Svenska Spel has finished 2024 trading on a positive note, concluding a transformative year for Sweden’s state-owned gambling group.

Publishing its Q4 and FY2024 accounts, Svenska Spel returns to positive trading following significant adjustments to its business due to the government closing its remaining Casino Cosmopol venues in H1 and applying further limits on retail slots.

Of significance, in Q4, Svenska Spel matched its like-for-like 2023 comparatives, generating group revenues of SEK 2,125m (€185m).

Group accounts highlighted an improved operating margin of 25%, primarily related to higher online income generated in Q4, as operating profits stood at SEK 535M (€47m), 10% above 2023 results of SEK 485M (€41m).

Improved results were attributed to Triss (scratch card) upgrades delivered on Svenska Spel’s mobile app and high customer engagement with TUR (lotto draw) jackpots totalling SEK 210M.

Navigating changes, Svenska Spel maintained its Swedish social commitments, generating SEK 35m for the Gräsroten programme, which allocates funds for all Swedish youth and amateur sports.

Anna Johnson, CEO and Group President of Svenska Spel, stated: “It is a testament to our strength that we conclude the year with a quarter where revenue is on par with the previous year, alongside an improved operating profit driven by lower operating costs. This is despite 2024 being a year of major transformations for Svenska Spel and a weak economic climate in Sweden.”

On an annual basis, net gaming revenue for the group was SEK 7,737 million (8,029), a decrease of SEK 292m or 4%, largely impacted by changes in the casino business and strengthened responsible gaming measures.

Accounts detailed that the Casino Cosmopol business area was significantly affected, as only one casino was open during the quarter, compared to three casinos in the same quarter last year. Net gaming revenue declined by 66%.

The group’s operating profit totalled SEK 2,113 million (2,333), reflecting a decrease of SEK 220 million or 9%. This decline was partly driven by higher one-time costs in 2024, including expenses related to the closure of two casinos, provisions for sanction fees, and Svenska Spel’s reorganisation.

Further fiscal impacts saw group accounts taxed at a higher income rate of 22% as of July 2024, which management detailed had a negative impact of SEK 150m.

Leadership is confident that it will mitigate the changes from 2024 and return to growth in 2025, implementing the forthcoming changes from its organisational review.

In 2025, Svenska Spel will prioritise the promotion of its new Oddset sportsbook platform, developed in partnership with Kambi Group Plc, aiming to capture a greater market share of Swedish sports betting.

Completing her first year as CEO of Svenska Spel, Anna Johnson stated: “This shows that we are well-positioned for the investments we need to make going forward. I am also pleased that the board proposes a dividend of SEK 1.6 billion to the owner. Giving back to society is a key part of Svenska Spel’s purpose.

As Sweden’s national gaming company, we return our entire surplus to the state treasury, benefiting society beyond our sponsorship of Swedish sports and our support for research on gambling issues.”

Source