Annual Report 2018-2019

 

YOUR LCBO

Never have Ontarians had such power to choose when, where and how they want to shop. From bringing an ever-expanding selection in-store and online to creating more engaging shopping experiences, the LCBO strives to meet the evolving needs of every customer. Expanded store hours, same-day pick-up, and mobile shopping offer more options than ever. This year, we’ve deepened our commitment to social responsibility and transferred record dividends to the Ontario government.

The LCBO is focused on delivering a best-in-class customer experience across our digital and retail channels to bring convenience and choice to Ontarians so they can bring home the best products – from Ontario and the world.

View the Online Annual Report (PDF)


HIGHLIGHTS

KEY HIGHLIGHTS

  • Dividend of $2.37 billion transferred to the Government of Ontario
  • Sales across all categories, e-commerce, and wholesale drove increase in revenue
  • Total net sales of Ontario wine, craft beer, cider and spirits hit a record-breaking $690M
  • Customer donations raised a record $12.5 million for charitable organizations

MAXIMIZING RETURNS

The LCBO is a proud contributor to the Government of Ontario. The revenues it generates support key public programs and services for Ontarians, including health care, education and infrastructure.

  • Dividends Transferred to the Ontario Government: $2.37 billion
  • Financial Revenue: $6.39 billion
  • Net Income: $2.28 billion
  • Total e-commerce sales: $19.5 million
  • Total mobile app commerce sales: $2.9 million*
  • Over 450,000 active mobile app users 
  • Grocery: Sales from the wholesale supply of beer, wine and cider to grocery stores totaled $246.7 million

*Order amount placed via LCBO Mobile App

Key net sales figures by category (excluding specialty services):

o   Spirits                                             $2.2 billion, up 2.9 per cent

o   Beer & Cider & RTD                     $ 1.8 billion, up 8.5 per cent

o   Wine including Vintages             $ 2.1 billion, up 0.1 per cent

o   Gift Cards across category         $116.8 million up 5.7 per cent (activations)

SUPPORTING CONVENIENCE AND CHOICE

The LCBO is committed to amplifying a customer-first offering by increasing access, convenience and choice for Ontarians, and delivering exceptional service and product selection in-store and online.

  • Number of LCBO stores serving communities across Ontario: 666
  • Wholesaler to 363 grocery stores across Ontario
  • Number of LCBO Convenience Outlets: 209
  • Total number of products available in-store and online at the LCBO and through Specialty Services: 28,000+
  • Over 400 online exclusives
  • 15 per cent growth in total online assortment
  • Traffic to LCBO.com increased 14 per cent
  • E-commerce sales increased 72 per cent year over year
  • Over 1,000 next day delivery orders
  • Same Day Pick Up pilot program launched in seven LCBO locations
  • Destination Collection introduced to offer an enhanced selection of products from around the world
  • Expanded store hours at 50 locations following the Ontario government’s policy change
  • Vintages events offering wine tasting, first-hand knowledge, and the opportunity to meet some of the world’s greatest winemakers
SUPPORT OF LOCAL ONTARIO PRODUCTS
 
The LCBO understands that Ontarians value products from local vintners, craft brewers, craft cideries, and artisanal spirits producers. The LCBO is proud to showcase Ontario’s outstanding products, which it elevates through collaborative efforts and enhanced product assortment in-store and online.
 
  • Net sales of Ontario wine through LCBO wines and Vintages were $505.1 million. Total net sales of 100 per cent Ontario VQA wine hit a record-breaking $162 million
  • Locally produced craft cider increased 42 per cent to 16.3 million
  • Sales of local craft beer were $152.6 million, up 19.6 per cent over the previous year
  • Ontario small distillers continued to see sales growth, up 44.7 per cent to $15.7 million
  • Approximately 380 LCBO stores have staff designated as local Ontario Wine Country Ambassadors
  • 4,125 retail employees completed a self-study guide focusing on VQA education
  • LCBO’s popular Food & Drink magazine features Ontario wine and winemakers in all issues, while the annual issue of fall issue of Food & Drink has a special showcase of all things local
SUPPORT OF LOCAL ONTARIO COMMUNITIES
The LCBO’s commitment to Ontarians extends beyond convenience and choice. The LCBO is recognized by Ontarians for actions that support responsible retailing and for promoting a culture of moderation; product quality and safety; environmental sustainability and community involvement and fundraising.
 
  • 10 per cent increase in overall fundraising with a total of $12,542,407
  • $2 million to MADD Canada (Mothers Against Drunk Driving)
  • $4.6 million to children’s hospitals including Children’s Health Foundation, McMaster Children’s Hospital Foundation, SickKids Foundation, and the Children’s Hospital of Eastern Ontario (CHEO) Foundation
  • $4.3 million to the United Way
  • $800,000 #TorontoStrong to support the victims of the Yonge Street van attack and the Danforth shooting tragedies
  • 93 per cent waste diversion rate
  • Completed the lighting retrofit of the Retail Service Centre resulting in projected 479 tons of CO2 reduction
  • Partnered with taxi companies across the province and Toronto Police Services for the annual festive Ride Program
  • Total challenges for all reasons: 13.1 million
  • Total refusals for all reasons: 241,510

Annual Financial Statements