Newsletter 29

22 Mar 2016

The content of the annual accounts 2015

22 March 2016

As announced in newsletter no. 27, we hereby publish the final requirements for the annual accounts 2015.

The annual account must be sent directly to the Danish Gambling Authority, since a publication of the annual account is no longer required.

When should the annual account be sent?

The annual account must be in the Danish Gambling Authority’s possession no later than 31 May, 2016.

Who should send an annual account?

All licence holders within betting and online casino, who have held a licence throughout the period 1 January, 2015 to 31 December, 2015, must send an annual account.

Licence holders for whom 2015 was their first year providing gambling are not required to send an annual account. They will instead produce a report on the provision of gambling which is to be delivered no more than 14 months after utilizing the licence. The report must account for the licence holder’s compliance with the terms for the licence during the previous year. Learn more about this in newsletter no. 14.

What should the annual account encompass?

The annual accounts shall encompass:

  • The enterprise’s key figures
  • A report on how the licence holder has complied with the legislative requirements

The publication must only relate to the provision of gambling in the Danish market in 2015 unless otherwise stated below.

If you hold a licence to provide gambling in Greenland, the annual account must also encompass this provision.

Publication of key figures

The publication must contain the following:

  1. Economical key figures:

A P&L account with the following items:

  • Gross Gaming Revenue (GGR)
  • Betting and online casino Duties
  • Other income
  • Gross profit
  • Personnel expenses
  • Marketing expenses
  • Other external expenses
  • Depreciation / amortization
  • Operating income
  • Net financial items
  • Income before tax
  • Tax
  • Net income

The P&L account must be based on the latest reported financial year. If you do not report a separate P&L account for the Danish market, you must create a P&L account for the Danish market. The board of directors must sign the account.

Other figures

- Number of registered players divided into gender
- Distribution key of marketing in percentage of the marketing budget to the Danish market:

  • TV
  • Printed media
  • Radio
  • Internet
  • Own website
  • Other
  • Allocation of bonus (online casino):
    • Aggregate value in DKK of total welcome bonuses allocated to all new customers in 2015 (the first time revenue is made)
    • Aggregate value in DKK of bonuses allocated to existing players, which the players have collectively turned over in 2015 (the first time revenue is made)
  • Allocation of bonus (betting):
    •  Aggregate value in DKK of total welcome bonuses allocated to all new customers in 2015 (the first time revenue is made)
    • Aggregate value in DKK of bonuses allocated to existing players, which the players have collectively turned over in 2015 (the first time revenue is made)
    • Aggregate value in DKK of pay-outs in 2015 from bets in which players have not placed their own money and in which deposit is withdrawn from winning (typically referred to as free bets)
    • Aggregate value in DKK of pay-backs, in which the player’s stakes are returned if the bet is lost (typically referred to as risk-free games)
  • Amounts withheld from players because of temporary gambling accounts, in which the identity of the player has not been finally verified
  • Number of complaints received from players (the definition of a complaint is when a player does not agree with the enterprise’s case procedure or its outcome)
  • The average processing time for complaints
  • Percentage of all players who each quarter (1 January, 1 April, 1 July, 1 October, 2015) have:
    • Established a limit for deposit
      • Dayly
      • Weekly
      • Monthly
    • A temporary exclusion from the operator
    • A definite exclusion from the operator

Report on the licence holders compliance with the legislative requirements

The report must as a minimum encompass:

  • A management report including information on the enterprise’s main activities and developments herein, as well as provide a description of significant factors that have affected or likely will   affect the enterprise. If the enterprise is part of a business group, the uncertainties resting with the enterprise and the group respectively, must be described. Furthermore, information on major events, such as campaigns, changes in the gambling provision or gambling platforms including other major initiatives, etc., as well as the expectation for the new year must be enclosed in the management report.

  • Responsible gambling measures, in particular

    • Measure to ensure that no marketing is sent to players who are excluded from gambling

  • Combating money laundering and terrorist financing

  • Measures to reduce the risk of match-fixing (only betting – if land-based betting is provide, this must be separately stated)

  • How to prevent sales to young people under the age of 18 in the provision of land-based betting including a description of the education of dealers and employees, as well as the number of cases in which the gambling operator has recorded sales of betting to young people under the age of 18. If such sales have been recorded, the gambling operator must describe how this will be prevented in the future.

If regulatory requirements are described, it must be described how the requirement is complied with. That is e.g. the procedures that are implemented to ensure compliance with the requirement. If a lack of compliance is identified, it must be described how compliance will be ensured in the future.

Confidentiality

The potential publication of data will always be carried through anonymously, and data indicating specific licences will not be publicised. The delivered data will be used to analyse the markets for betting and online casino and the figures will be used in diagrams and charts – however always anonymously.

Formal requirements

The information must be written in Danish.

The information must be audit, dated, and signed by a person authorised to sign for the enterprise. This person must, with his/her signature, declare that the annual account gives a true account of the circumstances mentioned in the account. Documentation for the authorised person must be enclosed.

For companies not established in Denmark or in another EU/EEA country, the Danish representative must also sign the annual account.

It is not a requirement that the annual account is elaborated in cooperation with an approved enterprise.

Where should the annual account be sent to?

The annual account must be sent to the Danish Gambling Authority. It is possible to send a secure email to the Danish Gambling Authority through our contact form on our website. Find it under “contact”.

It is also possible to send the annual account by mail to

Spillemyndigheden (the Danish Gambling Authority)
Havneholmen 25, 7. Sal
1561 Copenhagen V

Laws and regulations

Find the regulation in the Act on Gambling, section 43 (2), and Act of Greenland on certain games, section 22 (2).