Veikkaus sales decline as state operator prepares for competitive regulated gambling in Finland

The state monopoly says it expects a turnaround once the Finnish gambling market opens to competition.

Finland.- The state-controlled gambling monopoly Veikkaus has reported a decline in annual sales for 2024 as it prepares for major market changes. The government plans to open the market to competitive regulated online gambling in Finland in 2026 or early 2027, at which point Veikkaus hopes to see a turnaround.

For 2024, Veikkaus reported sales of €956.2m, a decline of 7.3 per cent year-on-year. Operating profit was down by 19.6 per cent at €466.8m due to new investments for the future plus an increase in lottery tax from 5 per cent to 12 per cent, which led to a €114.2m lottery tax contribution to the state. 

Registered customer numbers climbed by 80,000 to 2.6 million, but gaming revenue was hit by requirements for new certifications and new rules on lottery draws and scratchcard sales. Digital sales accounted for 60 per cent of revenue.

In contrast to the downturn in the domestic B2C business, Veikkaus’s B2B subsidiary Fennica Gaming saw sales rise by 181 per cent to €3m following its expansion into new markets. It now provides online lotteries and slots products in the US, UK, France and Sweden. The division still posted a loss of €8.6m but said it had signed with 14 clients as of the end of 2024.

Despite the apparent challenges, Veikkaus expressed optimism about its prospects in the upcoming competitive regulated online gambling market. The company will be split, with a dedicated online gambling arm to compete with private licensees while the other part of the company retains its monopoly over Finland’s lottery and land-based slots. In December, Veikkaus launched its first virtual casino offering as it advances with plans to expand its product offering before the opening of the online market.

Veikkaus CFO Regina Sippel said: “The reform of the gambling system is a great opportunity for Veikkaus, and we have done long-term work to prepare for the future. In 2024, as planned, we implemented the Veikkaus strategy and invested in both business development and international growth. We want to continuously develop, driven by our new mission: we passionately drive better gaming.”