Key Moments:
- Veikkaus reported €466.4 million in revenue for the first half of 2025, representing a 3.6% decrease year-on-year.
- Fennica Gaming, Veikkaus’ subsidiary, nearly tripled its revenue compared to the same period in 2024, expanding into Ontario, Greece, and the United Arab Emirates.
- The Finnish government will accept license applications from private gambling operators starting January 2026, with licenses effective from 2027.
Finnish Gambling Market to Open Up
Veikkaus, Finland’s state-owned gambling operator, has for years maintained an exclusive position in the country’s gaming sector. However, by 2027, this monopoly will end as Finland transitions to a multi-license system, welcoming private participants and boosting market rivalry.
Lawmakers have cited concerns about the proliferation of unlicensed online gambling and the need for stronger player protections as the main motivations for introducing this new market structure.
Adapting to New Realities: Veikkaus’ 2025 Interim Performance
Recent results for Veikkaus underscore the impact of impending market changes and the company’s efforts to prepare for a competitive environment. In the first six months of 2025, Veikkaus generated €466.4 million in revenue, reflecting a 3.6% drop compared to the previous year. Net profit saw a more substantial fall, down nearly 10% to €229.6 million.
Contributing to these declines were several factors. Notably, the much-anticipated Milli lottery game’s launch was postponed pending regulatory approval. In addition, Eurojackpot prize amounts were lower than those awarded in 2024. Economic factors, such as shrinking consumer purchasing power, also put pressure on results.
“Many different factors influenced the decline in the domestic gambling business’s gross gaming revenue,” the company noted in its interim report. “The launch of the new Milli game was delayed from the planned schedule … and prize levels in Eurojackpot were lower than in the previous year. In addition, changes in general consumer behaviour and reduced purchasing power affected Veikkaus’ business”.
Chief executive Olli Sarekoski highlighted the progress made in readiness efforts, referencing both the June rollout of Milli and advancements in digital capabilities. “We develop our competitiveness towards the multi-licence market … Everything we do at the moment aims at being ready when the market opens and being able to win in the new situation,” he said in the company’s interim review.
He added: “At Veikkaus, our intention is to improve what we do every day. In order to succeed in a competitive market, we too must change in a direction that better enables our competitiveness”.
International Ventures Accelerate via Fennica Gaming
Facing slower growth domestically, Veikkaus has turned its attention overseas through its subsidiary, Fennica Gaming. This business, focused on digital scratch cards and casino titles for external operators, achieved almost triple the revenue compared to the same period in 2024.
Fennica Gaming secured new licenses in Ontario, Canada, along with Greece and the United Arab Emirates, extending its footprint to three continents. Sarekoski remarked: “Our subsidiary Fennica Gaming’s early year has been very promising. Our game studio transferred in the spring to become part of Fennica Gaming’s organisation, which helps us better serve our international customers and speed up game development”.
The aim of this international drive is twofold: to offset shrinking revenues at home and to bolster Veikkaus’ readiness to compete in Finland’s opening market.
The Impending Regulatory Shift
With the new regulatory model, Veikkaus will lose exclusive rights to online gaming, sports betting, and slot machines. Private operators that comply with strict consumer protection and responsible gaming requirements will be permitted to apply for licenses to operate in Finland.
The application window opens in January 2026, and the first licenses will be valid from 2027. Veikkaus will maintain its dominance solely in lottery games and physical slot machines present in kiosks and casinos.
For greater transparency, annual reporting by licensees will become mandatory, covering aspects such as financials, marketing, and harm-prevention strategies. Operators will pay supervisory contributions based on their gross gaming revenue, ensuring sustainability for the new regulatory authority. The framework seeks equilibrium between liberalized market forces and player welfare, though it has already encountered resistance from Malta concerning its alignment with EU competition laws.
Veikkaus Navigates Domestic Market Changes
Despite retaining almost half of Finland’s €970 million gambling market, Veikkaus’ dominance is under threat. Interim figures show that approximately €505 million flowed through international online providers during the first half of 2025, marking a 2% increase from the prior year.
In early 2025, roughly 61% of the company’s revenue was derived from online channels, while 39% came from bricks-and-mortar outlets. Even with the introduction of mandatory customer identification in 2024, intended to strengthen oversight, Veikkaus faces mounting challenges in the digital segment.
Still, the company is investing in artificial intelligence and data analytics to address responsible gambling concerns and enhance customer engagement. Sarekoski stated: “We are preparing for the multi-licence market by building a new safety net model that strengthens an even more individual way of preventing gambling harms.”
Market Outlook and Key Figures
| Metric | First Half 2025 | Year-on-Year Change |
|---|---|---|
| Veikkaus Revenue | €466.4 million | -3.6% |
| Net Profit | €229.6 million | -10% |
| Foreign Online Gambling | €505 million | +2% |
Looking Ahead
Industry stakeholders have also set their sights on the largest sector gathering at SiGMA Central Europe, taking place in Rome from 03–06 November 2025 at Fiera Roma. With an attendance forecast exceeding 30,000 delegates, over 1,000 exhibitors, and more than 550 expert speakers, this event is set to shape the industry’s future.
- Author
Daniel Williams
