The Swedish gaming enterprise, Svenska Spel, has disclosed its financial statement for the 2022 fiscal period, revealing a minor dip in earnings but an uptick in net earnings. The organization also proposed to distribute a dividend of 2 billion Swedish kronor (approximately 159 million pounds/179.6 million euros/193.5 million dollars).
Income in 2022 reached 8.04 billion Swedish kronor, a slight decline from 8.14 billion kronor in 2021. Performance varied across different departments.
The lottery division, Tur, remained the company’s primary revenue source, generating 4.9 billion Swedish kronor in 2022, a 0.4% reduction from 2021. This was primarily attributed to shifts in consumer purchasing patterns.
Earnings from the sports and casino division reached 2.07 billion Swedish kronor, a 12.2% decrease year-over-year. This was mainly due to new responsible gambling initiatives, the cancellation of sporting events at the start of the year, and the limited scope of pool games during the 2022 World Cup (which shifted from its traditional summer period to winter).
In contrast, revenue from Casino Cosmopol and Vegas operations rose by 22.8%, from 872 million Swedish kronor to 1.07 billion Swedish kronor. Svenska Spel attributed this to the lifting of all COVID-related retail venue limitations, which forced the company’s facilities to close in the first half of 2021 in accordance with nationwide measures.
The total earnings generated online amounted to 39.2 billion Swedish kronor, with 30.1 billion Swedish kronor originating from the agent network, 5.37 billion Swedish kronor from restaurants and bingo halls, and 5.34 billion Swedish kronor from brick-and-mortar casinos.
In terms of expenditures, gambling tax outlays reached 15.5 billion Swedish kronor, while the cost of revenue was 10.3 billion Swedish kronor. Regarding operational expenses, employee costs totaled 11.3 billion Swedish kronor, other external costs amounted to 19.1 billion Swedish kronor, and depreciation and impairment losses on intangible and tangible fixed assets were 3.37 billion Swedish kronor.
After taking into account financial-related income of 1.28 billion Swedish kronor, the pre-tax profit for the year was 25.2 billion Swedish kronor, representing a 1.9% increase compared to 24.7 billion Swedish kronor in 2021. Svenska Spel paid 5.21 billion Swedish kronor in taxes, resulting in a net profit of 19.95 billion Swedish kronor, slightly exceeding the 19.57 billion Swedish kronor recorded in the preceding year.
Based on this financial performance, the Svenska Spel board of directors proposes a dividend of 20 billion Swedish kronor, which has been submitted for approval.
“Our profits are returned to the Swedish populace, which is one of the key reasons we are the Swedish gambling company,” stated Patrick Hofbauer, CEO of Svenska Spel. “Over the past 25 years of Svenska Spel’s existence, we have, in collaboration with our patrons, contributed over 100 billion Swedish kronor to the national treasury.
“In 2023, we will continue to provide our customers with enjoyable and thrilling gaming experiences, and we will also continue to contribute to the development of a better society. Engaging in gaming at Svenska Spel should always be entertaining, straightforward, and secure.”
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