IBJNews

Powerball sales drive Hoosier Lottery revenue to record high

Back to TopCommentsE-mailPrintBookmark and Share

The Hoosier Lottery is on pace for a record revenue year, thanks in part to higher Powerball ticket prices and jackpots.

The lottery projects that revenue for its 2013 fiscal year ending June 30 will be $945 million, about 10.4 percent more than last year’s record of $855.6 million.

Surplus revenue to the state will be $227.6 million, according to the forecast, about 8 percent more than last year’s surplus revenue. Net income to the state, which accounts for the value of investments, is estimated to be about the same as last year.

Lottery spokeswoman Stephanie McFarland said scratch-off ticket sales also contribute to the record revenue projection. The lottery estimates $626.2 million for the full year, which would be an increase of $78.6 million, or 14 percent, over last year.

Indiana Gaming Insight Publisher Ed Feigenbaum said the lottery's forecasted 2013 revenue would be a record "by far," although he called it "wind-aided" because of the Powerball effect.

Changes introduced to the multi-state game last year have created enormous jackpots and driven overall revenue higher. Powerball ticket prices doubled to $2, and jackpots now start at $40 million, instead of $20 million.

The lottery’s forecast predicts total Powerball sales will hit $140.4 million, a 39-percent jump over last year.

In the month of May—when the multi-state jackpot hit $590 million—Indiana sales were $22 million. That was a 182-percent increase over the $7.8 million collected in the same month last year.

One reason the record sales won’t bring more income to the state for the fiscal year is that the lottery is spending about twice as much as it did last year on advertising and promotion—nearly $23 million. The commission forecasts total operating expenses will come in at $716.5 million, 11 percent higher than last year's $645 million.

The commission inked a long-term outsourcing contract in October with lottery manager GTECH Indiana. One of the gaming firm’s first changes was a new “Imagine that” advertising campaign.

More changes are in the works. GTECH plans to launch televised drawings for Mega Millions and Powerball this summer, according to a tentative schedule presented to the commission. Drawings for the Daily 3 and Daily 4 games will roll out around Labor Day.

GTECH estimates that it will spend $1.2 million on television station fees in the next fiscal year.

The company plans to sign with one “flagship station,” according to information presented to the commission, but McFarland said there’s no signed contract yet.

ADVERTISEMENT

  • random computer picks?
    When the change was made from the old vendor a few months back to this new, I haven't even won a free tick on Hoosier, and no 3-6 dollar wins on PowerBall. I won at least a $1 free ticket each week with the old company vendor. I find it hard to believe the computer programers have made this random, since the two companies have completely different results each week. How can one random be so different from another random? In fact, how can a program designed by a human be random at all?....using human designed software, I have yet to find a program that even works as designed more than not. Time to bring back the ping pong balls and make the whole thing actually random again!!
  • dumb...
    Foolish hoosiers...pissin their money away. this is downright embarrassing.
  • Where Has ALL This Money Gone?!?!?!?!?
    So...why has IPS NOT received a share of this money? That was the initial "selling point" for bring the Lotteries back. IPS has not seen one red cent since the lotteries were "rebooted" in the 1980s. Where is this money going? Up someones nose? Used for vacations and salaries? Where?
  • Like taking candy from a baby
    1 Billion dollars in voluntary taxes. The poorest spend the most. at least some of that money has to come from welfare recipients so you have to subtract that amount from the 945M

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by
ADVERTISEMENT

facebook - twitter on Facebook & Twitter

Follow on TwitterFollow IBJ on Facebook:
Follow on TwitterFollow IBJ's Tweets on these topics:
 
Subscribe to IBJ
  1. President Obama has referred to the ACA as "Obamacare" any number of times; one thing it is not, if you don't qualify for a subsidy, is "affordable".

  2. One important correction, Indiana does not have an ag-gag law, it was soundly defeated, or at least changed. It was stripped of everything to do with undercover pictures and video on farms. There is NO WAY on earth that ag gag laws will survive a constitutional challenge. None. Period. Also, the reason they are trying to keep you out, isn't so we don't show the blatant abuse like slamming pigs heads into the ground, it's show we don't show you the legal stuf... the anal electroctions, the cutting off of genitals without anesthesia, the tail docking, the cutting off of beaks, the baby male chicks getting thrown alive into a grinder, the deplorable conditions, downed animals, animals sitting in their own excrement, the throat slitting, the bolt guns. It is all deplorable behavior that doesn't belong in a civilized society. The meat, dairy and egg industries are running scared right now, which is why they are trying to pass these ridiculous laws. What a losing battle.

  3. Eating there years ago the food was decent, nothing to write home about. Weird thing was Javier tried to pass off the story the way he ended up in Indy was he took a bus he thought was going to Minneapolis. This seems to be the same story from the founder of Acapulco Joe's. Stopped going as I never really did trust him after that or the quality of what being served.

  4. Indianapolis...the city of cricket, chains, crime and call centers!

  5. "In real life, a farmer wants his livestock as happy and health as possible. Such treatment give the best financial return." I have to disagree. What's in the farmer's best interest is to raise as many animals as possible as quickly as possible as cheaply as possible. There is a reason grass-fed beef is more expensive than corn-fed beef: it costs more to raise. Since consumers often want more food for lower prices, the incentive is for farmers to maximize their production while minimizing their costs. Obviously, having very sick or dead animals does not help the farmer, however, so there is a line somewhere. Where that line is drawn is the question.

ADVERTISEMENT