Loto-Québec CEO Optimistic About Growth After Strong Year

Despite a slight dip in revenue, Loto-Québec nearly reached the $3 billion mark for the 2023-24 fiscal year, marking its second-best performance since 2006.

In its annual report, Loto-Québec revealed that after distributing $1.5 billion in winnings, the company achieved a net income of $1.5 billion. These profits were reinvested into Québec's communities through the provincial government.

From the total revenue of $2.93 billion, $1.1 billion came from the province's casinos and bingo halls. This represents a new record for this sector, even with a months-long dispute impacting operations at four casinos in 2023. Lottery operations contributed $958.8 million, while $885.5 million was generated from "gaming establishments," which include video lottery terminals in bars and restaurants, event betting, Kinzo, and network bingo.

Although Loto-Québec's net income last year was just under $1.6 billion, and total revenue was down $66.3 million year-over-year, it still ranks as the fourth-highest in the corporation's history.

Additionally, the World Lottery Association renewed Loto-Québec's Level 4 responsible gambling certification, the highest level of recognition in the industry.

"It's been an excellent year," said President and CEO Jean-François Bergeron. "Our success can largely be attributed to better expense management. Thanks to our team's outstanding work, we met our budget targets. We diversified our offerings and managed them responsibly and efficiently, maintaining our expense-to-revenue ratio at the desired level."

Bergeron also highlighted the corporation's numerous achievements over the past year, including the announcement of a new hotel on the Casino de Montréal grounds. "This major project will cement the casino's status as one of North America's top entertainment destinations," he added.

Loto-Québec Sees Growth in Online Gaming Amidst Regulatory Discussions

Bergeron emphasised the continued growth of Loto-Québec's online gaming sector, which is expanding its market share despite competition from illegal operators.

"Our market share is growing," said Bergeron. "We've seen growth this year of between 8 and 10%. We're improving our offerings, adding new online games, and investing in education with responsible gambling campaigns."

As the monopoly holder for legal online gaming in Québec, Loto-Québec has recently partnered with several new companies, including Wazdan and Play'n GO.

Meanwhile, discussions about opening the market continue. Last summer, various operators formed the Quebec Online Gaming Coalition (QOGC), advocating for a new regulatory framework. Pointing to Ontario's early success, the QOGC argues that a well-regulated commercial gambling market could greatly benefit the province.

Supported by major sports leagues like the NBA, CFL, and MLS, the QOGC criticised the Québec government in March for not capitalising on an open online gaming market, which they estimate could generate approximately $230 million annually for the province.