Swedish gambling operator Svenska Spel says it “exceeded” financial targets in Q4 after operating profit rose year-on-year despite a year of major restructuring.
A company reorganisation involved the closure of two Casino Cosmopol properties in Gothenburg and Malmö, which saw net gaming revenue in this area fall by 66 per cent.
However, lower operating costs, matched with group net gaming revenue staying flat meant operating profit rose from SEK485m (£35.8m) to SEK535m (£39.5m).
Group revenue rose from SEK2.121bn (£156.4m) to SEK2.125bn (£156.7m).
Svenska Spel said Tur, its lottery division, had its strongest quarter ever with revenue climbing by seven per cent.
Net gaming revenues for the Sport & Casino and Vegas business areas “continue to be negatively affected by strengthened responsible gaming measures compared to the same quarter last year,” Svenska Spel said.
“It is a statement of strength that the year ends with a quarter with revenues in line with the previous year and improved operating profit linked to lower operating costs,” said CEO and president Anna Johnson.
“This despite the fact that 2024 was a year of major restructuring by Svenska Spel and a weak economy in Sweden.
“It shows that we are well equipped for the investments we need to make going forward. I am also pleased that the board is proposing a dividend of SEK1.6bn (£118m) to the owner.
“Giving back to society is an important part of Svenska Spel's purpose. As Sweden's entire gaming company, we give back by donating our entire surplus to the treasury. This is money that benefits society, in addition to our sponsorship of Swedish sports and our support for research into gambling problems.”
As for the full year, operating profit decreased by SEK220m (£16.2m) to SEK2.11bn (£155.6m).
Net gaming revenue declined by SEK292m (£21.5m) or four per cent to SEK7.7bn (£567.9m).
The Luck business area had a record year with over SEK5bn (£368.7m) in net gaming revenue.
Svenska Spel said the increase in the Swedish gambling tax rate from 18 per cent to 22 per cent will impact operating profit by around SEK150m (£11.06m).
