The Swedish government-owned former monopoly, Svenska Spel, published its first-half 2023 financial report, revealing an increase in digital income despite difficulties in its physical and retail operations.

Svenska Spel reported net gaming income of SEK 19.7 billion (roughly £150 million/€170 million/$190 million) in the initial six months of 2023, slightly exceeding SEK 19.6 billion in the same period the previous year.

After accounting for expenses, its operating profit was SEK 5.5 billion, a 3% rise compared to 2022.

The firm still managed to achieve growth despite online competition affecting its Casino Cosmopol and slot machine operations, leading to a SEK 29 million revenue decrease.

Conversely, online income increased by 9% year-over-year and now constitutes the majority (52%) of Svenska Spel’s total income.

President and CEO Patrick Hofbauer stated: “We are constantly streamlining and enhancing the customer gaming experience, and our emphasis on responsible gaming is having a positive effect.”

“The percentage of healthy revenue and the number of responsible players are increasing, while risky gambling is declining.”

Svenska Spel’s first-half performance was a combination of positive and negative results.

The Swedish gaming firm Svenska Spel operates in three divisions: sports wagering and online gaming, the Tur lottery division, and Casino Cosmopol & Vegas retail casinos and slot machines.

Svenska Spel’s sports betting and casino division witnessed a 6% rise in income compared to the same period last year, fueled by high margins in sports wagering, increased popularity of lotteries, growth in online casinos, and an increase in customer numbers.

Conversely, the company’s Tur lottery division experienced relatively stable income, increasing by only 1% to 1.21 billion Swedish kronor compared to the same period last year.

However, Svenska Spel’s Casino Cosmopol and Vegas division saw a 13% decrease in gambling income, resulting in a loss of 52 million Swedish kronor for the division in the three months.

Svenska Spel attributed this to heightened competition from online gaming, leading to fewer visitors and lower income.

The company also stated that strengthened social responsibility and anti-money laundering measures also contributed to the decline.

Due to these pressures, the company stated it will reorganize the division to reduce expenses.

Problematic gambling decreases
In the first quarter, Svenska Spel reported a decrease in the number of problematic gamblers compared to the same period last year. The company stated this trend has continued into the first half of the year.

This encompasses actions such as requiring individuals under the age of nineteen who desire to expend over one thousand Swedish kronor monthly on gaming to demonstrate their financial capability, and compelling slot machine patrons in Las Vegas to take ten-minute intervals.

Swedish gaming enterprises assert that their data for the initial six months of the year indicates they are effectively aiding individuals grappling with gambling issues. They claim that seventy percent of players who were contacted regarding their gaming patterns diminished their wagering frequency.

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