South Africa’s new national lottery operator, Sizekhaya Holdings, has fallen R1.4 billion short of its projected ticket sales, raising questions about its performance since taking over the lottery in June 2025.
The National Lotteries Commission (NLC) revealed the figures during a briefing to Parliament’s Portfolio Committee on Trade on Tuesday, disclosing that Sizekhaya generated R2.1 billion in ticket sales between June 2025 and September 2026, against an initial target of approximately R3.5 billion.
NLC executive manager Tintswalo Nkuna told MPs that the operator had underperformed by 39% against its original business proposal.
The figures also showed that Sizekhaya had fallen 21.7% below its revised sales forecast for the 2026/27 financial year.
Despite the disappointing performance, Nkuna said the commission had anticipated a decline in ticket sales following the transition to a new operator, explaining that changes in lottery management can create uncertainty and scepticism among players.
She added that the NLC was closely monitoring the company’s performance and continued to receive its weekly share of ticket sales.
Parliament Questions Lottery Operator’s Performance
The disclosure comes as Sizekhaya faces increased scrutiny over its appointment and performance as South Africa’s fourth national lottery operator.
The company’s licence has also become the subject of a legal dispute after the Pretoria High Court set aside the contract, citing concerns about the process followed by Trade Minister Parks Tau when reviewing the tender recommendations.
The court did not make any finding regarding Sizekhaya’s probity but questioned the minister’s decision to establish a separate committee to review the recommendations.
Tau has told Parliament that he is still considering whether to appeal the judgment.
Sizekhaya to Remain at the Helm
Despite the court ruling, Sizekhaya is expected to continue operating the national lottery for at least the next year while the legal processes are finalised.
The court has given Tau six months to restart the tender process.
Meanwhile, NLC board chairperson Tembinkosi Bonakele defended the minister’s decision to appoint advisers, arguing that Tau was entitled to consider additional issues, including probity, Black Economic Empowerment and the classification of lottery games.
The NLC board is awaiting the minister’s decision on whether to appeal the ruling.
With Sizekhaya’s ticket sales falling below both its original and revised projections, its financial performance is likely to remain a key issue as Parliament continues monitoring the national lottery.