Louisiana Lottery boasts record sales
NEW ORLEANS – The Louisiana Lottery toppled its record first full fiscal year of sales, ending 2016 with $508.3 million in revenue, $13.6 million more than in 1993 when the Lottery was the only legalized form of gaming in Louisiana.
“What a platinum anniversary present!” noted Lottery President Rose Hudson. “After six consecutive years of growth, the Lottery achieved a new all-time high. Although this is certainly an impressive feat in today’s saturated gaming marketplace, our true satisfaction comes in knowing we’re accomplishing our mission to raise funds for Louisiana K-12 public education.”
The Lottery’s focus on this mission to generate state revenue was recently recognized by Public Gaming Research Institute, which honored the Lottery with its Sharon Sharp Good Causes Award for having the highest percentage increase in funds transferred to its beneficiary.
Per statute, at least 35 percent of all Lottery sales are transferred to the state treasury, the highest mandated transfer percentage in the nation. Fourth quarter figures for fiscal year 2016 show Lottery revenue totaled $116,036,106 resulting in a state transfer of $40,612,630, which brought total transfers to $177.9 million for 2016 – $27 million more than was budgeted.
Fiscal year 2016 was a banner year across all Lottery product lines with scratch-offs sales up 4.9 percent over last year and a world-record $1.58 billion jackpot launching Powerball game sales up an astounding 45.5 percent. Overall, Lottery revenue was up more than $54.5 million from 2015.
Local businesses that sell Lottery products also earn about 5.5 percent of sales, which includes commission, incentives for cashing winning tickets and bonuses for selling winning tickets. In fiscal year 2016, retailer compensation totaled $28.2 million.
Nearly 53 percent of revenue is allocated to prizes for players, and about 5 percent is retained by the Lottery to operate.
Since the Lottery began operations in 1991, more than $9 billion in revenue has been generated, primarily from ticket sales. More than $3.2 billion has been transferred to the state treasury.
“Twenty-five years of raising recurring revenue for the state while promoting a responsible approach to recreational gaming is something to celebrate,” said Hudson. “That’s why on Sept. 6 – 25 years to the day of our first day of sales – we will launch a unique anniversary edition of our popular multiplier family of scratch-offs giving our players more fun and more ways to win.” The $5 game in the scratch-off game series, 25X, will feature the Lottery’s anniversary logo, top prizes of $100,000, plus an additional bonus play area on the back of the ticket.
Lottery ticket purchasers must be at least 21 years of age. The Lottery encourages anyone with a gambling problem, or friends of anyone with a gambling problem, to call toll-free 1-877-770-7867 for assistance. Recent financial statements and historical treasury transfers can be found here.