Louisiana Lottery achieves second highest-ever fiscal year revenue in FY22

Louisiana Lottery achieves second highest-ever fiscal year revenue in FY22
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The Louisiana Lottery has revealed it ended FY2022 with nearly $581.3m in revenue, its second-best-ever fiscal year finish, aided by Q4 revenue of $141.4m.

Scratch-off games proved to be the most profitable once again as the vertical generated $292.8m for the lottery, making up more than half of its sales.

This follows a change in the lottery’s scratch-off game prize structures in recent years which has seen prize payouts increased, more higher price-point games added and new types of games launched.

Sales of the lottery’s daily numbers games, Pick 3, Pick 4 and Pick 5, were the second highest revenue generator and ended at approximately $138.9m for FY2022.

Conversely, though, the lottery’s end revenue fell $6.5m below budget, attributed to several local economic headwinds.

“Sales dipped this fiscal year due to Hurricane Ida in September, players having more gaming options since casinos have opened to full capacity, as well as skyrocketing inflation and gas prices in recent months that impact consumer discretionary spending,” explained Louisiana Lottery President Rose Hudson.

“Still, we are keeping things in perspective. When you compare our average weekly sales for 2022 at $11.2m to 2019 at $10.1m before the pandemic, they are running about $1.1m better a week.” 

Overall, Louisiana Lottery transfers to the state treasury for K-12 public education were $191.2m in FY2022, with $48.2m transferred in Q4, a slight increase on the $47.6m handed over in Q3.

More than $4.3bn has now been transferred since the lottery began operations in 1991, with $12.2bn generated in revenue.

Local businesses that sell lottery products also enjoyed success from the Louisiana Lottery in FY2022. Retailer compensation in Q4 totalled $8m including sales commission, incentives for cashing winning tickets and bonuses for big winning selling tickets, bringing fiscal year total earnings to $32.9m.

Since the lottery’s inception, retailers have earned more than $671.8m.

“In addition to maximising revenue for public education, our mission also involves operating with integrity and public trust,” added Hudson.

“Toward that end, I’m pleased to report we ended the year $1.3m under budget for our general operating expenses with state transfers representing about a third of our total revenue; this makes Louisiana one of the most fiscally efficient lotteries in the nation.”