Montréal, December 20, 2021 — Loto-Québec’s excellent second quarter is reducing the gap with respect to its pre-pandemic results, i.e. those obtained in 2019–2020. For the quarter, total revenues and consolidated net income have reached 89.8% and 97.4%, respectively, of their second-quarter pre-pandemic levels. After the first six months of the fiscal year, they reached 76.5% and 79.4%, respectively, of their pre-pandemic levels.
For the period from April 1 to September 27, 2021, Loto-Québec generated total revenues of $1.083 billion, up $395.4 million (+57.5%) compared to the first half of the previous fiscal year. It should be reminded that most of the Corporation’s activities were suspended during the first three months of 2020–2021. The consolidated net income of $584.0 million was up $402.8 million (+222.3%) from the same period last year. These results are very positive since many activities resumed only at the end of the first quarter, with several restrictions.
QUOTES FROM THE PRESIDENT AND CHIEF EXECUTIVE OFFICER
“At the halfway point of the fiscal year, our revenues have exceeded 75% of their pre-pandemic level, and about 90% since July,” said Jean-François Bergeron.
“Lotteries have achieved record sales. This success shows that after more than 50 years, interest in this product category remains high for draw-based lottery games as well as for instant games and sports betting,” he added.
“At the end of August, I marked my first 100 days in office. I took advantage of this period to meet employees in the field. I was able to see the depth of our offering and the great diversity of expertise found in our teams. Every day, all these people pour their talent and passion into pursuing Loto-Québec’s mission,” he said.
RESULTS BY SECTOR
From April 1 to September 27, 2021
- The lottery sector reported its best six months since the Corporation’s inception, with revenues totalling $513.8 million, a favourable variance of $178.6 million (+53.3%) from the corresponding period in 2020–2021 and $64.1 million (+14.2%) from the corresponding period in 2019–2020.
- Loto-Québec’s market share for Lotto Max was up sharply, and sales of this Canada-wide lottery are following the same trend. The lottery offered 19 jackpots of $50 million or more, including a record 7 consecutive jackpots of $70 million.
- Although retailers were open throughout the six-month period, the conversion to online sales continued. The increase compared to the same period in 2020–2021 is $3.9 million (+6.4%).
- Casinos and gaming halls reopened gradually starting in mid-June 2021. They all benefited from more days of operation than during the same period last year, when they remained closed until mid-July 2020.
- The $125.4 million (+69.7%) growth in the sector’s revenues compared to the first half of the previous year is due not only to the higher number of days of operation, but also to the efforts made to optimize the offering and make the experience enjoyable and entertaining for visitors, who returned as soon as operations resumed.
- Compared to the first half of the pre-pandemic fiscal year, the sector’s revenues were down $207.2 million (-40.4%), a good result given the closure of gaming locations for approximately 50% of the six-month period and the partial resumption of operations.
- As a result of the ongoing improvement of the offering, online casino revenues increased by $20.5 million (+19.4%) compared to the first half of the previous year.
- The capacity and hours of operations of the gaming locations remained limited. A thorough analysis made it possible to determine the activities to be resumed first, in line with customer expectations. This resulted in a reduction in total expenses of $71.6 million (-29.4%) compared to the first half of the previous year.
- Revenues in the gaming establishment sector totalled $266.6 million, a favourable variance of $92.6 million (+53.2%) compared to the same period last year. The sector’s activities were completely suspended for the entire first quarter of 2020–2021.
- Good preparation for the reopening of establishments and the outstanding collaboration of all stakeholders, both internal and establishment teams, contributed greatly to the increase in revenues.
- Compared to the first half of the pre-pandemic fiscal year, the sector’s revenues are down $199.3 million (-42.8%). This difference is largely due to the high number of establishments closed from early April to mid-June 2021.
HIGHLIGHTS AND SOCIETAL CONTRIBUTIONS
- Québec has 65 new millionaires since the beginning of the fiscal year thanks to 76 lottery prizes of $1 million or more won.
- Land-based and online casinos awarded 21 prizes of $100,000 or more during the six-month period.
- Several new products were introduced during the period, including the MÉGA 360 lottery game, which received an enthusiastic response from customers, and single-event sports bets, which became legal on August 27, 2021, and which players were eagerly awaiting.
- Loto-Québec ran an advertising campaign to promote online tools that help ensure a game remains a game, and to remind people that its website is 100% legal.
- Delighted to showcase Québec talent, Loto-Québec worked enthusiastically to reopen the Cabaret du Casino de Montréal. Since October, it has been offering a varied lineup featuring several well-known and popular artists.
- Three exhibitions made the pieces from the Loto-Québec corporate art collection accessible to a wide audience: Corpus, in La Malbaie, Le temps immobile, in Trois-Rivières, and Les pays intérieurs – Nutshimit, in Frelighsburg.
- The summer months allowed Loto-Québec to reconnect with festival-goers, as nearly 90% of the events on the Les rendez-vous Loto-Québec calendar were held, covering all 17 regions of Québec. A virtual experience was also introduced to showcase the events and the artists who performed at them.
- In an effort to expand the ways in which it supports the community, Loto-Québec gave Moisson Montréal more than 30 bins of vegetables that were grown on the patio of its head office.
- Loto-Québec worked closely with the Ministère de la Santé et des Services sociaux on the Québec government’s vaccination contest, in which 4.3 million people entered. It proudly put its expertise to use by conducting all the draws for this contest.
The quarterly report [PDF – 3.4 MB, in French only] is available on Loto-Québec’s website.