Brazilian operator shares online lottery’s financial results

Caixa Economica Federal shared the financial results for the online lottery’s service.

Brazil.- The Brazilian gaming authority on licenced lottery services, Caixa Economica Federal, which answers to the country’s Ministry of Economy, shared the financial results for the newest gaming modality in Brazil: online lottery. Operations began last August 10.

As reported by the gaming operating division of the state’s bank, Loterias Caixa, during the first month of operations – from August 10 to September 10 -, online sales reached US$4.42 million, representing 1.4% of all lottery sales in the new platform. With these results, authorities are expected to reopen the Congress debate on gaming legalisation as Brazil keeps showing to be a profitable market both for the land-based and online market.

The online lottery service is expected to boost volumes and allow the bank to charge a 12% revenue fee, which is higher than conventional lottery ticket sales, from which it holds a 10%.

The lottery unit was set to be sold and generate around US$144 million for the Brazilian government. However, no private companies were interested in investing and the sale failed to be completed, which is why it is expected that the local authorities will rethink their strategy in order to relaunch the bidding process and finally succeed.