Veikkaus profits up 6% in Q3 as company readies new RG measures

Finnish monopoly operator Veikkaus has reported a 5.6% year-on-year increase in Q3 2019 operating profit, rising to €260.8m (£224m).

However, company turnover during the period fell by 0.7% year-on-year, decreasing to €733.9m (£631m) while gross gaming revenues also fell by just under 1% to €422.8m (£364m).

Sales in Veikkaus’ online gaming department, which represents 42.9% of the total business rose by just over 1% year on year to €264.8m.

Veikkaus has confirmed the development of new guidelines for responsible marketing, affecting the volume, content, supervision, and processes for all marketing related activities within the business.

These new measures follow the commissioning of a report into the business practices by external organisation Tekir which was finalised earlier this month.

Speaking about the report, Veikkaus CEO Olli Sarekoski said the business needs to ensure its ability to perform in a changing operating environment, irrespective of any decisions made about its monopoly.

“The changes in the operating environment entail that Veikkaus must focus more and more strongly on the digital channel.

“In online gaming, Veikkaus currently doesn’t have a genuine monopoly, but we are competing against foreign gaming operators,” Sarekoski added.

The business has been the subject of speculation around its future and whether it should retain its monopoly on gambling in Finland.

Sarekoski said he welcomed the discussion surrounding the business as it occupied a “significant role” in Finnish society.

“We must bear responsibility for the players of our games and we need to be able to offer effective tools for gaming control for those who need them,” Sarekoski added.