Online gambling operator LeoVegas says Sweden must take “quick and strong measures” to eliminate unauthorized sites or face a surge in problem gambling activity.

Figures released Thursday show the Stockholm-listed LeoVegas generated revenue of €88.9m in the three months ending September 30, up only 1% from the same period last year. Earnings fell 6.3% to €11.9m and after-tax profit slid nearly one-fifth to €4.1m.

The modest revenue rise came despite the number of new depositing customers rising 24% year-on-year and returning depositing customers up 28%. The gains were credited to the company’s launch of its GoGoCasino and Livecasino brands in Finland, as well as the pandemic restrictions imposed on land-based gambling options.

However, total deposits rose only 6% year-on-year and average deposit per depositing customer shrank 16%, in part due to the online casino deposit restrictions Sweden imposed in July. LeoVegas said these changes have caused “unhindered” growth among international online operators not holding a Swedish license, which aren’t subject to the same restrictions.