Loto Quebec revenue falls in Q3 as key verticals struggle
Loto Quebec’s revenue fell 11.1% to $685.6m as a lack of larger jackpots slashed lottery revenue, while revenue from other verticals also declined in the quarter ended 31 December, the third of the operator’s fiscal year.
Of Loto Quebec’s $685.8m in revenue, $247.8m came from casinos, down 5.0% year-on-year. Gaming establishments (VLTs in bars and bingo halls) brought in $225.6m, down 8.2%, while revenue from lotteries – the largest driver of revenue in Q3 of 2018 – fell 19.5% to $219.2m.
Lynne Roiter, president of Loto Quebec, said that the decline in lottery revenue was due mostly to a decline from 2018’s unusually high number of MaxMillions draws, which occur when a jackpot of at least CAD$50m is not won. This lack of large jackpots also led to revenue declines in Q1 and Q2.
“On the lottery side, let’s first remember that Lotto Max had offered an exceptionally high number of Maxmillions in 2018-2019,” Roiter said. “The drop in income from this sector was therefore expected.”