The General Management of the Senegalese National Lottery (LONASE) is meeting with its entire top management team, the heads of its subsidiaries, and the LONASE Foundation to develop and validate its Strategic Development Plan (SDP). This crucial meeting was marked by the announcement of strong financial performance and strengthened diversification ambitions.

According to the Managing Director, Toussaint Manga, this meeting aims to take a clear and uncompromising look at the overall functioning of the company, while identifying untapped opportunities that could sustainably strengthen its performance.

"LONASE benefits from the monopoly on games of chance and gambling, but our ambition goes far beyond that. We want to broaden our scope of action in order to diversify and optimize our sources of income," he said.

In this context, LONASE has embarked on a diversification strategy through the creation of several subsidiaries. A financial subsidiary has been established to capitalize on the opportunities offered by digitalization and the rise of fintechs within the gaming ecosystem. Furthermore, a real estate subsidiary, SIP, aims to establish a lasting presence for the group in the real estate sector.

In addition, there is WOTE, a subsidiary dedicated to customer relationship management, operating as a modern call center. It will not only improve service to LONASE users, but also offer services to external partners.

"Our objective is clear: to build a modern, innovative and efficient group, capable of adapting to the rapid changes in the gaming sector, particularly under the effect of digitalization," insisted the CEO.

Improving financial performance

On the financial front, Toussaint Manga highlighted encouraging results, while specifying that the final figures could only be communicated after the closing of the accounts at the end of the financial year.

"The key takeaway, and what's clear, is that the performance is there, despite the few challenges we've faced. I can only give you sector-specific results, since we have to wait until the end of the year, after the accounts are finalized, to provide the company's actual figures. But you can note that by the end of the first half of the year, we were already at 21 billion in profits. By the end of the third quarter, in September, we were at 27 billion in profits. Now, that's without depreciation; we have to wait until the end of the fiscal year, with the accounts finalized, to release the actual figures. But the key takeaway, and what's clear, is that the performance is there, despite the few challenges we've faced," Toussaint Manga stated.

According to him, the gaming ecosystem is changing, and a new law was recently passed in September. "This new law will certainly have an impact on the objectives that have been set, since it will take some time to adapt and readjust our forecasts. But what should be noted, however, is that this law has begun to produce results," added Mr. Manga.

He argues that the gaming ecosystem will undergo major changes, particularly with the adoption of a new law last September. While this law requires a period of adjustment and a readjustment of forecasts, its effects are already beginning to be felt.

The 20% tax on profits and operators, initially applied to the physical network, enabled LONASE to pay 2.1 billion CFA francs to the Tax and Domains authorities for the month of November alone.

"And this only concerns the physical network. However, today, the vast majority of games are played digitally. Our forecasts are therefore very optimistic," predicted Mr. Manga, announcing a later communication on the results from the taxation of digital.

Like Customs or Tax and State Property, LONASE is now establishing itself as a major contributor to public revenue. Within the framework of the recovery plan, the company is among the strategic institutions called upon to play a central role.

"Forecasts indicate a contribution of 75 billion CFA francs per quarter from LONASE to the financing of the recovery plan," said the Director General of LONASE.