According to the Canadian Crown Corporation, Loto-Quebec blames Lotto Max’s declining sales for the business’s overall weak revenue growth in the first quarter of 2023–24. Loto-Quebec reported its financial results for the period beginning on April 1 and ending on June 26 and stated that its total revenue was $711.2 million and its total net income was $380.9 million. The revenue generated for the same period is down 4.5% from the results for the same period the year before, or $33.2 million in numbers, while the net earnings are down 14.7%, or $65.6 million.
In the opinion of Loto-Quebec, the decrease in revenue collection is attributed to the lessening of the sales figures of Lotto Max. The company is assuming that the earnings in the previous year were due to the offering of generous prizes in the first quarter of 2022-2023. This was the reason for the lottery winnings, which amounted to $224.7 million, a downward slide of $31.9 million, or 12.4%. Online lottery earnings, on the other hand, went up and contributed 12.8% of the company’s total earnings.
According to the latest casino news, There was an upward trend in Loto-Quebec’s total earnings, witnessing a rise of $54.9 million, equivalent to 8.4%, and collective net income rose by $43.6 million, equal to 12.9%. This is in comparison with the first quarter of the pre-covid period.
According to the President and CEO of Loto-Quebec, Jean-François Bergeron, he is more than satisfied with the company’s progress and attributes it to the entire team’s endeavors. In his opinion, the previous year was extremely successful for them, which was responsible for raising the bar. He views all the sectors as doing their utmost, even with the rising expenses following the operation’s total potential being unleashed.
In the meantime, Loto-Quebec is pleased with its casino and gaming hall verticals, which managed to earn revenues amounting to $274.6 million, an increase of $11.2 million, which is equal to a 4.2% rise. This is due to their operations running at full steam. Online casinos’ contribution is 24.8% of the total revenue generated. The gaming setup’s revenues fell by $11.6 million, with the figure standing at $216.9 million.
Currently, Loto-Quebec is looking closely into managing its video lottery terminal offer following the shutdown of multiple bars impacted by the pandemic. Bergeron added that they are more than satisfied with their accomplishments. This is with regard to the initial commercialization program coming with all game segments. It is named “So that a game remains a game”, and speaks volumes about the priority they place on their customers. They also have a sponsorship program in place called Les Rendez-vous Loto-Québec.
In a separate situation, Loto-Quebec was compelled to take back its initiative to deliver a mini-casino in downtown Montreal following a refusal from Montreal Public Health.