Pennsylvania Sports Betting Growth Offset Land-Based Decline in September

Pennsylvania sports betting growth helped offset the decline in the land-based gambling sector in September. Thus, the state announced a 6.2 percent year-over-year increase in the state’s gambling revenue.

Pennsylvania Gaming Control Board (PGCB) data shows that September revenue was $505.9m (£387.9m/€466.5m). Although it is 3.7% lower than August of this year, it is still higher than last year’s total. Pennsylvania saw a 46.1% year-on-year increase in adjusted gross revenue to $53.5m, with sports betting being the category with the most considerable growth. Among them, $6.3 million was wagered at brick-and-mortar sportsbooks throughout the state, while $47.2 million was wagered online.

According to bookie pay per head reviews and news sites, monthly handling increased by 11.7% year-over-year, reaching $811.3m in player spending. This resulted in a 6.59% hold on taxable revenue for the entire state.

Pennsylvania Sports Betting Growth

Regarding operators, FanDuel and its Pennsylvania partner, Valley Forge Casino Resort, are still far and away the best. With $320.5 million in bets, the month’s revenue was $27.4 million, yielding an 8.55 percent hold. With $13.1 million in revenue on a $237.2 million handle, DraftKings and Hollywood Casino at the Meadows are still in second place. A 5.52% hold on September taxable revenue is the result of this. With $2.5 million of $53.5 million, or 4.67% hold, Hollywood Casino Morgantown and BetMGM were well behind in third place.

Now, let’s talk about iGaming. September revenue was $176.7m, a 10.8% rise compared to the previous year. The record-breaking $183.7m recorded in August was surpassed, but this falls short. The second-biggest source of income in Pennsylvania, online slot machines brought in $132.0 million, an increase of 15.1% year-on-year. Although poker declined 7.2% to $2.2m in revenue, internet table games saw an increase of 0.2% to $42.4m.

With a revenue of $66.9 million, Hollywood Casino at Penn National Race Course continues to dominate this category, a 3.2% increase over last year. Valley Forge Casino gained momentum with a 33.0% rise to $47.1 million. Third place went to Rivers Casino Philadelphia, whose $31.5 million in sales was a 7.7 percent increase from the previous year. However, some players are leveraging the advantage of using an offshore sportsbook despite the availability of legal sports betting sites.

Drop in Land-Based Gambling Market

The land-based sector in Pennsylvania continued to decrease, in stark contrast to the expansion of igaming. Although it fell 1.5% to $197.7m, slots revenue is still much more than any other source of income for the state. Additionally, sales of physical table games fell 2.3% to $73.5m.

Nonetheless, September’s income from video gaming terminals increased by 3.6 percent to $3.4 million. Lastly, the revenue from fantasy sports dropped 4.8% to $1.9 million.

Traditional brick-and-mortar casinos have some good news. According to Pennsylvania’s gaming authority, land-based gambling income for the most recent fiscal year was close to last year’s record high, largely thanks to the increased popularity of fully automated table games. According to the Pennsylvania Gaming Control Board, such items resulted in a substantial 87% rise in income, hitting $12.7 million.

The total income from land-based activities was $3.39 billion, with earnings from slot machines and table games coming in just short of $3.42 billion in the previous year. This occurred despite a 0.6% drop in slot machine revenue and a 1.6% drop in table games revenue from FY22/23 to FY23/24.

Igaming income increased by 27% to $1.9 billion compared to the previous fiscal year. A record-breaking $8.1 billion was wagered on sporting events, a 13% increase from the prior year. Pennsylvania recorded a tax income of $2.5 billion, with overall gaming revenue across verticals reaching $5.9 billion, an increase of 6.8 percent.

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