Codere Online: We’d need ‘a lot of money’ to replicate our business model in Brazil
Summary
Codere Online says it is unlikely to enter Brazil in the short term. CEO Aviv Sher told analysts on the H1 earnings call that, while the firm’s Spanish playbook has been successfully replicated in Mexico and Central America, applying the same model in Brazil would require “a lot of money” and significant investment.
Mexico remains the group’s strongest growth market: Codere reported a 9% rise in net gaming revenue (NGR) in Mexico in H1 to €59.5m, helped by higher player activity and a 36% rise in active customers versus Q2 2024. Across the group, NGR was broadly flat in Q2 at €54.8m; the company reported a 4% year-on-year increase in NGR to €11.8m in H1 (61% iGaming / 39% sports betting). Available cash at the end of H1 was €40.7m.
Colombia is under strain after a newly implemented VAT that has pushed the operator’s tax burden to almost 50% of revenue, with Codere scaling operations there back to a break-even, “bare minimum” level. Spain saw flat NGR amid renewed competition after welcome bonuses were reintroduced; Codere is taking a more selective approach to promotions to attract higher-value players and lower acquisition costs.
Author style
Punchy — this is a concise take on the H1 call and figures. If you’re watching LATAM markets, this piece highlights where Codere is choosing to double down and where it’s pulling back.
Source
Source:https://igamingbusiness.com/finance/codere-online-brazil-business-model-h1/
Key Points
- • CEO Aviv Sher said replicating Codere Online’s model in Brazil would require “a lot of money” and is not a short-term priority.
- • Mexico NGR grew 9% in H1 to €59.5m; active customers rose 36% versus Q2 2024.
- • Group NGR was broadly flat in Q2 at €54.8m; the company reported a 4% rise in H1 NGR to €11.8m (61% iGaming / 39% sports betting).
- • Q2 saw ~277,000 new registrations with a 28% conversion rate, CPA of €218, and monthly actives up ~7% to ~155,000.
- • Spain’s revenue was affected by the return of welcome bonuses; Codere is using more selective promotions to target better-quality customers.
- • Colombia’s new VAT has pushed Codere’s tax rate close to 50%, forcing reduced operations to maintain break-even.
- • Cash at end-H1 was €40.7m; CFO expects stronger EBITDA in H2 and is weighing regional expansion options.
Why should I read this?
Quick and useful — if you follow LATAM iGaming, this gives you the essentials: Codere isn’t rushing into Brazil because it’ll be expensive, Mexico is the engine of growth, Colombia is a tax mess, and Spain’s promo landscape is shifting. We’ve done the reading so you can move on to other things.
Source
Source:https://igamingbusiness.com/finance/codere-online-brazil-business-model-h1/