An exciting year for Lotto24 AG ( Lotto24.de ), Germany’s leading provider of state-run lotteries on the Internet. The company not only continued to grow and reached a mark of 1.5 million Customers exceeded, but has also reached the break-even for the first time.

Despite the exceptionally weak jackpot situation in the second half of 2017 – in particular compared to the high jackpots of the previous year – and the increased competition, Lotto24 AG increased its transaction volume by 10.1 in 2017, according to preliminary calculations % to 220.7 million euros (previous year: 200.5 million euros) and sales by 10.8% to 25.2 million euros (previous year: 22.8 million euros).

According to preliminary estimates, the transaction volume and revenue in the fourth quarter of 2017 fell by 4.8% to EUR 56.2 million (previous year: EUR 59.0 million), or 9.7% to EUR 6.5 million (previous year: EUR 56.2 million) : 7.1 million euros). The gross margin improved to 11.4% in 2017 (previous year: 11.3%).

With a provisional 291 thousand new customers in the 2017 financial year (previous year: 399 thousand), of which only 75 thousand new customers were accounted for by the fourth quarter (previous year: 113 thousand) due to the weak jackpot development, the total number registered at Lotto24 Customers temporarily increased by 22.7% to 1,573 thousand (previous year: 1,282 thousand). Thanks to efficient marketing measures – which Lotto24 adapts to the respective jackpot development – the company was able to reduce the marketing costs per registered new customer (“Cost per Lead, CPL”) to EUR 27.32 in 2017 (previous year: EUR 32.99).

According to information from the German Lotto and Totoblock (DLTB) and the German Lotto Association, DLTB’s total revenue (including Lotto 6aus49 and EuroJackpot) fell by 3.6 per cent in 2017 to around 7.1 billion. Euro (previous year: € 7.3 billion). The online stakes generated by the state-owned companies and the permitted private lottery brokers increased by 7.6 per cent to around 700 million euros (2016: 650 million euros). This corresponds to an online share of around 10 percent (previous year: 9 percent).
In the 2017 financial year, Lotto24 AG increased its market share in the online lottery market to 32% (previous year: 31%) and remains by far the leading online provider of state lotteries in Germany.

“The market potential is still enormous, both online and mobile. According to a representative online survey commissioned by Lotto24 in January 2018, around 76 percent of respondents are planning to play lottery online in the future,” said Petra von Strombeck, CEO of Lotto24 AG.