The Hoosier Lottery is on pace for a record revenue year, thanks in part to to higher Powerball ticket prices and jackpots.

The lottery projects that revenue for its 2013 fiscal year ending June 30 will be $945 million, about 9.5 percent more than last year’s record of $855.6 million.

The impact on Indiana coffers won’t be as impressive. Lottery officials are forecasting net income at $227.6 million, about $200,000 more than last year’s result.

Lottery spokeswoman Stephanie McFarland said the staff could not comment on the preliminary figures, which were presented June 19 to the five-member Hoosier Lottery Commission.

The lottery sells two types of products: what it calls its "instant" games, including scratch-off and pull-tab games, and its "on-line" games, which include Powerball, Hoosier Lotto, Mega Millions, Daily 3 and Daily 4.

Indiana Gaming Insight Publisher Ed Feigenbaum said the lottery's forecasted 2013 revenue would be a record "by far," although he called it "wind-aided" because of the Powerball effect.

Changes introduced to the multi-state game last year have created enormous jackpots and driven overall revenue higher. Powerball ticket prices doubled to $2, and jackpots now start at $40 million, instead of $20 million.

The lottery’s forecast predicts total Powerball sales will hit $140.4 million, a 28-percent jump over last year.

In the month of May—when the multi-state jackpot hit $590 million—Indiana sales were $22 million. That was a 65-percent increase over $7.8 million in the same month last year.

One reason the record sales won’t bring more income to the state for the fiscal year is that the lottery is spending about twice as much as it did last year on advertising and promotion—nearly $23 million. The commission forecasts total operating expenses will come in at $716.5 million, more than 10 percent higher than last year's $645 million.

The commission inked a long-term outsourcing contract in October with lottery manager GTECH Indiana. One of the gaming firm’s first changes was a new “Imagine that” advertising campaign.

More changes are in the works. GTECH plans to launch televised drawings for Mega Millions and Powerball this summer, according to a tentative schedule presented to the commission. Drawings for the Daily 3 and Daily 4 games will roll out around Labor Day.

GTECH estimates that it will spend $1.2 million on television station fees in the next fiscal year.

The company plans to sign with one “flagship station,” according to information presented to the commission, but McFarland said there’s no signed contract yet.

Copyright © 2019 All Rights Reserved.