Danske Spil records slight uptick in Q3 2022 revenue despite vertical downturns
State-owned Danish operator records revenue of DKK3.6bn as sports betting and online casino sees GGR fall off almost 10%
Danske Spil has reported a 1.8% year-on-year (YoY) revenue increase for Q3 2022, reaching DKK3.60bn (£421.5m).
The majority of this revenue came from Danske Lotteri Spil, the operator’s lottery business, which contributed DKK 2.01bn, a 1.1% YoY dip from DKK2.03bn posted in Q3 2021.
In addition, the Danish operator’s sports betting and gaming section posted revenue of DKK1.23bn, representing a drop off of 9.8% YoY.
Danske Spil stated that this was due to the new responsible gambling measures such as deposit limits and a less packed sporting calendar in Q3.
The Elite Gaming portion of the firm added DKK223m, a massive 70.2% YoY increase, due to all restrictions relating to the pandemic being lifted in Denmark. On the other hand, the fantasy sports platform Swush contributed DKK10m, a plunge of 33.3%.
Det Danske Klasselotteri was also factored into the latest figures after it was integrated into Danske Spil in April 2022. GGR from the ‘class lottery’ was DKK131m.
Danske Spil attributed its slight uptick in overall revenue to the Danske Klasselotteri and also noted that the results were affected by a significant price drop in the financial markets in 2022, which is partially offset by fewer write-offs compared to the third quarter of 2021.
In terms of costs for the quarter, the operator paid DKK476m in state taxes, DKK329m in dealer commission and other gambling-related costs amounted to DKK199m.
External costs were reported at DKK491m, personal expenses were DKK248m and depreciation and amortisation totalled DKK174.0m.
Due to all these costs, Danske Spil saw a pre-tax profit of DKK1.71bn, a 7% YoY increase. Following a DKK357m tax payment, this left the operator with a net profit of DKK 1.26bn, a 2.9% YoY rise.
The firm reiterated that it expects to hit the GGR and profit figures that it laid out in its 2021 annual report.
In that original report, it projects GGR to be in the range of DKK4.8bn to DKK5bn in 2022, with profit after tax at DKK1.6bn-1.7bn.