In the fiscal year ending December 31, 2021, Codere Online demonstrated robust financial performance, marked by significant revenue growth and an expanding user base. Despite regulatory hurdles in its core market, Spain, the company navigated challenges and emerged with promising projections for future growth.
Revenue Breakdown:
Codere Online’s total revenue surged to €83.2 million ($92.3 million) in 2021, showcasing a notable increase from €71.3 million in the previous year. The company’s core market, Spain, remained pivotal, contributing approximately €50 million, representing 60% of the total revenue. Noteworthy expansions were witnessed in Colombia and Mexico. Revenue from Colombia skyrocketed by 81%, reaching €4.6 million, while Mexico accounted for €28 million, constituting 34% of the total revenue. The Mexican operations witnessed a substantial growth of €7.7 million, marking a 38% increase.
User Base Expansion:
Alongside revenue growth, Codere Online experienced a surge in its active user base, with the average monthly users reaching nearly 70,000 in 2021, a significant rise from 50,000 in the previous year, reflecting a remarkable 37% increase.
CEO Insights:
Moshe Edree, CEO of Codere Online, underscored the pivotal transformations the company underwent in 2021, transitioning from a subsidiary to an independent publicly listed entity. Despite regulatory constraints in Spain, Edree emphasized the 17% growth in Net Gaming Revenue (NGR), driven by the stellar performance in Mexico. He highlighted the challenges in Spain’s regulatory landscape, which hindered customer engagement and revenue growth but expressed optimism fueled by the burgeoning customer base.
Financial Projections:
Looking ahead, Codere Online anticipates further growth, with projected NGR ranging between €110 million and €120 million for 2022. This ambitious forecast aligns with the company’s strategic vision for expansion and market penetration.
CFO Outlook:
Oscar Iglesias, CFO of Codere Online, lauded the achievements of the past year, including the company’s public listing, market expansion endeavors, and strategic partnerships in the sports arena. Despite regulatory complexities and market challenges, Codere Online remained focused on operational excellence, meeting its full-year NGR outlook of €81 million to €86 million. Iglesias expressed confidence in the company’s financial stability, emphasizing the resources available to fuel growth initiatives until 2024, with expectations to achieve EBITDA and positive cash flow.
Codere Online’s financial journey in 2021 reflects resilience, adaptability, and strategic foresight in navigating dynamic market landscapes. With a strong foothold in its core markets and a commitment to innovation and expansion, the company is poised for sustained growth and value creation in the years to come.