HCMC Lottery Company profits soar
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The HCMC Lottery Company Ltd. made pretax profits of over VND1.3 trillion ($56.29 million) last year, up 13.7 percent from 2018.
Its revenues were up 15.2 percent to VND8.9 trillion ($385.4 million), it said in a release. Three percent of its revenues came from printing and rents.
While traditional lottery tickets accounted most of the revenues, nearly VND500 billion ($21.65 million), or over 5.6 percent, came from a new scratch card that allows customers to know the results immediately.
Scratch tickets are growing well, exceeding management expectations, but are limited by our printing capacity,” a company spokesperson said.
The firm targets revenues of VND10.29 trillion ($445.6 million) and pre-tax profit of VND1.2 trillion ($51.9 million) this year. It is researching a new product recently approved by the Ministry of Finance, which will allow customers to choose their own numbers.
It is expected to help regain market share from its main competitor, American-style computerized lottery firm Vietlott, HCMC Lottery said.
The traditional lottery involves tickets with numbers printed on them and a top prize of VND2 billion ($86,500) after it was increased by 33 percent in 2018.
Questions & Answers
Q.What proportion of the HCMC Lottery Company's total revenue was generated by traditional lottery tickets?
What proportion of the HCMC Lottery Company's total revenue was generated by traditional lottery tickets?
The article states that traditional lottery tickets accounted for most of the revenues. The new scratch card product made up over 5.6 percent of total revenues.
Q.What is restricting the growth of the company's new scratch card product?
What is restricting the growth of the company's new scratch card product?
The company spokesperson noted that the success of the scratch tickets, which exceeded management expectations, is currently limited by the company's printing capacity.
Q.How does the HCMC Lottery Company plan to compete with its main rival, Vietlott?
How does the HCMC Lottery Company plan to compete with its main rival, Vietlott?
The company is researching a new product approved by the Ministry of Finance, which will allow customers to choose their own numbers. This is expected to help regain market share from Vietlott.
Q.What was the previous top prize for the traditional lottery tickets before the 2018 increase?
What was the previous top prize for the traditional lottery tickets before the 2018 increase?
The traditional lottery's top prize was increased by 33 percent in 2018 to VND2 billion. Before this increase, the top prize would have been approximately VND1.5 billion.
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