Swedish state-owned gambling operator Svenska Spel has released its financial report for the second quarter and first half of 2025, presenting a complex picture of mixed gains and losses. The net gaming revenue (NGR) for the second quarter was stable year-on-year, reaching SEK 1.83 billion (approximately USD 190 million), but operating profit fell by 17% compared to the same period last year, to SEK 545 million, with the profit margin sliding from 36% to 30%. The company attributes the sharp decline in profit to the upcoming increase in gambling tax rates in Sweden starting in July, but since the tax reform has not yet been implemented, its real impact remains uncertain.
Meanwhile, online channels performed solidly, with revenue growing by 5% year-on-year, accounting for 62% of the total quarterly revenue, up from 60% in the same period last year. However, the NGR for the second quarter was slightly lower than the first quarter's SEK 1.88 billion.
By contrast, the overall performance for the first half of 2025 was more stable. Although revenue decreased by 1% year-on-year to SEK 3.69 billion, mainly due to the drag from its video lottery terminal (VLT) business, net profit increased by 2% year-on-year to SEK 1.18 billion, with the profit margin improving to 32%. The profit from ongoing operations also saw a slight increase, reaching SEK 952 million, with online channels growing by 6% year-on-year.
During the reporting period, Svenska Spel significantly accelerated its investment activities. The second quarter saw the completion of 49 investments, up from 21 in the same period last year; the first half of the year saw a total of 68 investments, also up by 66% from last year. Additionally, the company closed the last Casino Cosmopol in Stockholm and initiated project sale negotiations, marking the end of an era.
In terms of social responsibility, Svenska Spel provided SEK 17 million to the Swedish Football Association to support projects in vulnerable communities; however, due to compliance oversights, it was fined and warned by the court.
CEO Anna Johansson stated that the company will continue to focus on customer satisfaction, responsible gambling, and sustainable growth strategies, emphasizing that brands like Eurojackpot and Oddset had positive performances this quarter.
