Kentucky ended 2024 with an 11% year-over-year increase in sports betting action.
The Kentucky Horse Racing and Gaming Corporation reported that $293 million was wagered in December 2024, the second-highest handle behind November 2024’s $301.7 million. This marked the fourth consecutive month with action exceeding $250 million.
However, the lowest hold on gross revenue produced yet in the Bluegrass State led to only $20.2 million in profit, a 38% decrease from December 2023 and down nearly 45% month-over-month.
Similar to October, when Kentucky’s online and retail operators produced a 7.7% hold, NFL favorites had great success in the final full month of the regular season. Bettors cashed in, leading to a 6.9% hold on gross revenue that was down five points from November.
The adjusted revenue of $19.5 million came on a 6.7% hold, also the lowest ever in Kentucky.
The Bluegrass State hauled in $2.9 million in tax revenue, down from the $5 million received in November.
Exceeding projections
Kentucky’s first full year of sports betting generated $2.6 billion in wagers and $283.7 million in gross revenue from a 10.7% hold. Adjusted revenue reached $276.9 million behind a double-digit win rate.
When sports betting first began in the Bluegrass State in 2023, officials projected $23 million in annual tax revenue. In 2024 alone, the state collected $39.3 million. Kentucky has filled its coffers with nearly $55 million in 15 months of operation.
DraftKings nearly generates $1 billion
| Operator | December Handle | Revenue |
|---|---|---|
| DraftKings | $111.7 million | $8.7 million |
| FanDuel | $95.4 million | $9.1 million |
| bet365 | $23.9 million | $991K |
| BetMGM | $14.6 million | $637K |
| Caesars | $13.4 million | $670K |
| Fanatics Sportsbook | $13 million | $843K |
Legal online sports betting generated $285.5 million in wagers and $20.3 million in gross revenue during December.
DraftKings nearly matched its record-setting November with a December handle of $111.7 million, down about $700,000 from the previous month. Gross revenue fell from $15 million to $8.7 million month-over-month.
The online sportsbook finished 2024 with the highest handle, falling less than $2 million shy of $1 billion in the amount wagered for the year.
FanDuel generated a higher profit margin in December, receiving $9.1 million of gross revenue on a $95.4 million handle. FanDuel’s 9.5% hold was the highest among all eight online operators, and the online sportsbook finished second in yearly handle with $862 million in 2024.
No other sportsbook reached $1 million in revenue during December. bet365 finished third with a $23.9 million handle while BetMGM, Caesars, and Fanatics Sportsbook all reached $13 million.
Circa Sports lost over $800,000 on a handle of $6.8 million to end in the red for 2024. On $6.7 million in wagers, ESPN BET generated a 3.2% hold in December but still profited $7.2 million for the year.
Retail falters again
Brick-and-mortar sportsbooks took a nearly $52,000 loss on a $7.6 million handle in December. Adjusted revenue finished $70,000 in the red.
It’s the second time in three months that retail sports betting operators took a loss. In October, three of the eight shops reported adjusted revenue numbers in the red.
For the year, retail sportsbooks produced a 7.8% hold on $93.3 million in wagers to finish with $7.3 million in gross revenue.
