Svenska Spel reports revenue decline
The first quarter of the year, characterised by the re-regulation of the local market, was negative for the company.
Sweden.- Svenska Spel, the state-owned company from Sweden, has released its latest financial results, which indicate that the company experienced a decrease in revenues during the first quarter of the year.
The company decreased its net gaming revenue by 6% year-on-year in the first quarter of the year to €168.1 million. This period was the first since the re-regulation of the Swedish gambling market.
Land-based operations at Casino Cosmopol & Vegas also suffered a setback: they fell 17% to €39.2 million, while lottery also decreased 6% to €94.3 million. Furthermore, Svenska Spel reported €51.3 million in sports betting and casino revenue, which is a 4% increase year-on-year.
Patrik Hofbauer, CEO of Svenska Spel, said the company was content with the new market. However, the initial results were underwhelming. The result for the quarter was affected by the division of the group, which was both extensive and demanding. Among other things, this meant the sports and casino areas had to build up a new customer database from scratch.
“The change work required a great deal of internal focus, made us introvert. But now we are finally up and running, all in line with new gaming regulations and competition legislation,” he added.
