A “Sharply rising costs” has had a major impact on Holland Casino, which posted a loss of €3.5 million ($3.8 million) in the first half of 2024. This is a sharp turnaround from the previous year, when the company earned €17.2 million ($18.6 million) in the same period. The company also attributes its difficulties to a 1% increase in gambling tax since the start of the year, which it said cost €3.7 million (around $3.9 million).
Ruud Bergervoet CFO, commented: “Holland Casino’s finances are under severe pressure due to increased costs. This mainly concerns high inflation, the increase in the collective labor agreement and investments in our gaming offer and staffing.
“As a company, we are also still working on paying off the corona debts. This makes our financial position vulnerable. It is crucial for our financial health that no further significant cost increases occur now. Only then can we prevent ourselves from ending up in a loss-making situation.”
The group also singled out high inflation as a reason for the worsening situation and noted that it had already factored in a significant decline in profitability.
Petra de Ruiter, CEO, criticized the tax increase, saying: “Our total tax burden will then be almost 50%. This means that black figures are not possible. We will then make a significant loss. Unlike supermarkets, we cannot pass on price increases properly.
“The only alternative is then that we take very undesirable measures such as aggressive campaigns to recruit new guests, encouraging people to spend much more or by significantly reducing the prize money. These measures are unacceptable for Holland Casino and irresponsible from the perspective of government policy on gambling. Moreover, the planned investments in our prevention policy will also come under pressure.”
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