Q1 2026: Svenska Spel leans on online as retail decline continues
Svenska Spel reported a steady Q1 performance as growth in its online and lottery segments offset the continued decline of its land-based operations, highlighting the operator’s shift towards a fully digital-first model in Sweden’s tightly regulated market.
Net revenue for the three months to 31 March hit SEK1.88bn (€173.5m). This, the state-owned operator said, was 2% more than in the previous year.
However, underlying performance varied across segments, with growth in online and lottery offsetting continued declines in retail. The Tur lottery division remained the group’s largest contributor, delivering stable revenue during the quarter, while the Sport & Casino segment saw growth driven primarily by digital channels.
By contrast, land-based operations continued to decline following the closure of Casino Cosmopol venues, with retail now representing a significantly reduced share of group revenue.
Svenska Spel said the shift reflects its ongoing transition towards a more sustainable, digital-led model, aligned with its broader responsibility mandate as a state-owned operator.
“We’ve high ambitions for 2026 and have identified three priorities for the year,” president and CEO Anna Johnson said. “One is sustainable growth with a focus on our strong products. It is therefore positive that the year begins with growth in line with the market, with the product brands as the driving force.
“At the same time, work is underway on the two other priorities – the customer encounter of the future with interacting channels and a renewed brand, as well as the transformation of primarily organisation and technology for next-generation gaming experiences.”
Online responsible for 67% of Q1 revenue
Svenska Spel’s digital focus was clear to see in Q1. Revenue from digital operations within the ‘Luck’ online and lottery area reached SEK1.25bn, up 7% from last year and representing 67% of quarterly revenue. Mobile activity accounted for 58% of this total.
In contrast, shop revenue was down 4% to SEK756m, or 31% of all revenue. Restaurant and bingo hall revenue also dipped 16% to SEK63m during the three-month period.
With online growth, the group said this was mainly driven by increased revenue for Lotto. Eurojackpot also showed slightly increased revenue despite lower jackpot numbers.
Sport & Casino revenue was 3% higher at SEK565m, helped by positive developments in the sports betting and online casino segment, including increased customer activity. However, revenue for the Vegas business fell 17% to SEK63m amid more players switching across to online.
Svenska Spel benefits from Casino Cosmopol sale
Turning towards the bottom line, operating profit for the quarter was 4% higher year-on-year at SEK659m. This was the result of steady revenue growth and costs being relatively level with last year.
Pre-tax profit from continuing operations increased by 3% to SEK682m, while after paying SEK141m in income tax, net profit was also 3% higher at SEK541m.
However, after accounting for SEK286m in income from discontinued operations – namely the same of the Casino Cosmopol property in Stockholm – this left a bottom-line net profit of SEK827m, some 62% ahead of last year.
“The quarter shows how our games continue to create joy, excitement and dreams for our customers, and how they contribute to something bigger,” Johnson said. “We will continue to develop games that engage while strengthening the partnership with sports.
“We all win when we create long-term value for customers, owners and with workers and contribute to Swedish sports and all of Sweden.”
https://next.io/news/results/q126-svenska-spel-leans-online-retail-declines/