Svenska Spel Q3 profit dips as brand and IT spending rises

Svenska Spel has reaffirmed its push to simplify its corporate structure and concentrate resources on core brands such as Oddset, Lotto and Triss, as the Swedish state-owned operator works through a period of heavier strategic spending.

According to SBC News, third-quarter net gaming revenue reached SEK1.898bn (€170m), a 1% rise year on year, with gains spread across sports betting, online casino and lotteries.

Operating profit for the quarter fell 9% to SEK656m (€59m), as the operating margin slipped from 38% to 35%. Management pointed to investment in rebuilding the Svenska Spel brand and a group-wide shift to new cloud-based IT systems as the main drag on quarterly earnings.

The company said the spending is meant to sharpen the customer experience, lift operational efficiency and underpin growth over the longer term.

Chief executive Anna Johnson said trading had held up well against a competitive backdrop. "During the third quarter, the positive development continued with growth and good profitability. This shows that our focus on sustainable growth is delivering results," she said.

Even with the weaker quarterly number, Svenska Spel heads into the final three months of the year with operating profit for January to September still running ahead of 2025. Nine-month net gaming revenue climbed 3% to SEK5.741bn (€516m), while operating profit for the period rose 2% to SEK1.932bn (€173m). The operating margin for the nine months held steady at 34%.

The Sport & Casino arm produced the fastest growth of any division, with quarterly revenue up 6% to SEK516m (€46m) and nine-month revenue also up 6%, at SEK1.633bn (€147m). Oddset drew extra momentum from the football World Cup, with betting activity running ahead of the company's own expectations during the closing weeks of the tournament in July.

Tur, the group's lottery arm, posted quarterly revenue of SEK1.316bn (€118m), up 1%. Lotto and Triss did much of the work, helped by wider product placement in supermarkets and a limited-edition Triss ticket marking an anniversary. Eurojackpot sales, by contrast, softened because jackpots were smaller than in the comparable period last year.

Lottery remains Svenska Spel's biggest revenue generator overall, bringing in SEK3.909bn (€351m) across the first nine months of the year, up 3%.

Johnson said the group was now combining its technology investment with what she described as the most substantial overhaul of the Svenska Spel brand since the company was founded in 1997, aimed at strengthening its core offer without sacrificing profitability or its role in funding Swedish sport and society.

She added that growth in the Swedish gambling market overall was modest and competition intense, describing the operator's gains in market share across both the licensed betting and lottery segments in the first half of 2026 as a sign of underlying strength. Johnson said the year had continued on a positive trajectory, citing strong performance from Oddset, casino and Triss, and pointed to continued progress in developing the Svenska Spel brand and customer offering.