Holland Casino Reverses Loss into Profit in H1 2025

Holland Casino has successfully transformed a €3.5 million loss from the first half of 2024 into a pre-tax profit of €14.2 million for the same period in 2025. This significant financial improvement can be attributed primarily to stringent cost-cutting strategies that the company initiated earlier this year. Despite a slight drop in total revenue to €390.9 million, the casino managed to achieve this turnaround, largely due to enhanced performance at its land-based venues, although this was somewhat counteract by a reduction in online revenues.

Cost-Cutting and Operational Adjustments

The management reported a minor uptick in the number of visits to their physical locations, from 2,565,472 to 2,582,498, with guests modestly increasing their spending per visit. As part of their financial recovery plan, the company succeeded in reducing operational expenses by €30.1 million, excluding exceptional items, thanks to an effective restructuring of their headquarters and other budget-saving measures. According to CFO Ruud Bergervoet, these savings were a result of extensive efforts within the organization and delivered the desired outcomes. Nonetheless, Bergervoet emphasized that the company still faces considerable financial strain, especially with a gambling tax increase anticipated in 2026.

Impacts of Tax Increase and Online Revenue Decline

Liquidity improved during this time as the company benefited from a temporary six-month suspension of Covid-related debt repayments, coupled with a two-year extension for these repayment plans. In addition, Holland Casino realized a gain of €6.6 million from property sales, including €2.7 million for its old Groningen site and €8.7 million from the Zandvoort branch. These revenue boosts, however, do not count as part of their structural savings. The company was also impacted by a hike in the gambling tax, which rose from 30.5% to 34.2% at the beginning of 2025, increasing costs by €13.5 million. The CFO pointed out that this tax increment significantly affected their profitability, suggesting that their profit could have dwindled to €1.1 million or even resulted in a €5.5 million loss had the higher rate been effective and absent their asset sales. Holland Casino's online division is grappling with ongoing challenges as digital revenues fell by 15% last year to €48.9 million, a trend that has continued into 2025. The implementation of player limits and intensified regulations have continued to impact their digital platforms adversely. Despite these challenges, management reiterated that the organization's financial stability remains precarious due to the aftermath of the pandemic and current economic adversities. Rising taxes and stringent regulatory conditions in both the online and land-based sectors are continuous sources of financial stress. Bergervoet praised the commitment displayed by the staff and the steady clientele sustaining physical casino operations but issued a cautionary note regarding future financial pressures driven by looming tax hikes.