Codere posts a loss in first half 2012

Investors in the Spanish online and land gambling group Codere SA will be disappointed that, despite a successful operational half year, the company incurred an overall loss of Euro 24.7 million due to “provision of assets registration and business reorganisation in Mexico.”

The loss pulled down an otherwise positive performance that included:

* A 30 percent y-on-y boost to turnover for the half year, which reached Euro 819.7 million

* Half year EBITDA up 15.3 percent to Euro 155.5 million

* Q2-2012 EBITDA of Euro 76.8 million – well above forecast due to Latin American market successes

* Cash balance at the end of the reporting period of Euro 159.8 million together with a fully available credit line of Euro 60 million.

Codere disclosed that H1-2012 investments amounted to Euro 246.6 million with Euro 45.9 million of this set aside for maintenance while the remainder was earmarked for growth and the purchase of an additional 35.8 percent stake in ICELA.

“In February, Codere concluded the purchase from CIE of a 35.8 percent stake in ICELA. The acquisition of the 35.8 percent stake is additional to the 49 percent stake held by Codere Mexico in ICELA,” Management reported.

“In June, with respect to online gaming in Spain, Codere secured licences for Madrid and on the national level. In addition, Codere Italia acquired 60 percent of the recreational machine operator Dalla Pria Service Srl.”

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