While most state gambling coffers are slumping with the slowing of the sports calendar, Michigan online gambling had a solid month of revenue thanks to another month of strong online casino performance.
Online casino and poker sites in the state generated just over $127 million, down slightly from the record $132.4 million posted in April. Year-over-year, the figure represents a 34% increase from 2021. Industry growth has been relatively flat for the past three months.
BetMGM once again led the pack with 38.6% market share. FanDuel and DraftKings rounded out the top three operators with $20 million and $17.8 million respectively. No other operator generated more than $9 million in revenue.
The activity resulted in $6.4 million in taxes and fees for the state.
Sports betting, on the other hand, dipped 10% month-over-month. This dip is consistent across most states thanks to the winding down of both the NBA and NHL postseasons. In fact, it is on the lower side of seasonal variance compared to other states like nearby Indiana, which dipped 14% MoM. Even with the drop, Michigan sportsbooks still took $356 million in wagers during May. Thanks to a strong performance by the books and a 10.1% hold, revenue actually rose month-over-month from $32.6 million to $35.9 million. The state collected just shy of $1.3 million in sports betting tax revenue.
The top three performers by handle were FanDuel ($103.6 million), BetMGM ($85.4 million), and DraftKings ($69 million). FanDuel held a remarkable 15.2%, perhaps the result of the site’s popular NBA Same Game Parlays. FanDuel’s dominance is not exclusive to Michigan. Eilers and Krejcik analyst Chris Krafcik noted on Twitter that in April FanDuel did more business than the rest of its competitors combined:
Year-over-year growth of Michigan sports betting is in line with online casino, up 38.1% from last year. Comparatively, the market has grown in terms of operators, but not by much. There are currently 15 online operators in the state compared to 12 that were live in May 2021.
