Codere Online Luxembourg, S.a. · NASDAQ:CDRO
Codere Online Luxembourg — Q3 2023 Earnings Presentation
27 slides from Codere Online Luxembourg's earnings presentation, Nov 15, 2023
Slide 1: Third Quarter 2023 Earnings
Codere Online Nasdaq: CDRO / CDROW Third Quarter 2023 Earnings November 15, 2023
Slide 2: Disclaimer
Disclaimer This presentation (this “Presentation”), its contents and any information provided during the meeting to present this document are for discussion purposes only, and must not be relied upon for any purpose. This Presentation is not for release, publication or distribution, in whole or in p
Slide 3: Disclaimer (cont.)
Disclaimer (cont.) Financial Information and Non-GAAP Financial Measures Codere Online’s financial statements are prepared in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board (“IFRS”), which can differ in certain significant respec
Slide 4: Today's Presenters
Today’s Presenters Aviv Sher Oscar Iglesias CEO CFO
Slide 5: Table of Contents
Table of Contents 1. Corporate Overview Page 6 2. Financial Results (Unaudited) Page 9 3. 2023 Outlook Page 18 4. Appendix Page 21 5
Slide 6: Codere Online At a Glance
Corporate Overview 1. Codere Online At a Glance Codere Online offers online sports betting and online casino through its state-of-the art website and mobile applications. It is Nasdaq listed under symbol CDRO, and majority-owned by Codere Group. Codere Online launched operations in 39% 2021 – 2023E
Slide 7: Q3 2023 Highlights
Corporate Overview 1. Q3 2023 Highlights Strong operating performance in Q3 2023 with Net Gaming Revenue (NGR) of €43 mm (41% above Q3 2022) Revenue • Consolidated NGR of €43.2 mm in Q3 2023, +41% vs. Q3 2022 Growth / Mix • 58% of our Q3 2023 NGR was generated from Casino and 42% from Sports Betting
Slide 8: Table of Contents
Table of Contents 1. Corporate Overview Page 6 2. Financial Results (Unaudited) Page 9 3. 2023 Outlook Page 18 4. Appendix Page 21 8
Slide 9: Consolidated Net Gaming Revenue and Adj. EBITDA
Financial Results (Unaudited) 2. Consolidated Net Gaming Revenue and Adj. EBITDA(1) 41% NGR increase in Q3 2023 primarily driven by Mexico and Spain resulting in breakeven Adj. EBITDA in the quarter Figures in EUR mm Quarter YTD LTM Q3-22 Q3-23 Var. % Q3-22 Q3-23 Var. % Q3-22 Q3-23 Var. % Net Gaming
Slide 10: Consolidated Income Statement
Financial Results (Unaudited) 2. Consolidated Income Statement(1) Adj. EBITDA breakeven in the quarter versus on the back of higher revenues and lower investment in marketing Figures in EUR mm Quarter YTD LTM Q3-22 Q3-23 Var. % Q3-22 Q3-23 Var. % Q3-22 Q3-23 Var. % Consolidated Income Statement Net
Slide 11: Consolidated Financial and Operating Metrics
Financial Results (Unaudited) 2. Consolidated Financial and Operating Metrics(1) 41% NGR growth versus Q3 2022 on the back of a higher number of active customers and higher spend per customer Net Gaming Revenue FTDs 41% (20%) 11% - EUR mm # 43.2 121,991 37.7 39.5 39.1 30.6 78,024 84,868 86,252 79,80
Slide 12: Spain Financial and Operating Metrics
Financial Results (Unaudited) 2. Spain Financial and Operating Metrics 27% Net Gaming Revenue growth in Q3 2023 driven by a higher number of active customers and higher spend per customer Net Gaming Revenue (Quarterly) Net Gaming Revenue (LTM) 27% 8% 20% EUR mm EUR mm 17.8 18.4 18.9 72.7 17.5 14.1 1
Slide 13: Mexico Financial and Operating Metrics
Financial Results (Unaudited) 2. Mexico Financial and Operating Metrics Q3 2023 Net Gaming Revenue grew 63% versus Q3 2022 driven by an increase in active customers and spend per customer Net Gaming Revenue (Quarterly) Net Gaming Revenue (LTM) 63% 83% 17% EUR mm EUR mm 72.9 21.0 51.1 16.3 17.6 18.0
Slide 14: Colombia Financial and Operating Metrics
Financial Results (Unaudited) 2. Colombia Financial and Operating Metrics 5% decline in Net Gaming Revenue driven by the lower active customers resulting from the significantly lower investment in marketing Net Gaming Revenue (Quarterly) Net Gaming Revenue (LTM) 72% (5%) 63% (17%) 17% EUR mm EUR mm
Slide 15: Consolidated Balance Sheet, NWC and Cash (30/09/23)
Financial Results (Unaudited) 2. Consolidated Balance Sheet, NWC and Cash (30/09/23) Approximately €43 mm in total cash of which €37 mm is available. Negative NWC position of €19 mm Balance Sheet Net Working Capital (NWC) Accounts Payable, Net Figures in EUR mm Figures in EUR mm Figures in EUR mm (-
Slide 16: Consolidated Cash Flow Statement
Financial Results (Unaudited) 3. Consolidated Cash Flow Statement 9M-23 Cash Flow Statement Change in NWC – 9M-23 Cash Impact Figures in EUR mm 9M-23 Figures in EUR mm Dec 2022 Sep 2023 Chg. Net Income(1) -2.1 Plus: Provision for CIT(2) Working Capital - Assets 16.1 26.1 -10.1 -2.7 Less: CIT Paid -0
Slide 17: Table of Contents
Table of Contents 1. Corporate Overview Page 6 2. Financial Results (Unaudited) Page 9 3. 2023 Outlook Page 18 4. Appendix Page 21 17
Slide 18: 2023 NGR and Adj. EBITDA Outlook
2023 Outlook 3. 2023 Net Gaming Revenue and Adj. EBITDA 2023 NGR outlook increased to €155-165 mm and Adj. EBITDA outlook of negative €10-18 mm, reflecting an expected +70% reduction in Adj. EBITDA losses in the year and on track to become Adj. EBITDA and cash flow positive for full year 2024. Histo
Slide 19: Questions & Answers
Questions & Answers
Slide 20: Table of Contents
Table of Contents 1. Corporate Overview Page 6 2. Financial Results (Unaudited) Page 9 3. 2023 Outlook Page 18 4. Appendix Page 21 20
Slide 21: Consolidated Net Gaming Revenue and Adj. EBITDA
Appendix 4. Consolidated Net Gaming Revenue and Adj. EBITDA(1) Net Gaming Revenue Figures in EUR mm Q1-20 Q2-20 Q3-20 Q4-20 FY-20 Q1-21 Q2-21 Q3-21 Q4-21 FY-21 Q1-22 Q2-22 Q3-22 Q4-22 FY-22 Q1-23 Q2-23 Q3-23 Spain 11.2 10.3 12.3 14.4 48.3 13.0 12.6 11.6 12.6 49.8 13.2 14.1 14.9 17.8 60.0 18.4 17.5 1
Slide 22: Consolidated Income Statement
Appendix 4. Consolidated Income Statement(1) Consolidated Income Statement Figures in EUR mm Q1-20 Q2-20 Q3-20 Q4-20 FY-20 Q1-21 Q2-21 Q3-21 Q4-21 FY-21 Q1-22 Q2-22 Q3-22 Q4-22 FY-22 Q1-23 Q2-23 Q3-23 Net Gaming Revenue 16.3 13.9 18.9 22.3 71.3 20.5 20.7 19.8 22.2 83.2 25.5 29.2 30.6 37.7 122.9 39.5
Slide 23: Regulatory Overview
Appendix 4. Regulatory Overview Regulation / Launch # Licensed Codere Online Codere Online Retail Effective Gaming Regulator Date(1) Operators(2) Launch Date License Expiry Requirements(3) Tax (% NGR 2022) Latin America Secretaria de May 2027 Mexico 2014 / 2016 18+ 2016 Yes 21% Gobernacion (SEGOB) (
Slide 24: Market Overview - Online B2C (LatAm)
Appendix 4. Market Overview - Online B2C (LatAm) Codere Online’s Core Markets (Mexico, Colombia, Argentina and Panama) represented over 81% of the LatAm market in 2022 but will only represent approximately 49% by 2025 and 48% of the overall TAM (2027), with the potential regulation of gaming in Braz
Slide 25: Net Gaming Revenue and Adj. EBITDA Reconciliation
Appendix 4. Net Gaming Revenue and Adj. EBITDA Reconciliation Figures in EUR mm (11) GAAP 2020 2021 2022 Q1-23 Q2-23 Q3-23 9M-23 Accounting Revenue (1) 70.5 80.3 115.7 37.6 37.0 41.1 115.7 (2) -1.2 -0.4 0.0 0.0 0.0 0.0 0.0 (-) Greenplay (+) Accounting Adjustments (3) 2.0 3.3 7.2 1.9 2.1 2.1 6.1 Net
Slide 26: Defined Terms
Appendix 4. Defined Terms Avg. Monthly Actives : Average number of sports betting and casino customers who placed a real money bet (i.e. excludes free bets) in a given month. Avg. Monthly Spend per Active: Avg. Monthly Net Gaming Revenue (NGR) during a given period divided by Avg. Monthly Actives du
Slide 27: Codere Online Investor Relations
For additional information, please contact: Codere Online Investor Relations ir@codereonline.com +34 91 354 28 00 codereonline.com
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