Pennsylvania is a competitive sports betting state, and the relatively new operators have to face not just the giants of FanDuel and DraftKings but also a handful of lesser known sportsbooks who have built a reliable customer base.
That being said, in the quieter sports betting months (like February), everyone deals with a weaker market.
The Pennsylvania Gaming Control Board reported $661.7 million in wagers last month, a nearly 23% decline compared to January. From those bets, the sportsbooks made $50.4 million in gross revenue, which is an even worse 48% month-over-month drop.
Those in the Keystone State may also get a sense that there were fewer promotions, and they would be right. Promo deductions fell from $27.7 million to $20.1 million, the lowest since August.
The retail locations are still a small piece of the state’s betting market, seeing just 5.1% of the action. However they have been good to bettors as the physical locations held just 6.1% of the tickets they paid out, while the online operators kept 7.6%.
The state’s tax bill from Pennsylvania sports betting also came up short, collecting $10.8 million versus the $25.1 million in the previous month.
Revenue troubles in the top 5
Certainly, it is important for operators to report a large handle, it shows their popularity and potential in the state. But revenue is also a key indicator of strength and for two of the top five sportsbooks, March can’t come soon enough.
| Operator | February Handle | Revenue |
|---|---|---|
| FanDuel | $276 million | $17.7 million |
| DraftKings | $177.2 million | $7.6 million |
| ESPN BET | $52.2 million | $1.1 million |
| BetMGM | $36.7 million | $436,000 |
| Caesars | $31.5 million | -$502,000 |
| BetRivers | $23.5 million | $1 million |
| SugarHouse | $16.6 million | $418,000 |
| BetFanatics | $15.9 million | $404,000 |
| BetParx | $14.9 million | $664,000 |
BetMGM, who is usually a top-three sportsbook, fell to sixth in revenue. And Caesars, who made it in the top five in bets, did not see the same success with its revenue. The book was also dead last in gross profits among the 18 sportsbooks, 13 of which have online books.
