1. Presentation to California State Lottery Commission November 08, 2018
Director’s Comments
Presentation to California State Lottery Commission November 08, 2018
Director’s Report 6A

2. General Business Update
Overview
General Business Update
YTD Sales Update
Agenda Action Items
8(a) - Office Depot Contract Amendment
8(b) - Lottery Financial System Upgrade – Procurement of Epicor 10 Software and Implementation Services
8(c) - United Parcel Service (UPS) Contract Amendment
Good morning Commissioners and welcome back to Sacramento.
For today’s director’s report, I will provide our year to date sales picture
As well as a few general information items of interest
After going over the voting item agenda,
Jim Hasegawa will provide research information about who plays the lottery

3. Sales Update: YTD Sales Ahead of Goal and Last Year

4. Fiscal Year-to-Date Estimated Profits are Solid and Well Above Goal
With the recent big jackpots, our profit estimates are now well-above goal
Although sales are 11% ahead of goal, profits are currently 20% ahead of goal
YTD Profits from Draw Games account for 56% of total; Last Year it was 44%
% of Goal
Total Sales
111%
Total Profits
120%
Scratchers Profits
98%
Draw Game Profits
148%

5. Big Jackpots in October Drove Sales
MEGA Millions: 26 draws from $40 million to over $1.5 billion
Sales for $1.537 billion jackpot were $116 million in CA
$1 Billion Jackpot
$667 Million Jackpot
$548 Million Jackpot

6. $1.537 Billion Mega Millions Jackpot and $688 Million Powerball Jackpot
CA:15.7% of U. S. Sales for Oct 23rd MM draw
Peak sales during evening commute averaged over $164,000 per minute in CA
About 32% of CA adults participated in that draw
For the sequence, our sales totaled $358 million with total profit for education over $143 million
For Powerball’s jackpot on Oct 27, CA sales were $20.8 million

7. CA Still in 2nd Place; But Closing the Gap with NY
FY 2015: $1.73 B behind NY
FY 2017: $1.45 B behind NY
FY 2018: $962 million behind NY

8. Most Lotteries Grew Sales in FY 18 CA 6th Best Percentage

9. California’s 12% Growth is Tops Among Large Lotteries

10. FY 2017-28 U.S. Lottery Industry Review
Other Rankings:
CA Instant Ticket Sales: 1st Place ranking
CA MEGA Millions Sales: 1st Place ranking
CA Powerball Sales: 1st Place ranking
CA In-State Lotto Sales (SLP): 2nd Place ranking
CA Hot Spot Sales: 6th Place ranking
CA Total Lottery Sales Per Capita: $175 (25th rank)