Danske Spil predicts 20% revenue hit from Denmark Euro 2016 failure
Operator says absence of national team in the tournament will hit business, but still targets record turnover
Denmark’s failure to qualify for the European Championships this summer will cost Danske Spil up to 20% in revenues, the former Danish monopoly has predicted.
The eagerly-anticipated Euro 2016 kicks off tomorrow, but the lack of Danish participation during the month-long tournament has left the operator frustrated, although it is still anticipating record turnover.
“We are of course just as annoyed as the rest of Danish football,” Niels Folmann, Danske Spil director, said. “Most of all, because it is just always more fun when we have to cheer for our own team.
“In addition, we also believe the lack of Danish participation costs around 10-20% in revenue,” he added.
The Danish firm still expects interest to be high for the tournament and is aiming to beat the record turnover of DDK400m (?42.2m) it amassed two years ago during the World Cup.
“We expect to achieve at least the same level as two years ago – our goal is to set a new record of around 400 to 425 million Krone,” Folmann said.
Roughly 55% of Danske Spil’s revenues are generated online meaning its digital business could miss out on around ?5m in revenues due to Denmark’s absence.
According to the Danish Gambling Authority, gross gaming revenue (GGR) for online betting reached DKK 370m (?38.5m) in Q1, equivalent to 63.5% of the overall betting market.
And DOGA chief executive Morten Ronde expects growth to continue into Q2, despite Denmark not heading to France this month.
“It’s [the Euros] not as popular as it could’ve been, unfortunately. Nevertheless, it’s peak season for bettors.”
In other Danske Spil news, the operator is on the lookout for a new CEO after Hans Christian Madsen revealed he will step down from the role in 2017.