Holland Casino Returns to Profit Despite Rising Tax Challenges

Holland Casino Reports First Half Profit for 2025

As mid-2025 concludes, Holland Casino has announced a profit of EUR 14.2 million (approximately $16.6 million), marking a turnaround from the losses recorded in the same period last year. This improvement comes primarily from aggressive cost reductions, strategic organizational changes, and the sale of two casino locations, rather than an increase in gambling revenue.

Decline in Digital Revenue Contrasts with Stable Land-Based Operations

In the first half of 2025, Holland Casino’s total revenue slightly decreased to EUR 390.9 million ($456.4 million) compared to EUR 395.4 million ($461.6 million) in the prior year. This minor dip was cushioned by improved performance at physical casino locations, which saw greater customer attendance and higher spending, with total visitors reaching 2.58 million, up from 2.56 million the previous year.

However, the digital segment continues to face challenges. Holland Casino’s online revenue has been declining for some time, with a notable 15% drop last year to EUR 48.9 million ($57.1 million). Although exact figures for the first half of 2025 were not disclosed, company leaders confirmed ongoing declines influenced heavily by stricter regulations affecting the digital platform’s profitability.

The sale of casinos in Groningen and Zandvoort contributed EUR 11.4 million ($13.3 million) in proceeds, improving profits by EUR 6.6 million ($7.71 million). Additionally, significant restructuring initiatives at the headquarters trimmed operating expenses by EUR 30 million ($35 million). Pandemic-related debt relief, including payment postponements and extended repayment schedules, further improved the company’s cash flow.

Company Leadership Expresses Caution Despite Positive Results

While financial results are encouraging, Holland Casino’s leadership remains cautious. CFO Ruud Bergervoet praised the team for achieving cost savings without compromising service quality but highlighted ongoing concerns. The government’s announcement of a second phase of gambling tax increases for 2026—following a recent hike from 30.5% to 34.2% in January 2025—is expected to exert additional financial pressure.

Bergervoet noted that with the higher tax rates, profit would shrink drastically to just EUR 1.1 million ($1.28 million), or potentially raise losses to EUR 5.5 million ($6.42 million) without the revenue from the recent casino sales. These figures illustrate how narrow the casino’s profit margins have become, despite the cost-cutting efforts. To address this, Holland Casino is experimenting with new strategies, including changes to roulette odds and increased reliance on digital technologies to lower operational expenses.

The situation highlights the challenge Holland Casino faces in maintaining financial health while fulfilling its role to provide safe and legal gambling. Despite decreased profits, both industry stakeholders and government officials see Holland Casino as a critical institution that counters illegal gambling operators, making its ongoing operation vital to the country.