The first month of mobile sports betting sites in the Bay State produced more than half a billion dollars in wagering — and a win for a Boston-based bookmaker.
Numbers reported Tuesday by the Massachusetts Gaming Commission (MGC) show there was approximately $568.1 million in legal sports betting in the state during March, when online bookmakers were first allowed to take action in the commonwealth.
Massachusetts sports betting officially began on January 31, when three casinos began taking event wagers. Online sports betting started on March 10, and six operators were accepting action in the state last month.
Retail sports betting handle at the casinos in March was nearly $20 million, according to the MGC's numbers. Mobile sports wagering was $548.1 million for March, or about 96.5% of the total handle for the month. In February, when there was only retail wagering available in Massachusetts, the state's sports-betting handle was around $25.7 million.
Numbers for the first month of online sports betting in Massachusetts are out. According to the Massachusetts Gaming Commission, there was $548.1M in mobile and almost $20M in retail sports wagering last month in the commonwealth. Total revenue was $48.3M, hold 10.35%, tax $9.3M. pic.twitter.com/7R2nReKfGo
— Geoff Zochodne (@GeoffZochodne) April 18, 2023
Brick-and-mortar sportsbooks managed to turn their handle into $1.5 million in gross revenue, making for a hold for March of 9.56%. Meanwhile, mobile sportsbooks generated $46.8 million in gross revenue in Massachusetts last month, or a win rate of 10.74%. Combined, retail and mobile operators boasted a hold of 10.35% for March.
After deducting the federal handle fee paid by operators, taxable sports betting revenue last month in Massachusetts was approximately $47.1 million, $45.6 million of which was attributable to online bookmakers. The total tax collected by the state for the month's wagering was $9.3 million.
Retail sports wagering is taxed at a 15% rate in Massachusetts, while mobile betting is subject to a 20% levy. Operators can't deduct the value of free bets and other promotions from their taxable revenue.
Good company
The latest wagering reported in Massachusetts places it in the higher echelons of legal wagering in just the first few months of availability. The March handle for Massachusetts was larger than more mature markets that have reported thus far, such as Indiana, and slots in behind bigger states like New Jersey and New York.
DraftKings took advantage of its home-state ties and led all online operators in Massachusetts during March, with $257.6 million in wagering and $16.1 million in revenue reported by the Boston-based bookmaker.
The local connection could have helped DraftKings best its chief rival in Massachusetts, for now at least, as FanDuel finished second for the month in handle with $181.1 million in wagering and $16.3 million in revenue.
