marking its third consecutive quarter of positive financial performance. As of September 30, 2024, the total cash position was 44 million euros.
In addition, the company's player base has also shown growth, with the average monthly active players increasing to 143,400, a 15% increase compared to the same period in 2023.
The number of players in Mexico and Spain grew significantly by 23% and 18% respectively, further indicating the company's expanding market share in these regions.
However, the quarter was not without challenges. On November 12, 2024, Codere Online received a delisting notice from Nasdaq due to a delay in submitting its Form 20-F for the year ended December 31, 2023.
Codere Online has responded by requesting a hearing, scheduled for January 16, 2025, and continues to work on completing the necessary filings.
Nevertheless, management remains optimistic about the full-year outlook. CEO Aviv Sher highlighted the company's strong performance, while CFO Oscar Iglesias expressed confidence in achieving the upper limit of the company's guidance by the end of the year, stating: "As for our existing outlook for 2024, we expect to reach the upper limit of our net gaming revenue (205 million euros - 215 million euros) and adjusted EBITDA guidance (positive 2.5 million euros - 7.5 million euros) by year-end."
Related news: This summer, Codere Online hosted the third Codere Cup in Mexico, continuing the success of the tournaments held in 2022 and 2023.
