Even though 2020 has decimated much of the US gaming market, the Tennessee Education Lottery (TEL) cannot be too disappointed with its results. The organization, which oversees lotteries, sports betting and more in the state, just released its financial report for the last fiscal year and has taken another milestone. For the first time, it recorded sales of over $ 2 billion, much of which can be attributed to the success of the gambling market in Tennessee.
Tennessee Gambling on the Rise
Tennessee was one of the first states to introduce an online-only sports betting market and it has proven to be a successful model. Mobile sports betting first went live last November and since then has continued to exceed expectations. With TEL’s fiscal year close on June 15, she can certainly thank sports betting and sports players for her new success, but doesn’t need to give them all the credit. The sports gambling market exceeded $ 1 billion in revenues last April; However, the Lottery is also seeing an increase in the popularity of some of its other options.
The lottery started to improve last year, with the period July 1 to September 30 giving it $ 498.2 million. This was a 16.8% year-over-year increase and, at the time, the best quarter on record. Since then, TEL has continued to increase its margins. Second-quarter instant game sales rose more than 17% to $ 399.5 million, and as of last April, they recorded $ 47.1 million in instant game sales in the week of opening.
The results led TEL President and CEO Rebecca Paul Hargrove to say, “This year has been good enough in many ways, but our mission remains the same: to raise funds for designated education programs. that we fund. It’s a big day for Tennessee students, and we look forward to reporting our totals for the year in mid-July.
Education is the big winner
Improved performance means more money for education programs in Tennessee. The first fiscal quarter results saw TEL contribute $ 114 million to the state’s education lottery account, with an additional $ 140.3 million added in the third quarter. When the final results of the financial year are delivered, the total amount paid will be revealed, but it will obviously be significantly higher than in previous years. In fiscal 2020, the Lottery reported revenues of $ 1.84 billion, and it now has an additional $ 160 million, approximately, to work with.
The increase observed during the last fiscal year follows a trend that has occurred in recent years. In fiscal 2019, the Lottery reported revenues of $ 1.812 billion, which added about $ 30 million last year. 2019 performance increased 4.4% from 2018 and 2020 results, partly hampered by COVID-19, increased only 1.5% from the previous year. However, TEL was able to continue to forge ahead and contribute more to scholarships and grants that help the state to develop.