Lucky numbers: Jackpots help Jumbo lifts earnings
Brisbane lotteries company Jumbo Interactive has reported a 14 per cent lift in underlying profit to $32.2 million.
Jumbo's profits boosted by Powerball's jackpots
The company declared a final, franked dividend of 20.5 cents a share and will undertake a $25 million share buyback.
Chief executive Mike Veverka said the improved jackpot cycle was a big contributor to profit.
He said the company’s lottery retailing business was “exceptionally well positioned” to benefit from the shift to digital and the new OzLotto game launched in May.
Revenue for the company was up 25 per cent to $104 million.
There were 43 Powerball and OzLotto jackpots worth more than $15 million in 2022 compared with 38 the previous year. The average value of these was also up by 28 per cent.
There was also the $120 million Powerball jackpot in February.
in its outlook, Jumbo said the cost of sales would be impacted by the increase in the service fee from the Lottery Corporation. Marketing costs were expected to be between 1.5 and 2 per cent.
Underlying operating cost growth, excluding the Lottery Retailing marketing costs was anticipated to moderate. Jumbo expects an increase of between 20 and 22 per cent.
