Pennsylvania hits record iGaming revenue, $800M sports betting handle in January

Overall gaming revenue in Pennsylvania was up 26% in January compared to last year, according to official figures from the state’s Gaming Control Board, posted on Friday. The combined revenue from all forms of gaming, along with fantasy contests, amounted to $393 million last month.

Most notably, however, the Keystone state reported a record in iGaming revenue of $108.3 million -eclipsing a former $102.9 million high-, while sports betting led to a monthly record in handle of almost $800 million.

Gross revenue from slot machines was $168.4 million, a 19.6% increase compared to last year, when Covid-19 safety measures were still in place. Meanwhile, revenue from table games was up 53.9% from January 2021, reaching $78.2 million last month.

Other sources of revenue include Video Gaming Terminals, which posted total adjusted revenue for January of $3.1 million -38.4% up-, and Fantasy Contests, which posted revenue of $2.9 million, a slight 0.5% decrease over January 2021.

Sports betting

Capitalizing on five weekends of football action last month, Pennsylvania’s online and retail operators broke in January the state’s monthly record for wagering. Sportsbooks in the Keystone State generated nearly $800 million in bets -$793.7 million-, up 29% from $615.3 million in January last year.

“Pennsylvania’s sports betting growth has lagged behind similarly-sized states like Illinois, but the growth has still remained consistent,” said Dustin Gouker, analyst for the PlayUSA.com Network. “Whether it’s sports betting or online casino gaming, more people are betting more often now than a year ago. And there is little reason to believe the growth will stop this year.”

Moreover, January’s handle also topped a prior record of $776.3 million, posted in October 2021. Online sportsbooks accounted for 92.9% of the handle, with FanDuel as the leader with $273.3 million in wagers. It was followed by DraftKings at $197.6 million in bets and BetMGM, with $84.4 million.

Meanwhile, retail sportsbooks posted $56.3 million in handle, down from $57.1 million in December. Rivers Pittsburgh placed first for the market with $9.2 million in bets, followed by Parx, at $8.3 million in handle.

Sportsbooks in the state won $53.4 million in gross revenue from wagers, up 8.3% from January last year and up 17.9% from December. They closed the month with $32.2 million in taxable revenue, yielding $11.6 million in state taxes.

“With five full weekends of NFL games for the first time ever in January, a full slate of NBA action, and college football’s national championship, anything less than a wagering record would have been a disappointment,” added Katie Kohler, an analyst for PlayPennsylvania.com.

Online casinos

iGaming also saw a record month in January. Coupled with the surge in sports betting, this led to one of the most lucrative months yet for the state’s online gaming industry.

Online casinos and poker rooms produced a record $130 million in GGR, slightly up from the previous all-time high of $127.6 million reached in December. Revenue was also up 42.5% from $91.2 million in January last year. This led to a record $108.3 million in taxable revenue and $44.6 million in state taxes.

“The popularity of online casinos have had a positive effect on online sportsbooks, especially with apps like DraftKings, BetMGM, and Barstool that have a strong foothold in both,” Kohler said. “In essence, online casino gaming is the tide that lifts all boats.”

Average GGR per day was $4.2 million (up from $4.1 million in December). Penn National topped the online casino vertical with $51.2 million in gross revenue, with Rivers Philadelphia placing second at $33.5 million.

Author: wpadmin

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