Success driven by management efficiencies
Québec Government Finance Minister Carlos Leitão reported a strong rise in Loto-Québec's total revenue and net income during an annual report to Québec's National Assembly late last week.
Key performance indicators for the 2015/2016 fiscal period include:
* Total revenues of $3.560 billion, up 6.7 percent.
* Net income totalling $1.227 billion, an increase of 10 percent.
* Profit margins climbed 1.1 percent to 34.5 percent.
* Casino revenues rose 3.8 percent to $806.2 million.
* The lottery sector recorded a 10 percent rise in sales to $1.798 billion.
* Espacejeux.com, Loto-Québec's online gaming site, recorded a 35.2 percent increase in revenues to $66.2 million.
The results are attributed to management efficiencies which exceeded targets and produced gains of $95.5 million, the corporation said.
Expenses totalled $963.7 million, representing an increase of 0.9 percent compared to the previous fiscal year, despite inflation and higher salaries.
"While favourable circumstances certainly helped, the renewal strategy we implemented over the past two years and efficient management across all our sectors were the main drivers of our success," Simon Patenaude, Loto-Québec's acting president and chief executive officer explained.
The results delivered significant economic and social contributions that include:
* A divided to the Government of Québec of $1.202 billion.
* Lottery, bingo and Kinzo winners took home $960.8 million.
* Investments in the fight against excessive gambling of $27.1 million.
In terms of online gaming, Loto-Québec said while all espacejeux products had grown and the mobile channel continues to gain traction, its market share still represents just 25 percent highlighting the severe impact of illegal online gaming, a situation it expects to be rectified with the recent passing of controversial legislation which will allow the Government to utilise ISP blocking.
Online Casino News Courtesy of Infopowa