In its annual report for the year ending 31 December 2023, Loterie Romande, the primary lottery service provider for the six French-speaking Swiss cantons, reported a gross gaming revenue of CHF420.7 million ($458.9 million / €423.9 million / £360.6 million). While this figure marked a 3.4% decline from the previous record-setting CHF435.5 million produced in 2022, the company defied expectations by increasing its net profit and providing a record payout to public utility causes.
Gerardine Vasquez, chief financial officer, attributed the revenue drop to multiple factors, including geopolitical and economic challenges. Moreover, the diminished demand from casual players at points of sale due to the absence of long jackpot cycles for Swiss Loto and EuroMillions played a significant part.
Despite these challenges, an impressive 70% of adults in French-speaking Switzerland engaged with a Loterie Romande game at least once in 2023. EuroMillions emerged as the most popular game, capturing the interest of 67% of the population. This was closely followed by Tribolo scratchcards (61%), Swiss Loto (56%), and Rento (41%).
“The engagement levels reflect the trust and interest of our players in Loterie Romande games. It’s a testament to our commitment to providing diverse and exciting gaming options,” commented Jean-René Fournier, chairman of Loterie Romande.
The lottery draws continued to be the highest-grossing segment, generating a noteworthy CHF152.3 million. However, this figure represented an 8.4% year-on-year decline, substantially impacted by the lack of extended jackpot cycles. On a brighter note, instant win tickets amassed CHF135.3 million, demonstrating robust performance.
2023 was also a fortunate year for many players, as 31 participants won prizes of at least CHF1 million thanks to the Swiss Loto and EuroMillions games. This underscores the excitement and life-changing potential that these games offer.
While gross revenue experienced a dip, Loterie Romande reported an increase in net profits and subsequently delivered a record profit to the public utility sector.
. The group allocated CHF243.7 million to good causes, slightly up from the CHF243.4 million distributed in 2022. Key beneficiaries included almost 5,000 projects across Vaud, Fribourg, Valais, Neuchâtel, Geneva, and Jura. National sports received CHF19.5 million, while the Swiss Horse Racing Federation benefited by CHF3.4 million.
“The allocation to public causes is at the core of our mission. Our projects span a wide range of social and cultural initiatives, significantly contributing to the well-being of our communities,” added Fournier.
The most significant contributor to the company’s profit growth was savings on financial expenses and income. Unlike the previous year, financial investments yielded positive returns, generating a net profit of CHF5.1 million. Furthermore, Loterie Romande managed to reduce its marketing and general administrative costs slightly, contributing to the enhanced profit margins.
“This result can be attributed particularly to the rigorous management of operating costs, the strengthening of our digital offering, and the diversity of our product range. The launch of the European draw game EuroDreams in October 2023 further enriched our portfolio,” Fournier explained.
This diversification strategy underscores Loterie Romande’s commitment to innovation and adaptability in Europe’s evolving gaming landscape. The company has successfully integrated traditional gaming methods with modern digital offerings, ensuring sustained player engagement and broader market reach.
Moving forward, Loterie Romande’s strategy includes continued investment in digital platforms, driving engagement through innovative game mechanics, and expanding its reach within and beyond the French-speaking regions of Switzerland.
As Loterie Romande navigates the complexities of the current economic landscape, its focus remains on maximizing both player satisfaction and contributions to public welfare. The company’s ability to turn challenges into opportunities demonstrates its resilience and leadership in the lottery market, promising sustained growth and community impact in the coming years.
In summary, Loterie Romande’s annual report for 2023 reveals an intricate mix of revenue challenges and profit triumphs. Despite a brief downturn in gross gaming revenue due to less favorable geopolitical and economic conditions as well as shorter jackpot cycles, the company reported record profits and payout to public utility causes. This success was largely driven by effective cost management, a diverse product range, and successful financial investments.
