Codere Online to ‘continue prioritizing investment’ in Mexico

Codere Online has posted its “fourth-consecutive quarter of strong performance” in Q3 2022, with Mexico delivering positive results.
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Codere Online has posted its “fourth-consecutive quarter of strong performance” in the third quarter of 2022.

Mexico delivered positive results, with CEO Moshe Edree noting that the online operator will “continue prioritizing investment in this market going forward”.

Posting its Q3 results, Codere Online declared a net gaming revenue (NGR) of $31.89m, a 54% year-over-year increase. Average monthly actives hit 104,311 during the quarter, a 34% uptick YoY (Q3 2021: 78,017).

Speaking on the online operator’s earnings call, Edree called Q3 its “fourth consecutive quarter of strong performance”, while also adding that they expect to see the trend continue into the fourth quarter with the World Cup on the horizon, meeting the higher end of its NGR expectations as a result.

Codere Online sees strong growth in Mexico

Per region, Codere’s Mexico operations saw an 82% YoY growth in NGR hitting $13.45m, thanks to higher average monthly actives and higher spending per customer. Average monthly actives reached 37,414 during the quarter, a 62% gain YoY (2021: 23,153).

In Colombia, NGR stood at $1.98m, a 111% improvement YoY (2021: $940,000). It also saw its average monthly actives and spend per customer grow. Average monthly actives for the quarter were 24,179, a 21% increase YoY (2021: 20,043).

Spain’s NGR reached $15.53m, 29% ahead of the previous year, which was affected by marketing restrictions. Average monthly actives were up 4% YoY to 35,191 (2021: 33,917).

Codere Online reported a net loss of $12.06m in Q3, and a total cash position of nearly $75.05m as of September 30, 2022.

Commenting on the results, Edree said: “We are reporting a strong set of results in the third quarter of 2022, with net gaming revenue growing 54% versus the same period last year, on the back of stronger than expected results in our casino business.

“Performance in Mexico was particularly strong, with net gaming revenue up by 82% in the quarter. Spain also exceeded our expectations with a 29% growth despite the marketing restrictions currently in place.

“Given our strong results in Mexico and its significant growth potential, we will continue prioritizing investment in this market going forward.”

Near the end of the quarter, Codere Online was pre-awarded an online gaming license for the province of Cordoba, Argentina. It expects the final granting of the licenses to take place before the end of the year and to be operating in Cordoba in 2023.

Elsewhere in Argentina, the operator is pursuing an online gaming license in Buenos Aires and expects to participate in the tender process in Mendoza.

Codere Online has also recently renewed its Colombian online gaming license until 2025


CFO Oscar Iglesias stated that Codere Online is “confident” in reaching the high end of its full-year NGR outlook, narrowing the range to $119m to $125m, and is also “excited” about becoming one of the leading operators in Argentina.

“We are very encouraged by the acceleration in revenue growth as we approach the end of the year,” Iglesias said.

“With the World Cup still ahead of us, we are now confident that we will reach the high end of our full-year net gaming revenue outlook and have narrowed the range to between €115 – 120m.

“We are also excited about the opportunity in Argentina where we are putting the pieces in place to become one of the leading operators in the country.”