Codere Online reported “better-than-expected” fourth-quarter and full-year 2022 results despite negative cash flow during the year. The company’s net gaming income (NGR) increased by 48% to \u20ac122.9 million for the full year 2022. However, Codere reported a negative cash flow of \u20ac46 million ($49.1 million) .<\/p>\n\n\n\n
“We are reporting better than expected Q4 and full year 2022 performance,” said Moshe Edree, former CEO of Codere Online. “This success is a testament to our team’s dedication and focus on delivering an unrivaled online gaming experience for our customers.”<\/p>\n\n\n\n
Looking at NGR, Edree noted the “effectiveness of our growth strategy and our ability to successfully roll out marketing spend” across Codere Online’s operating locations.<\/p>\n\n\n\n
Edree stepped down as CEO on Wednesday, March 1, and current COO Aviv Sher will assume the role. Edree will still serve as executive vice chairman of the board.<\/p>\n\n\n\n
Oscar Iglesias, CFO of Codere Online, added: “We are pleased to have exceeded our 2022 net gaming revenue outlook of \u20ac115m to \u20ac120m and deliver on our commitment to investors.”<\/p>\n\n\n\n
Several changes to Codere Online’s business structure took place during 2022, including the sale of its Italian subsidiary on December 30 last year.<\/p>\n\n\n\n
Looking at Codere Online’s Q4 results, the company reported a 70% increase in NGR, from \u20ac22.2 million in 2021 to \u20ac37.7 million in 2022. The company attributed this to strong performances in Mexico and Spain.<\/p>\n\n\n\n
However, the net loss for the quarter was reported at \u20ac17.4 million. Total revenue for the quarter was \u20ac35.6 million. Marketing expenses increased to \u20ac31.2 million. This is a significant difference of 111.2% compared to Q4 2021, when marketing spend was \u20ac14.8 million.<\/p>\n\n\n\n
Codere Online attributed its adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) for the 4th quarter of 2022 \u2013 which increased 122.4% year-on-year to \u20ac14.5 million \u2013 to the increase in its expenses with marketing.<\/p>\n\n\n\n
Going back to full year results, Codere Online reported a net loss of \u20ac45.9 million. However, this was a 32.5% improvement over the \u20ac68m loss in 2021.<\/p>\n\n\n\n
Marketing expenses increased by 78% in 2022 compared to the previous year, with an expense of 96.9 million euros in 2022, compared to 54.4 million euros in 2021. EBITDA for FY22 was a loss of \u20ac50.3 million, compared to a loss of \u20ac23.8 million in 2021.<\/p>\n\n\n\n
Codere Online also provided estimates for this year. NGR for the year is projected to be between \u20ac140m and \u20ac150m, while adjusted EBITDA is estimated at between -\u20ac20m to -\u20ac30m.<\/p>\n\n\n\n