Challenges remain for Svenska Spel despite rise in profits
Svenska Spel has reported a 5.4% year-on-year increase in operating profit in the third quarter of the year to SEK1.318 billion (€150.2 million/$207 million), but president Lennart Kall has admitted that challenges remain for the state-controlled Swedish gaming monopoly.
The monopoly said that net gaming revenue for the year so far had grown by 0.3% to SEK7.132 billion, but operating profit and net income have increased significantly by 4.3% and 4.5% to SEK3.799 billion and SEK3.845 billion, respectively.
In the third quarter through to the end of September, net gaming revenue edged up by 0.8% to SEK2.351 billion.
Kall said that the performances of the company’s Lotto, Stryktipset and Eurojackpot products, as well as strong online performances in the face of competition and reducing costs, had boosted the monopoly’s profits. However, he added a note of caution.
“We have many challenges ahead of us – net gaming revenue for the group is the same as last year, which means we are not succeeding in growing with the rest of the market... and our total market share is decreasing,” he said.
Svenska Spel’s market share stood at 48% at the end of September, down from 49% last year.
Earlier this month Svenska Spel curtailed all gambling incentives in order to combat problem gambling.