Svenska Spel’s Closed Physical Casinos Affects Q2 Net Gaming

Swedish state-owned gambling operator Svenska Spel Sport and Casino has seen the closing of physical casinos and the interruption of global sporting events in the second quarter of the year have a significant impact on net gaming revenues.

Similar to many other incumbents in betting and gaming, Svenska Spel lauded ongoing efforts to expand its igaming range, which now boasts 1,000 online casino games, as well as the introduction of new animated digital tickets across the company’s Tur lottery market.

The company also reports that it has continued its in-depth risk gaming analysis, noting that the findings show that over the period more people have opted to play new games but show no overall rise in risk-taking.

Net gaming revenue for the quarter plummeted 19 percent to SEK 1.64bn (2019: SEK 2.03bn), with its full-year results of SEK 3.69 m, down 10 percent year-on-year from SEK 4.09bn.

Net gaming revenue decreased by 37 percent for the company’s sport and casino business sector, while the Tur segment increased by 3 percent. Casino Cosmopol assets of Svenska Spel and region of Vegas gaming machines fell 61 percent.

Operating income of SEK 473 m reflects a decline of 11 percent from SEK534 m compared to last year’s same time, which is said to be due to lower net gaming revenue. Operating income for the company in full-year terms amounted to SEK 1.17bn. 12 percent more than SEK 1.05 billion.

The Casino Cosmopol franchises of Svenska Spel in Stockholm, Göteborg, Malmö and Sundsvall remain closed, having initially shut their doors on March 29.

Svenska Spel president and CEO Patrik Hofbauer explained: “We show innovative power and perseverance during a tough time by continuing to launch new games and improve the gaming experience for our customers.

“Despite the fact that COVID-19 left deep traces in many ways and despite the fact that it is not over yet, it looks brighter going forward. We are on the way up again after having managed the rapid transition to the big and unexpected changes during the spring.”

Adding: “Despite the fact that covid-19 left deep traces in many ways and despite the fact that it is not over yet, it looks brighter going forward. Above all, we know that we have managed the big and unexpected changes during the spring. Here I want to highlight our fantastic employees who have worked tirelessly. The quarter is proof that we can make quick adjustments without losing focus on customers.

“The sport is up and running, customers appreciate our games and soon we have more exciting news to present. We continue to offer the Swedish people entertaining and responsible gaming experiences. We do this with an offensive focus and with continued consideration for our customers.”

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About Joe Kizlauskas

Joe is a seasoned iGaming copywriter and speaker who has been in the business since 2015. He's written more words on all elements of iGaming than he likes to remember, and he's contributed material to a number of well-known brands. Joe may be seen playing 5 a side, at the gym or playing games on his Playstation when he is not writing.