A good June for Virginia’s sportsbooks saw the market surpass $100m in total gross gaming revenue for the first time since the market launched, according to PlayVirginia, which tracks the Old Dominion state’s gaming market.
June saw Virginia’s sports betting volume grow for the first time in three months, while gross gaming revenue remained strong due to betting on sports such as golf and tennis.
Jessica Welman, an analyst for the PlayUSA.com Network, which includes PlayVirginia, commented: “Sportsbooks are capitalizing on individual sports like golf, which are predominantly futures bets with significantly lower odds for bettors than more conventional bets on sports like football.
“Those bets are particularly important during the summer when volume drops. And it puts sportsbooks in an excellent position as the football season nears.”
According to data from the Virginia Lottery, the state’s sportsbooks accepted $234.9m in wagers in June, up 3.5% from $227m in May. They also took in $7.8m in wagers per day during the month, up from $7.3m per day in the previous month.
June’s wagers produced $22m in gross gaming revenue, down 5% from the $23.2m achieved in May, but still the third-most since the market launched in January. Adjusted gross revenue hit $14.9m, falling short of May’s $15.7m. June’s results yielded $2.3m in state taxes, including $56,850 for problem gambling support.
Virginia’s sportsbooks have now produced $107m in gross revenue since launch. Yet, promotional credits have sapped the majority of the win, even as adjusted gross revenue has risen significantly over the last two months. Sportsbooks have produced $49.3m in adjusted gross revenue.
Dann Stupp, an analyst for PlayVirginia.com, stated: “The good news is that revenue is headed in the right direction, which ultimately benefits the state in the form of more tax revenue. An increase in promotional spending should be expected during football season, though. That could blunt the effects of the rising volume that will come this fall.”
Analysis from Legal Sports Report, PlayViginia’s sister site, reveals FanDuel Sportsbook has dominated the Virginia sports betting market, generating $656.9m in wagering from the market’s launch through June, which is 49.5% of the $1.3bn in wagers made in the state over that time. FanDuel’s promotional spending was estimated at $19.6m over that time, the most of any operator.
DraftKings was second with $337.1m in wagers, 25.4% of the state’s total handle. However, its promotional spending was $10m over that time, nearly half of FanDuel’s.
FanDuel and DraftKings were followed by: BetMGM ($217.6m handle; $6.4m promotional spend); William Hill ($94.2m; $7.3m promotional spend); BetRivers ($14.6m; $1.4m promotional spend); Unibet ($4m; $455,526 promotional spend); and WynnBET ($4m; $455,526 promotional spend).
Stupp added: “A market share of nearly half is an incredibly strong position to be in for FanDuel. Amazingly, FanDuel’s overall market share has slipped a bit since March. The question is whether rival operators can continue to erode FanDuel’s position, even if the gap is far too large for any operator to overcome.”