Browse articles by topic

BCLC reports 61.8% fall in revenue for 2020-21 fiscal year

News

Canadian provincial lottery operator British Colombia Lottery Organization (BCLC) has reported a revenue of CAD$965.6m (£556.5m/€648.4m/USD$770.2m) in its 2020-2021 results ending March 31 2021.

This was a decline of 61.8% compared to BCLC’S full-year 2019-2020 results, due to the impact of the novel coronavirus (Covid-19) pandemic which shuttered its land-based casinos and gaming halls for much of the year.

Casino and community gaming revenue fell to $200,000, a significant drop of $1.83bn year-on-year. However, lottery and online gaming had record-breaking revenue results.

Lottery revenue totaled at $544.0m, which BCLC attributed to the success of its Instant and Keno products. This was a rise of 4.7%. Online gaming, via BCLC’S PayNow.com, brought in $421.4m in revenue through strong performances from slots and table games, amounting to a rise of 135.4%.

Expenses amounted to $494.0m, down 56.0% year-on-year. A majority of this- $183.1m- came from operating costs, with direct costs coming in second with $177.5m. Amortization and gaming support costs, at $79.8m and $53.6m respectively, completed the expenses.

Lottery operations created the most expenses, at $240.8m. Online gaming operations generated $156.0m in expenses, while casino and gaming operations costs totaled at $97.2m.

After expenses, the total net income before tax came to at $471.6m for the year, a decline of 66.5%.

After tax, which came to $41.7m, the total net income for the full year totaled at $429.9m. This was a year-on-year drop of 68.1%.

“BCLC is focused on delivering entertainment in a socially responsible manner to generate revenue for the Province of British Columbia, which uses it to fund the BC First Nations Gaming Revenue Sharing Agreement, public health care, education, charitable community programs, and other essential services the Province and Host Local Governments provide,” said Lynda Cavanaugh, interim president and CEO of BCLC.

Last week, single-event sports betting became law in Canada after bill C-218 passed last in July. As a result, the BCLC will offer bets on single-event sports and other events, such as fighting and racing, on its PlayNow.com website.

“Unlike grey market sites, PlayNow.com is the only online gambling provider in the province whose profits go back to the Government of B.C.”  added Cavanaugh.