Danske Spil, the Danish national lottery operator, reported an increase in revenue and net profit in the third quarter of the year. The revenue reached DKK3.69bn, which was 2.4% higher than the same period in the previous year. This growth was attributed to the success of its lottery operations, particularly Eurojackpot sales, which saw larger jackpots and new Tuesday draws.
The primary source of revenue for Danske Spil was Danske Lotteri Spil, which saw an increase of 3.1% compared to the previous year, reaching DKK2.07bn. Revenue from Danske Licens Spil, which includes sports betting and online casino, reached DKK1.21bn, but experienced a slight decrease of 1.6%. This was due to a decline in sports betting, despite improvements in casino activity. Additionally, the operator noted the impact of responsible gambling initiatives, such as lower deposit limits.
The integration of Danske Klasse-lotteri and revenue from Elite Gaming and the Swush fantasy sports platform also contributed to the overall growth in revenue. Despite a slight decline in revenue from Elite Gaming, the class lottery posted a 39.7% increase in revenue, and the fantasy sports platform reported a 10.0% increase.
In terms of spending, state taxes, dealer commissions, personnel costs, depreciation, and other external expenses were the main outgoings for Danske Spil. However, the operator reported a pre-tax profit of DKK1.76bn, which was 8.6% higher than Q3 of the previous year. The net profit for the quarter was DKK1.37bn, representing an 8.5% increase from the previous year.
Looking ahead, Danske Spil expects to hit full-year financial targets, with revenue projected to range between DKK5.0bn and DKK5.2bn for the 12 months to 31 December. The net profit is also expected to be in the range of DKK1.7bn to DKK1.8bn. Overall, the continued growth in lottery operations and responsible gambling initiatives have contributed to the positive financial performance of Danske Spil in the third quarter.