Company: LTRYW
Filing Date: 2025-01-16
Form Type: POS AM
Source: 0001493152-25-002444
Chunk: 304

Company: Lottery.com Inc.
Filing Date: 2025-01-16
Form: POS AM
Chunk 304
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 noncontrolling interest |     | $                               |     272,613 |   |     | $ |     379,916 |   |     | $ |    (107,303 | ) |     |     |      -28 | % |
| Net                                            
 loss attributable to Lottery.com, Inc.         |     | $                               | (25,537,315 | ) |     | $ | (59,999,072 | ) |     | $ |  34,461,757 |   |     |     |      57x | % |

Revenues

Revenue.Revenue for the year ended December 31, 2023 was $7.0 million, an increase of $200 thousand, or 3%, compared to revenue of $6.8 million for the year ended December 31, 2022. Revenue was up slightly for the year ended December 31, 2023 with a change in the mix which was more heavily weighted to ticket sales and data services and less to services delivered to partners.

Cost of Revenue. Cost of revenue includes product costs, commission expense to affiliates and commercial partners, and merchant processing fees. Cost of revenue for the year ended December 31, 2023 was $5.7 million, an increase of $1.4 million, or 31%, compared to cost of revenue of $4.3 million for the year ended December 31, 2022. The increase in COGS is the result of a product mix that was more heavily weighted towards products and less on higher-margin services for the year ended December 31, 2023. In 2022 there was revenue from services provided to partners that had lower costs and higher margins.

Gross Profit. Gross profit for the year ended December 31, 2023 was $1.3 million, compared to $2.5 million for the year ended December 31, 2022, a decrease of $1.2 million, or (46%). This decrease was the result of higher cost of sales on higher ticket revenue in 2023 than in 2022 and because higher margin revenue for services provided to partners in 2022 was not recurring.

| F-81 |

Operating Costs and Expenses

|                               |     | For the Year Ended December 31, |       2023 |     |     |       2022 |     |     |    $ Change |   |     |     | % Change |   |
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