Codere Online, the online gaming and sports betting operator active across Spain and Latin America, has announced strong financial results for 2024, reflecting notable growth and recognition for its innovative customer engagement strategies. The company reported total net gaming revenue of €211.6 million ($221.56 million), marking a remarkable 23% increase compared to the previous year. Alongside its financial successes, Codere Online also received the prestigious Master Experiential 2024 award from LifeMiles, acknowledging their efforts to connect deeply with customers through unique experiences.
On February 8, 2024, during the LifeMiles award presentation, Codere Online highlighted their strategic partnership with LifeMiles, which has been solidified since 2022. This collaboration has allowed Codere's clients not only to engage with their favorite sports betting opportunities but also to benefit from the extensive loyalty program offered by LifeMiles, which includes over five million members and numerous partners. Ángela G. Serrano Coronado, manager of Codere Online Colombia, expressed pride over the award, stating, "To Codere, it is a pleasure to receive this award for doing what we love: connecting with our clients, getting them to not only play with us but to enjoy unique experiences and strengthen their bond with our brand. We thank LifeMiles for accompanying us on this growth path to be the preferred entertainment option for Colombians."
Upon examining its financial performance, Codere Online marked its fourth quarter with net gaming revenue reaching €52.6 million ($55 million) for Q4 2024, representing a 5% increase compared to the last quarter of 2023. Particularly, the Mexico segment revealed full-year revenue growth of 30% to €106.6 million ($111.6 million), with the leadership noting challenges faced during the fourth quarter due to the devaluation of the Mexican peso. CEO Aviv Sher elaborated, "The revenue stagnant at €25.1 million for the fourth quarter was largely because of this currency fluctuation, but had it remained stable, we would have seen 14% growth during this time. We do believe there are opportunities as some of our competitors have slowed their investment, and we are benefiting from it."
Looking at the future, Sher anticipates renewed competition as the 2026 FIFA World Cup approaches, which could potentially motivate operators to re-enter the Mexican market, leading to heightened competition. The company has resolved certain technical issues related to its marketing investments, enhancing capacity to engage existing clientele effectively. While Codere Online is actively building its presence, efforts to expand operations across multiple Argentine provinces face challenges due to the country’s fragmented licensing system. Sher remarked, "We made many efforts, but at this moment, we cannot access the major provinces where most of Argentina’s gaming revenue is generated; we are limited to just Buenos Aires. Our focus remains on established markets, prioritizing growth now, rather than venturing out to new territories like Chile or Peru."
Codere Online has also secured additional extensions with Nasdaq for filing its 2023 annual report, which is now due on May 12, 2025, allowing the company to maintain its market listing. The company is reportedly working diligently to comply with the requirements, aiming to establish confidence with its investors. They have unveiled plans for share buybacks of up to $5 million, pending shareholder approval. CFO Óscar Iglesias stated, "Our strong performance this quarter saw net gaming revenue rise to nearly €212 million for the full year, exceeding our initial forecast. This, alongside our plan for shares, reflects our confidence in cash flow generation going forward. For 2025, we project gaming revenue between €220 million and €230 million, with adjusted EBITDA expected to rise between €10 million and €15 million."
Codere Online’s dedication to customer engagement has yielded tangible rewards, as evidenced by the LifeMiles award aimed at recognizing effectively engaging strategies. They plan to continue leveraging their customer loyalty program to deepen connections with their clients. David Álvarez, Business Development Manager for LifeMiles, praised Codere's unique approach and differentiation, stating, "Codere has been a key ally, taking us to new horizons with bold and creative communication and maintaining strong connections with their VIP customers."
With all these developments, Codere Online is positioning itself for sustained growth and innovation within its competitive markets, combining its commitment to customer experiences with strategic growth initiatives. The year 2024 has evidently marked not just another financial milestone but also amplified the relevance of connecting with customers on multiple levels, ensuring relevance as the industry evolves.