The latest operator of National Lottery, Premier Lotteries Ireland has recently filed financial details of its few months in operation since it acquired the National Lottery in 2014. The recently audited results of the company show that it lost €17.4 million in first 19 months of operation which did not include last one month of ticket sales. The firm had confirmed its ability to fulfil promises made during the bidding process. The firm is backed up by Ontario Teachers’ Pension Plan and other institutional groups that have contributed €405 million last year for 20 year license to manage the National Lottery.
About Premier Lotteries Ireland
The firm was established in 2013 and became a publicly listed firm last year and started trading actively since November 2014. During that same year its lottery sales revenue was at €56.8 million while €32.7 million was given away as prizes. As PLI also gave away €15.7 million of the funding amount to charity it was able to make less than its agreed share of 50 percent according to given license. It is focused on offering wide choice of games to players and increasing sales to customers which will help it maximise amounts to be given for charity. PLI’s future plans include launch of online channel and drawing up partnerships with software firms.
Technical and Financial problems of PLI
The firm suffered a major technical glitch twice this year at its terminals just before a major jackpot draw that led to draw being cancelled which disappointed players. This service disruption was due to problems with 3G connections to lottery terminals that led retailers of lotto tickets to complain that it was cutting corners to maximize its investment. Its operating loss was at €5.4 million last year and incurred expenditure of €6 million on varied costs and € 14.4 million on paying up loan interest. The firm has long term debts of €196.2 million that has to be paid within 5-6 years along with other loans worth €168.8 million to its owners.