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    You are at:Home»Magazine»Magazine Secondary Feature»Fiscal 2018 Report
    Magazine Secondary Feature

    Fiscal 2018 Report

    September 19, 20185 Mins Read
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    Fiscal 2018 represented the “comeback year” for the U.S. lottery industry. National unaudited U.S. lottery sales jumped 7% to $77.7 billion in fiscal 2018 from $72.5 billion in fiscal 2017, according to La Fleur’s Magazine. This represents 0.4% of the 2018 Real Gross Domestic Product (GDP). Lottery sales cover the period ending June 30. Fiscal 2018 sales are estimated for the Texas Lottery and Michigan Lottery.

    Although data was not available for all U.S. lotteries, it is estimated that the industry returned approximately $46 billion in prizes and transferred $23 billion to government.
    The Oklahoma Lottery led the industry with a 46% increase in fiscal 2018 sales. Forty-three U.S. lotteries posted sales increases in fiscal 2018.

    The New York Lottery ranked first in gross traditional sales at $7.9 billion. The Massachusetts Lottery ranked first in per capita total sales at $784.

    Total FY18 U.S. lottery draw sales increased 7% to $27.9 billion. Draw game sales represent x% of the U.S. lotteries’ total traditional FY17 sales, up from x% in FY17.

    The New York Lottery ranked first in FY17 gross draw sales at $3.6 billion. The D.C. Lottery ranked first in FY17 per capita draw sales at $245. Notably, 44 of the 45 U.S. lotteries saw FY17 draw sales decline in fiscal 2017. The popularity of its new Keno game helped Connecticut Lottery deliver a 1% increase in FY17 total draw sales.

    In the non-lotto category, sales for the 4-digit numbers game increased 1% to $4.5 billion (while sales fell 1% to $5.5 billion for the 3-digit game). Combined numbers sales exceeded $10 billion. Keno sales rose 3% to $3.9 billion.

    In the bloc lotto category, combined FY17 “For Life” sales increased 13% to $431.2 million. Mega Millions’ FY17 sales fell 13% to $2.2 billion. Small bloc lotto sales declined 3% to $103.8 million.

    In-state lotto sales were down 2% to $3.7 billion in fiscal 2017.

    Total FY17 U.S. instant ticket sales jumped 3% to $45.1 billion, up $1.2 billion over the previous year. Instant ticket sales represented 63% of the U.S. lotteries’ total traditional sales in FY17.

    The California Lottery ranked first in FY17 gross instant sales at $4.6 billion. The Massachusetts Lottery ranked first in FY17 per capita instant sales at $517. The Michigan Lottery ranked first with a 13% increase in FY17 instant sales.

    In terms of instant sales by price point, the $25+ premium price point recorded a 19% jump in sales, the highest percentage growth rate, followed by a 7% gain for the combination $10/$15 price point. Game sales were flat for the $5/$7 price point. Year-to-year sales declined for the $1, $2 and $3/$4 price points.

    The $5/$7 category is ranked first with $11.5 billion, which represents 26% of total FY17 instant sales. The $10/$15 category is ranked second with $10.5 billion, which represents 23% in FY17 instant sales. The $20 category is ranked third with $7.8 billion, which represents 17% of total FY17 instant sales.

    Twenty-eight U.S. lotteries reported growth in FY17 instant ticket sales. The top three FY17 sales leaders as measured by sales increases were Michigan Lottery (13%), Maryland Lottery (11%) and Florida Lottery (7%). Two U.S. lotteries reported double-digit increases in FY17 instant sales.

    U.S. Non-Traditional Sales

    La Fleur’s fiscal 2017 report also features the Non-Traditional Products Report. The five U.S. lotteries operating an internet channel had combined $143.4 million in net draw and eInstant sales, up 54% from $93.4 million in fiscal 2016. Kentucky Lottery ranked first with a 1,145% increase to $5.2 million for FY17 internet sales from $0.4 million in fiscal 2016 (partial year).

    In fiscal 2017, U.S. lotteries’ net table game totaled $1.15 billion. Revenue from sports betting totaled $46.3 million.

    Instant terminal game (ITG) sales totaled $351.4 million, which represented a 36% increase. Touch ITG sales amounted to $33.3 million.

    U.S. lotteries’ FY17 combined VLT revenues totaled $6.3 billion, up 3% from $6.1 billion in FY16. There are eight U.S. lotteries operating VLTs. As is this magazine’s policy, VLT revenues are reported separately.

    The Maryland Lottery led the nation, with a 19% increase in FY17 VLT net machine income. The opening of the MGM Casino at National Harbor was a big factor. Four U.S. lotteries recorded declines in FY17 VLT net machine income. The New York Lottery ranked number one in FY17 total VLT net machine income at $1.6 billion.

    Canadian Results

    The Canadian lottery industry experienced a 3% decrease in FY17 traditional lottery sales, which fell to C$8.8 billion. Four of the five Canadian lotteries reported declines in FY17 traditional lottery sales.

    Lack of big jackpot for the national bloc games was a big contributor to anemic sales. LottoMax sales were down 12% to C$1.9 billion in fiscal 2017 while Lotto 649 sales declined 15% to C$1.4 billion. Spiel sales were down 4% to C$610.3 million.

    The introduction of Daily Grand, Canada’s newest multi-provincial lotto, contributed C$107 million for national lotto sales in FY17. (It was sold by four of the five Canadian lotteries in FY17).

    OLG ranked first in FY17 gross draw sales at C$2.5 billion. BCLC ranked first in per capita draw sales at C$208.

    FY17 instant sales rose 3% to C$2.3 billion. The C$3 category is ranked first with $692.7 million in sales (30%). The C$4 category is ranked second with C$571.2 million in sales (25%).

    he C$10 category is ranked third (15% of total sales).OLG ranked first in FY17 gross instant sales at C$1.2 billion as well as first in per capita instant sales at C$85.

    FY17 Canadian VLT net machine income was flat. It totaled C$1.34 billion.

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