Despite the impact of COVID-19 on the betting and gaming industry, Danish state-owned gambling operator Danske Spil has revealed a 0.8% year-on-year rise in Q1 revenue, with lottery a standout performer.
Released last week, the update shows the organisation generated revenues of $179.9m in the first three months ending 31 March. The operator’s results, however, also feature losses in other facets of the business with its net income falling by 8.6% as a result of rising costs.
One of the incumbent’s highest performing subsidiaries was its Danske Lotteri Spil division which reported a near 5% rise in sales, outperforming its Danske Licens Spil online casino and sports betting unit which saw losses of circa 1%.
The firm said it was important to note, though, that suspensions to major live sports arising from the health crisis were the likely cause for the decline in its sports betting arm. Danske’s Swush fantasy sports division on the other hand saw an increase of 5% when compared to the previous year.
Danske told investors that the largely positive results are unlikely to be repeated in Q2, as the group anticipates deeper financial damage to come from the health crisis.
The group, which has been the subject of digital attacks through its platform provider SBTech that saw its betting sites go offline late March, is expecting further challenges from its online platforms going forward.
Aside from the cyber attack, Danske has witnessed errors in its online sphere after offering betting markets for a Ukranian ‘ghost’ match and the shutdown of its YouBet online brand following a reported communication error with SBTech.