Codere Online Luxembourg, S.A.

Good afternoon. My name is Rob, and I'll be your conference operator today. At this time, I would like to welcome everyone to the Cordair Online third quarter 2022 financial results conference call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you would like to ask a question during this time, simply press star, followed by the number one on your telephone keypad. If you would like to withdraw your question, again, just press star one. Thank you. Guillermo Lancha, you may begin your conference.

Thanks, operator, and welcome everyone to Coday Online's earnings call for the third quarter of 2022. Today, you will hear from our CEO, Moshe Adre, and CFO, Oscar Iglesias. Before turning the call over to Moshe, I'd like to remind everyone that during this call, we will be referring to a presentation that we uploaded to our website earlier today, which includes non-GAAP financial metrics, such as net gaming revenue, or adjusted EBITDA, for which you can find reconciliations in the appendix of the presentation. Let me also remind you that Codere Online is Luxembourg-based, and as a European company, our accounting information is prepared under IFRS accounting standards, and our functional currency is the euro. As such, throughout this presentation, all monetary figures will be in euro unless expressed otherwise. Finally, please note that a replay and transcript of this call will be available on our website at codereonline.com, where you can also sign up for our investor email alerts. With that, I will go ahead and pass the call on to Moshe.

Thank you Guillermo, and thanks everyone for joining the call. For those of you who are less familiar with the company, we have a quick overview on page six, but I will jump straight into the highlights of quarter on page seven. We've been able to deliver a strong set of results in this quarter, in third quarter, with the net gaming revenue growth accelerating significantly to 54% versus last year to nearly 31 million euros, a 5% sequential increase versus the period quarter, despite the usual Q3 headwinds from seasonality on the sports betting side of the business. This growth was a result of both significant increase in average monthly active customers to nearly 104,000 and a 15% increase in average monthly spend per active to 98 euros. Mexico again drove most of this growth in active customer with a 62% increase in the period. In terms of customer acquisition, the strong return of the main football league and other sporting events in the quarter allowed us to increase our first-time deposits to 86,000 with an increase of 62% versus last year and a significant uplift versus last quarter. We did so in an average cost of €200 per customer, which is higher than the period quarter, given the increase in marketing efforts to attract customers ahead of the start of the season, but also due to the time differences in marketing spend in Mexico, which we discussed in our second quarter earning call. This is our fourth consecutive quarter of strong performance, and the year-to-date trend that we anticipated earlier in the year in terms of an acceleration in revenue growth throughout the year. And while the third quarter comparison was an easy one, in particular due to the impact of newly implemented advertising and promotional restrictions in Spain in the period year period. We see the trend continue into the fourth quarter, and with the World Cup beginning in a few weeks, we believe that we're in a good position to meet the higher end of our four-year net gaming revenue guidelines which we are tightening between 115 to 120 million euros. In terms of recent developments, we continue to be very active on the licensing front. After several months of hard work with the team, we were successful in extending our online gaming license in Colombia by an additional three years to November 2025. Also, during September, we were pre-awarded an online gaming license in the province of Cordoba in Argentina, ranking first among eight operators who were selected to be licensed. Cordova is the second most populated region in Argentina and represents a great opportunity for us to continue building a relationship position in the country. We expect the final granting of the license to take place before year end and operation to start early next year. In addition to the province of Cordova, we are also pursuing a license in the province of Buenos Aires, the most populated in the country, and where the parent company is the leading retail operators with 13 gaming hall and above a 40% share of the market. We also remain attentive to other regions which are in the process of becoming regulated, like the province of Mendoza. We're expected to participate in the tender process scheduled for January. With that, I will turn it over to Oscar to cover the financial highlights of the quarter. Oscar, it's your call.