Loto-Québec, the provincial lottery operator, has decided to cancel its plans to introduce approximately 300 video lottery terminals (VLTs) near Bell Centre in downtown Montreal. This move comes as a response to strong opposition from Montreal Public Health (DRSP) due to concerns over location and associations with Groupe CH.
Cancellation Due to “Unfavorable Conditions”:
Loto-Québec cited “unfavorable conditions” as the primary reason for discontinuing the project, which aimed to relocate 600 VLTs currently situated in bars in disadvantaged areas of Montreal. While the organization respects DRSP’s concerns, it views the cancellation as a “missed opportunity.”
Montreal Public Health’s Opposition:
Montreal Public Health had expressed reservations about the project, raising concerns about the location of the proposed VLTs and their association with Groupe CH, a prominent local brand. DRSP recommended not only reducing the number of VLT sites but also advocated for an independent body to oversee gambling activities in Quebec due to the challenges posed by gambling.
Loto-Québec’s Disappointment and Future Outlook:
Despite its disappointment over the cancellation, Loto-Québec emphasized that the future of the organization does not hinge solely on the Bell Centre project. President and CEO Jean-François Bergeron stressed the importance of revamping their land-based model to meet contemporary challenges and needs.
Financial Performance and Fiscal Year Results:
In June, Loto-Québec released its fiscal year 2022–2023 results, reporting a revenue of CA$2.9 billion, a notable 35.2 percent increase year-on-year. This substantial increase was attributed to various segments, including the casino and gaming hall sector, online casino revenue, and VLTs, Kinzo, and network bingo.
Online Gaming and Lottery Sales:
Loto-Québec’s online gaming platform, offering lottery, casino games, and sports betting, generated CA$403.9 million, reflecting a 3.3 percent increase from the previous year. Despite a minor dip in traditional lottery revenues to CA$996.1 million, online lottery sales showed promise with CA$124.2 million in revenues, marking a 5.4 percent increase and constituting 12.5 percent of lottery revenues.
Loto-Québec’s decision to cancel the VLT project near Bell Centre signifies its responsiveness to public health concerns and its commitment to addressing gambling challenges. The organization’s financial performance remains robust, and it continues to explore opportunities for growth and adaptation in the evolving gaming landscape.