The Keystone State’s sports betting operators hauled in 48.4% more gross gaming revenue in August than the same month in 2023.
Behind a handle of $485.3 million, up 23.5% year-over-year, the Pennsylvania Gaming Control Board reported that online and retail sportsbooks combined for $45.4 million in monthly revenue.
Helped by the Olympics, a heated MLB playoff race, NFL preseason, and an early start to the college football season, the $30 million in adjusted gross revenue almost reached the gross total of $30.6 million from Aug. 2023.
August’s 9.4% hold from gross revenue was up over 1.5 points year-over-year but down more than three points from July when Pennsylvania sportsbooks racked up $52.7 million of profit on a smaller handle of $414.7 million.
Online sports betting accounted for $457.6 million of the total handle while mobile operators hauled in $41 million behind a 9% hold. Retail sportsbooks held up even better against bettors with a 16% win rate that produced $4.5 million of revenue on an in-person wagering handle of $27.7 million.
The Keystone State filled its coffers with $10.2 million, nearly $3 million more than last year’s tax haul.
Attracting customers
Spending money to make money was a summer trend for Pennsylvania sportsbook operators that continued into August. While handing promotional credits isn’t abnormal in a state that allows operators to use unlimited deductions against Pennsylvania’s 34% tax rate, the public racked up big time in August.
Operators dolled out $15.4 million in promotional credits for the month, up nearly 80% from the $8.6 million given in Aug. 2023. Sportsbooks also spent more in August than July’s $14.1 million.
FanDuel’s handle rises 22%
| Operator | August Revenue | YTD Revenue |
|---|---|---|
| FanDuel | $175.3 million | $18.2 million |
| DraftKings | $123.1 million | $11.1 million |
| BetMGM | $34.3 million | $2.8 million |
| bet365 | $28.1 million | $2 million |
| BetRivers | $24.6 million | $2.2 million |
| Fanatics Sportsbook | $21.8 million | $2.1 million |
FanDuel’s online handle of $175.3 million in August was $10 million higher than in July, but revenue of $18.2 million fell 22.2% month-over-month despite the hold staying in double digits.
DraftKings endured a similar pattern with a handle of $123.1 million which was up from the previous month but the $11.1 million revenue was lower. BetMGM finished with the third-highest handle at $34.3 million.
In its first full month of operation in the Keystone State, bet365 landed fourth on the list of handles, bringing in $28.1 million. The online sportsbook launched in late July and has already claimed $2 million in gross revenue.
Two casino partners combined to help BetRivers round out the top five with a $24.6 million handle while Fanatics Sportsbook recorded a 9.7% hold on a $21.8 million handle.
bet365’s early success and Fanatics’ solid month knocked ESPN BET down in the pecking order, but the online sportsbook was the only other operator to surpass $20 million in wagers in August, something
Caesars fell short of with a handle of $17.9 million.
Total gaming improves
Pennsylvania’s total gaming revenue for August reached $510.17 million and increased 11.6% year-over-year. In-person table games and slots, online casinos, sports betting, video gaming terminals, and fantasy sports combined to produce $215 million of tax revenue for the Keystone State.
Online casinos generated $183.7 million in revenue, up from the $145 million produced in Aug. 2023 but down from July’s $207.7 million. Still, iGaming operators paid out nearly $82 million in taxes to the state.
