The Hoosier Lottery had nearly $1.7 billion in sales last fiscal year and will send almost $350 million back to state coffers, according to preliminary and unaudited data presented Tuesday by State Lottery Commission officials.
State fiscal year 2026 began last July and ended June 30.
The $350 million expected surplus is above the previous year’s $341 million total, but remains below record-breaking figures recorded during the pandemic — peaking at almost $376 million in 2021.
“Now, those (numbers) are not our highest year … But they do represent another very strong year for the Hoosier Lottery, particularly in an environment where many lotteries across the country are still experiencing slower or even negative growth,” Executive Director Sarah Taylor told the commission during a Tuesday meeting in downtown Indianapolis.
The surplus helps pay off pensions for teachers, firefighters and police, and takes about half the cost off the motor vehicle excise tax that Hoosiers pay when they register and plate their vehicles.
“Those retirement and pension funds are ones that we are very passionate about and have been part of our mission this whole time,” Taylor said. “In addition, the motor vehicle excise tax, what we love about it is (that) it also impacts Hoosiers throughout every county, whether they play or not. … We’re touching all the local communities and counties throughout the state with the three funds that the Legislature has designated for us.”
The $1.7 billion total is flat from the last several years.
Scratch ticket revenue hit $1.2 billion, about 38% less than was budgeted. And the lottery recorded mixed results for big jackpot draw games.
Powerball came in at $134 million, almost $48 million ahead of budget, and Hoosier Lotto was about $44 million, less than $1 million off expectations. The nearly $53 million in revenue for Mega Millions, however, was about $15 million behind budget.
Non-jackpot draw games garnered $214 million, about $17 million more than expected.
The lottery did meet its financial goals, however.
Operator Brightstar Indiana — previously named IGT Indiana — is expected to receive an incentive payment of $7 million. If the lottery had fallen short, the operator would’ve had to make a shortfall payment under the performance-based contract.
The lottery paid out about $1.1 billion in prizes last year.
Another try for i-Lottery
During the meeting, commissioners remarked that strong digital playslip use should prompt another look at online lottery sales — an idea lawmakers have repeatedly introduced and then scrapped.
On the Hoosier Lottery app, players can build a playslip and generate a barcode for retailers to scan and print tickets.
“This is all great digital numbers,” Commissioner Luke Bosso said. “… It feels like, you know, it’s a compelling argument for iLottery.”
External Affairs Director Jared Bond confirmed the lottery has submitted an iLottery proposal to Gov. Mike Braun’s office for consideration.
The lottery has for years sought permission to sell tickets online to boost revenues. The state website could also host electronic gambling games on the site if authorized.
“We’re kind of having those discussions … again, talking to legislators about, you know, kind of, what the appetite is for that,” Bond said. “… Budget session, coming into that, the Legislature may be looking for some money. iLottery is an option for that, so we’ll see where we land with that.”
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