Holland Casino, the state-controlled casino operator in the Netherlands, has announced a turnover of €405.3 million for the first half of the year. The company has noted a significant increase in visits to its land-based casinos compared to the previous year, reflecting the easing of COVID-19 restrictions. Despite challenges in the online gambling sector and rising costs, Holland Casino remains optimistic about its future prospects.
Visitor Statistics:
In H1 2023, Holland Casino welcomed 2.5 million visitors to its land-based casinos, a notable increase from the 1.8 million visitors during the same period in the previous year when pandemic-related restrictions were still in effect.
While visitor numbers have improved, they remain slightly below pre-pandemic levels observed in 2019. However, there has been an increase in the average player spend, reaching €138 compared to the pre-pandemic figure of €117. Nonetheless, this average spend was slightly lower than that reported in H1 2022 (€148).
Online Revenue Challenges:
Holland Casino reported a decline of 30.8% in its online revenue, with total online earnings amounting to €57.2 million. The decrease is attributed to heightened competition in the Dutch online gambling market, which officially launched in October 2021.
The company also mentioned that its strategic decisions, including the suspension of advertising in advance of the Dutch ban on gambling advertisements implemented in July, have impacted its online results. The company anticipates a potential recovery now that all operators are subject to the advertising ban.
Challenges and Outlook:
Holland Casino is facing increased operational costs, primarily due to surging energy prices, inflation, and the hiring of 468 new staff members.
Additionally, the company must address tax debts incurred during the pandemic period.
Holland Casino’s CEO, Petra de Ruiter, expressed optimism about the ongoing recovery, acknowledging that while many guests have returned, some are yet to rediscover their way to the casinos.
The company’s CFO, Ruud Bergervoet, emphasized the need to strike a balance between maintaining a robust financial position, investing in the future, and addressing current challenges. Rising costs and the repayment of COVID-19-related debts pose continued financial pressures.
Holland Casino’s robust performance in terms of visitor numbers and average player spend during H1 2023 demonstrates its resilience and recovery from the pandemic’s impact. While challenges persist, including intensified online competition and cost escalations, the company remains committed to its strategic growth plans and maintaining relevance for its patrons. The ongoing balance between financial stability and investments in the future will be crucial for Holland Casino’s continued success.