For 2 years, two casinos have coexisted in the company Casinò Lugano SA. The first, physical, and the second, a start-up destined to transform itself into a solid and profitable reality over the years, Swiss4Win, the online casino of Italian-speaking Switzerland.
The terrestrial activities have been a source of great satisfaction, given that the collections of the pre-pandemic years with open sample have been exceeded. “2022 was a year that started uphill and, if you will, late because initially still characterized by important restrictions, but which allowed us to focus on the future, on acting to improve and grow, also looking for redemption after the two previous years” intervenes Paolo Sanvido, CEO of the gaming house.
"The year that has just ended – also confirms the Chairman of the Board, Emanuele Stauffer – was certainly a special year, tiring in some ways, extremely stimulating and decisive in others. We closed exceeding the quota of 37 million francs of Gross Product of land-based Games, therefore with more than 13,6% PLG compared to the average of the Pre-Covid years, with the Campione gaming house operational.”
"This result was achieved thanks to the commitment of all the casino's resources, who, with flexibility and determination, were able to adapt to the changes dictated by the social, health and economic context which modified the use and habits of the clients. This obviously had an impact on the progress of the casino” – continues Sanvido. "If, on the one hand, the number of visitors has also returned to pre-pandemic times, compared to previous years, when there were players throughout the day, we have transformed into a casino that is frequented above all at the weekend" .
The online casino, for its part, continues to progress, although still making a loss. “It is a completely different activity from the terrestrial one; for years now, there has been a slow but inexorable transfer of gaming from land-based casinos to virtual ones.
The Lugano Casino could not but seize the opportunity given by the new legislation and watch other players play the online card. We know that this is an important investment and that the first few years will close with a loss. Like 2022, 2023 will also be a year in which to continue investing” – underlines Stauffer. – “The main shareholder is informed, he knows that we are continuing to support a significant effort, which, in reality, is an expansion project to respond to market transformations. Swiss4Win is an essential component of the strategic diversification of Casinò Lugano. The losses achieved this year were expected and need not worry”.
Break-even is expected in 2024.
Swiss4win.ch it still requires important investments that will affect the income statement for the next two years. Specifically, in fact, 2022 materialized an aggregate PLG of 42.5 million francs, of which over CHF 5 million from online gaming activities, a positive result for land-based activities and a still negative one for the swiss4win.ch platform which complies in an overall operating loss of CHF 2.8 million.
At an accounting level, it was decided to dissolve a historic reserve of 10 million francs (established over 20 years ago and intended for unforeseen future needs linked to the new concession, an event that never materialized); this led the majority shareholder to detach a dividend of CHF 500 (this is a decision within the competence of the shareholders' meeting, which the Board of Directors also considers compatible with the company's equity situation).
With this transaction, the total carry forward of the profits shown in the 2023 financial statements amounts to CHF 17.8 million. And investments are also declined from a structural point of view. “Let's continue, concludes Sanvido, on the road to the Green transformation, which already characterizes us: in addition to the electric fleet at the service of customers, with AIL SA we are carrying out a project that involves the installation of a photovoltaic system on the roof of our building, integrating our willingness to adopt a greener business model. We have also renewed the partnership with the Seven group which will proceed with important structural investments which will take shape in spring 2024 and which will change the offer to the Lugano public with a dynamic and innovative lounge, a restaurant with an expanded terrace and a modern disco".
