Codere Online Luxembourg, S.a. · NASDAQ:CDRO
Codere Online Luxembourg — Q2 2023 Earnings Presentation
27 slides from Codere Online Luxembourg's earnings presentation, Aug 31, 2023
Slide 1: Second Quarter 2023 Earnings
Codere Online Nasdaq: CDRO / CDROW Second Quarter 2023 Earnings August 31, 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 36% 2021 – 2023E
Slide 7: Q2 2023 Highlights
Corporate Overview 1. Q2 2023 Highlights Strong operating performance in the second quarter of 2023 with NGR of €39 mm (34% above Q2 2022) • Consolidated Net Gaming Revenue (NGR) of €39.1 mm in Q2 2023, +34% vs. Q2 Revenue 2022 Growth / Mix • 54% of our Q2 2023 NGR was generated from Casino and 46%
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) 34% NGR increase in Q2 2023 primarily driven by Mexico and Spain resulting in a significant improvement in Adj. EBITDA Net Gaming Revenue Figures in EUR mm Quarter YTD LTM Q2-22 Q2-23 Var. % Q2-22 Q2-23 Var. % Q2-22
Slide 10: Consolidated Income Statement
Financial Results (Unaudited) 2. Consolidated Income Statement(1) 55% reduction in Adj. EBITDA losses in the quarter versus Q2 2022 on the back of higher revenues and flat investment in marketing Consolidated Income Statement Figures in EUR mm Quarter YTD LTM Q2-22 Q2-23 Var. % Q2-22 Q2-23 Var. % Q2
Slide 11: Consolidated Financial and Operating Metrics
Financial Results (Unaudited) 2. Consolidated Financial and Operating Metrics(1) 34% NGR growth versus Q2 2022 on the back of a higher number of active customers. Decline in FTDs driven by Colombia. Net Gaming Revenue FTDs 34% (18%) (1%) (13%) EUR mm # 39.5 39.1 121,991 37.7 29.2 30.6 84,868 86,252
Slide 12: Spain Financial and Operating Metrics
Financial Results (Unaudited) 2. Spain Financial and Operating Metrics 24% Net Gaming Revenue growth in Q2 2023 versus the prior year period driven by a higher number of active customers Net Gaming Revenue (Quarterly) Net Gaming Revenue (LTM) 24% 20% (5%) EUR mm EUR mm 17.8 18.4 17.5 68.7 14.1 14.9
Slide 13: Mexico Financial and Operating Metrics
Financial Results (Unaudited) 2. Mexico Financial and Operating Metrics Q2 2023 Net Gaming Revenue increased 51% versus Q2 2022 driven by an increase in active customers Net Gaming Revenue (Quarterly) Net Gaming Revenue (LTM) 83% 51% 3% EUR mm EUR mm 64.8 17.6 18.0 51.1 16.3 11.9 12.9 10.0 27.9 6.4
Slide 14: Colombia Financial and Operating Metrics
Financial Results (Unaudited) 2. Colombia Financial and Operating Metrics Flat Net Gaming Revenue and active customer levels in the quarter despite the significantly lower investment in marketing Net Gaming Revenue (Quarterly) Net Gaming Revenue (LTM) 72% (5%) (8%) EUR mm EUR mm 8.7 2.2 2.3 2.3 7.9
Slide 15: Consolidated Balance Sheet, NWC and Cash (30/06/23)
Financial Results (Unaudited) 2. Consolidated Balance Sheet, NWC and Cash (30/06/23) Approximately €45 mm in total cash of which €40 mm is available. Negative NWC position of €23 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 H1-23 Cash Flow Statement Change in NWC – H1-23 Cash Impact Figures in EUR mm H1-23 Figures in EUR mm Dec 2022 Jun 2023 Chg. Net Income(1) -3.0 Plus: Provision for CIT(2) -2.4 Working Capital - Assets 16.1 24.9 -8.8 Less: CIT Paid 0.0
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 €150-160 mm (+7% at the mid) and Adj. EBITDA outlook to €(15)–(25) mm, reflecting an expected 60% reduction in EBITDA losses in the year and on track to become EBITDA and cash flow positive for full year 2024. Hist
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 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 Mexico
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 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 39.1
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 GAAP 2020 2021 2022 Q1-23 Q2-23 H1-23 Accounting Revenue(1) 70.5 80.3 115.7 37.6 37.0 74.6 (2) (-) Greenplay -1.2 -0.4 0.0 0.0 0.0 0.0 (+) Accounting Adjustments(3) 2.0 3.3 7.2 1.9 2.1 4.0 Net Gaming Revenue 71.3 83.2 122.9 39.5 39.1 78.6
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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