Online gaming revenue rose 72% in Rhode Island’s second month of operations as Bally’s made more than $2 million in adjusted gross revenue.
As the only licensed online gaming operator in the state, Bally’s is the sole source of the Ocean State’s iGaming revenue. The Rhode Island Lottery’s latest figures showed that it took $48.0 million worth of bets in April, which was its first full month of offering online slots and live dealer table games. That handle yielded $2.1 million in net gaming revenue.
Online slots generated nearly two-thirds of that revenue at $1.3 million, while online table games generated around $740,000. Although those live dealer games are still the minority in terms of money generated, the category’s revenue rose more than 210% month-over-month.
In March, Bally’s overall revenue was $1.2 million from a $31.1 million handle, although the Providence-headquartered company only went live on March 5.
Rhode Island is the seventh U.S. jurisdiction to launch regulated iGaming. Although the legislation was passed last June by Gov. Daniel McKee, it took eight months for Bally’s to launch online.
The operator has a 20-year no-bid exclusive contract to offer online gaming in the state via its Twin Rivers Lincoln Casino Resort and Tiverton Casino & Hotel properties, in partnership with the likes of IGT and Stakelogic.
Rhode Island is the newest and second-least-populated state to launch iGaming, so it’s hard to compare it with other regulated jurisdictions. The best bet in that regard is likely Delaware, which has a similar population of slightly over one million residents and recently relaunched online gaming with new partner Rush Street Interactive. Delaware posted $4.4 million gaming revenue in April.
When it comes to the state’s online sports betting, Bally’s revenue ticked up very slightly to $2.57 million in April from $2.49 million in March and $2.39 million in February. That was despite digital sports wagering handle falling from $37.0 million in March to $31.4 million.
Bally’s hails ‘strong start’ to 2024 amid buyout chat
In its Q1 2024 earnings call a month ago, Bally’s reported a 3.3% increase in revenue to $618.5 million, led by growth across its Casino and Resorts and North America Interactive segment.
It noted in particular that both its U.K. and U.S. iGaming operations performed well, with the latter posting the biggest growth within the company in Q1, with revenue rising 70% year-on-year to $41.5 million.
“Our iGaming operations in New Jersey and Pennsylvania continue to gain market share,” said CEO Robeson Reeves at the time. “We also successfully launched iGaming in Rhode Island in early March. IGaming revenue in Rhode Island have ramped nicely through April in accordance with expectations. We believe this momentum will continue to build through the balance of 2024.”
Reeves also noted that Bally’s plans to use online sports betting as a funnel for iGaming growth. Bally Bet intends to launch in Massachusetts this month.
This all comes as talk of a possible buyout continues to rumble.
Two years after an initial attempt at a buyout, Bally’s Chairman Soo Kim is again looking to take the company private. However, that has been met with dissent from some investors.
In an open letter to the Board of Directors, K & F Growth Capital Co-CIOs Dan Fetters and Edward King criticized the proposed buyout as “an undervaluation” that reflects the fact “the market has lost confidence in the company’s current strategy and financial stability.”
