Codere Online has seen net gaming revenue gains across all its segments in the second quarter of 2024, with average monthly active players rising in both Spain and Mexico.
Following the “solid performance” in the first six months of the year, CFO Oscar Iglesias has stated that the operator has raised its full year outlook for 2024 once again.
Publishing its financial results, Codere Online declared a €51.7m in total revenue and net gaming revenue of €54.4m, up 39% when compared to the same period last year (Q2 2023: €39.1m) with gains seen across all segments. Per segment, Spain’s revenue reached €21.8m while Mexico’s revenue was €25.3m.
For H1, net gaming revenue improved by 37% year-over-year to €107.4m (H1 2023: €78.6m).
Looking at Q2 NGR per segment, Spain’s NGR rose by 25% YoY to €21.8m (2023: €17.5m), Mexico’s NGR improved by 57% to €28.2m (2023: €18m), while other NGR – Colombia, Panama and the City of Buenos Aires in Argentina – increased by 22% to €4.4m (2023: €3.6m).
Codere Online reported average monthly active players of 145,600 in Q2, a 16% increase YoY (2023: 125,800), with only the operator’s other segment seeing a decline in comparison to the same period last year.
Spain’s average monthly active players in Q2 rose by 26% YoY to 51,500 (2023: 40,700), while Mexico’s average monthly active players increased by 25% to 62,300 (2023: 49,700). Other average monthly active players declined by 10% to 31,800 (2023: 35,400).
“We are very pleased with our performance in the second quarter of 2024, with net gaming revenue of €54.4m, a 39% increase over the prior year period,” commented Aviv Sher, CEO of Codere Online.
“In the quarter we saw improved customer engagement and customer acquisitions in part due to targeted additional marketing investments made around certain major sports betting events (i.e. Eurocup and Copa America).
“As a result, performance in our core Mexican and Spanish businesses was strong (notwithstanding all the Spanish victories in the Eurocup), with net gaming revenue growing by 57% in the second quarter in Mexico to over €28m and 25% in Spain to nearly €22m.”
Codere Online’s adjusted EBITDA in Q2 came in at €1.3m, an improvement on a minus €4.5m reported during the same period last year. For H1, adjusted EBITDA stood at €3m (2023: minus €7.6m).
H1 net income, excluding the non-cash variation in fair value of public warrants, was €5.5m, up on the net loss of €0.7m in H1 2023. As of 30 June, the total cash position was €40.5m.
Iglesias noted: “We are pleased to have delivered positive adjusted EBITDA for the second consecutive quarter despite the increased marketing spend around the Eurocup and Copa America. The €1.3m in adjusted EBITDA in the second quarter is nearly €6m better than the prior year period and for the year-to-date period we have generated €3m.”
As a result of the financial performance, Codere Online has increased its full-year 2024 net gaming revenue outlook once again to a range of €205m to €215m, as well as adjusted EBITDA to a range of €2.5m to €7.5m.
The operator had previously increased its full-year 2024 NGR outlook to the range of €195m to €210m earlier this year at the end of Q1.
Iglesias added: “Thanks to this solid performance in the first half of the year, we are well on track to meet the profitability and cash generation expectations we set out to achieve in the beginning of the year, while still delivering significant top-line growth.
“As such, we are raising our outlook for the full year 2024 and now expect to generate between €205m – €215m of net gaming revenue, which represents a growth of 22% year-on-year at the midpoint, and between €2.5m – €7.5m of positive adjusted EBITDA.”