Loto-Québec reports higher results for a third consecutive quarter

Wednesday, 02 March 2016 21:30

FY 2015?2016

Montréal, February 26, 2016 – Loto?Québec reports continued growth and an impressive third?quarter performance for FY2015?2016. Revenues reached $901.6 million, an increase of $94.7 million (+11.7%) compared to the same period in 2014?2015. Net income, i.e. $328.2 million, rose by $71.1 million (+27.6%).

Very satisfactory cumulative results
• Revenues for the three quarters total $2.651 billion, or an increase of $160.9 million (+6.5%).
• Net income for the same period is $945.8 million, an increase of $101.9 million (+12.1%).

“Clearly, our 2015?2016 objective of $1.154 billion in net income will be reached. I’m pleased to note that the strategies we put in place over the past few years, including broadening our range of entertainment offerings and tightly managing expenses, have been successful,” said Gérard Bibeau, Loto?Québec’s President and CEO.

Efficiency: A continuing priority
• Efficiency measures materialized with lower total expenses of $9.1 million (?1.3%) for the current fiscal year.

Sustained efforts in recent years have resulted in considerably lower expenses.

Lotteries show good progress
• Sales climbed by $137.0 million (+11.4%), representing the best performance since 2012.
• Net income totals $357.9 million (+28.2%).

The many large jackpots offered by cross?Canada lotteries and steps to increase winners’ visibility explain that excellent performance. In addition, there were more prize payouts; 58 prizes worth $1 million or more were awarded (against 38 for the same period during the previous fiscal year). Loto?Québec increased its share of the Lotto 6/49and Lotto Max market compared to other Canadian lottery corporations.

Casinos did well in the third quarter
• Cumulative revenues increased by $12.5 million (+2.1%).
• Net income grew to $155.4 million (+9.3%).

From April 2015 to January 2016, the 4 casinos reported approximately 300,000 more visits than during the same period in 2014. Clearly, this year’s overall range of entertainment offerings, including monthly themes, pleases our customers.

Gaming establishments follow the trend
• Gaming establishment revenues increased by $10.8 million (+1.5%).
• Gaming halls: +$10.8 million (+44.2%)
• Video lotteries: ?$5.5 million (?0.8%)
• Bingo: +$5.3 million (+31.2%)
• Net income for the sector totals $432.5 million (+2.4%).

Gaming hall revenues grew thanks to the popularity of the Québec City gaming hall. Revenues from video lotteryterminals in bars and brasseries reflect the downturn experienced in this network. As for bingos, sales rose due to the excitement generated by new products offered in the halls.

Online gaming continues to grow
• Espacejeux.com revenues total $46.2 million, an increase of $11.5 million (+33.2%).

This past year was marked by a significant broadening of online entertainment offerings.

Cumulative revenues at a glance