BOSTON (State House News Service) – Having set a record high for net profit in the budget year that ended in June, Treasurer Deborah Goldberg told lawmakers Tuesday that she expects the Massachusetts Lottery will generate about $995 million in revenue for the state this fiscal year and roughly $1 billion in fiscal year 2023.
The Lottery produced a record $1.112 billion in profit in fiscal 2021 for the Legislature to use as local aid despite having to navigate the consumer and economic changes brought upon by the pandemic “by responsibly adjusting our business operations and working closely with our retail partners,” Goldberg said during an annual hearing on state revenues. She also highlighted projection risks.
“Looking forward to fiscal year 2023, the Lottery is projecting $1 billion in net profit. Outcomes for fiscal year 2022 and projections for fiscal year 2023 could be impacted by potential supply chain issues. Yes, we have them too, believe it or not with various specialty paper products,” the treasurer said. “The Lottery has taken a proactive approach to remain adequately stocked at the present time. But we have experienced a few glitches, which gave us a heads-up and made us make sure that we were looking at this.”
Through four months of fiscal year 2022, the Lottery had sold just more than $2 billion worth of products (up $116.1 million or 6.1 percent from the same period in fiscal 2021) and estimated its year-to-date profit to be $386 million, roughly $22.4 million ahead of the pace set during the record-setting fiscal year 2021.
November figures are expected next week. Goldberg said her office’s unclaimed property division is on track to revert $98.75 million back to the state in fiscal year 2022 and $145 million in fiscal 2023.
“This significant increase is possible because of liquidation of stocks, which is required to be done every three years. So the stocks are now available to be sold and the cash will be coming back to the commonwealth,” she said.
At the Alcoholic Beverages Control Commission, Goldberg said, the expectation is that it will bring in $5.8 million in both fiscal year 2022 and fiscal 2023, compared to $5.85 million in fiscal year 2021.