Pennsylvania sports betting revenue drops over 35% YoY in August

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Pennsylvania’s sports betting revenue took a 35% annual hit in August, but rapid online casino growth meant that the market did show a 7.5% uptick in the last 12 months.

Per the Pennsylvania Gaming Control Board, sportsbook revenue was just $22m last month, compared to the $34m made in August 2022, marking a downturn of 35% YoY. 

Last month, sportsbooks handled $393m in bets, marking an uptick of 8.3% YoY, yet a tumbling hold rate which saw just two operators yield over $5m caused revenue to dwindle. 

Operators made $22m in revenue last month, considerably down YoY, with bettors getting favorable results against the books. 

Per operator, DraftKings took the most revenue last month, making $9.5m from its operations, whilst FanDuel was narrowly behind yielding $9.4m. 

No other operator made more than $3m from Pennsylvania last month, with BetMGM taking $2.8m, Barstool making $1.3m and Caesars taking $1.9m from the Keystone State. 

Declines were seen across the board, with DraftKings revenue dropping 19%, FanDuel’s by nearly 60% and BetMGM’s by over 32%, marking an anomaly of a month for Pennsylvania’s otherwise strong market.

Online casino performance offset the disappointing display from sports betting, with igaming taking $145m in revenue, up 35.3% YoY. This was broken down into $105.3m from slots and $37.3m in table games online, whilst $2.4m was generated from online poker games. 

Per operator, Hollywood Casino at Penn National Race Course took the top spot, making $60.3m in August from its online operations. Valley Forge Casino recorded 82.9% annual growth and came second in the revenue charts, yielding $32.4m, whilst the top three was rounded off by Rivers Casino, which made $28.1m. 

The largest contributor of revenue in the Keystone State was once again retail slot games, which provided $203.2m in revenue for casino operators., which was flat compared to one year previous. Retail tables, however, grew almost 6%, with income from the vertical reaching $82.7m.

In total, gaming operations in Pennsylvania generated $457.2m, up 7.5% YoY.