Svenska Spel's profit decline after casino closure
Date: 2024-04-23 Author: Robert Beloved Categories: EVENTS
Svenska Spel reported a decline in net profit in the first quarter after the closure of its casino led to higher costs and losses in operations.
Decrease in revenue due to casino closures
Svenska Spel's revenue decreased by 1.0%, mainly due to lower revenues in the Sport & Casino, Casino Cosmopol and Vegas segments following the closure of the casino.
Adaptation to change
Interim CEO of Svenska Spel, Erik Strand, notes that the decline in profits is due to a period of adaptation to changes, especially after the closure of the Cosmopol casinos in Gothenburg and Malmö.
Despite the decline in other segments, the Tur lottery segment continues to be Svenska Spel's main source of revenue, with revenue growth of 6.4%.
Positive trends in online games
The rise of online trading brings some reassuring news, with overall online gambling revenue increasing by 5.8%.
Despite the decline in direct revenue costs, personnel costs and other operating expenses increased significantly, resulting in a 24.6% decline in net income.
