The sports betting landscape in New York saw a significant shift in June, with player spending on online sports betting dropping to its lowest level in ten months. This marked a notable decline in activity, falling to levels last observed in August last year.
Revenue figures for online sports betting similarly saw a slump in June, tallying the smallest monthly total since February. The total handle for June was recorded at $1.47 billion, a figure that illustrates a 25.6% increase from the previous June. However, it also represents a 25.4% decrease when compared to May's $1.97 billion.
Gross gaming revenue reached $133.9 million for June, which, despite being 29.0% higher year-on-year, fell 34.1% short of May's earnings. Summer months generally see a downturn in sports betting across New York and the entire United States, partly due to the conclusion of major sports events and the absence of high-stakes championships featuring local teams. Neither the NBA nor the NFL finals, both concluded early in June, had a New York team competing for the title.
Operator Performance
FanDuel led all operators, reporting $67.1 million in revenue from $571.3 million in total wagers for the month. The company made a significant tax contribution of $34.2 million for June alone, contributing to its nearly $998.3 million paid into state coffers since January 2022.
DraftKings followed with $40.9 million in revenue derived from a $521.6 million handle. Caesars saw customers stake $127.7 million, resulting in $6.8 million in revenue, while BetMGM reported the same amount in revenue from $100.6 million wagered. Fanatics reported a handle of $67.3 million with $6.7 million in revenue, achieving a hold percentage of 9.96% for the month.
Rush Street Interactive generated $2.5 million from $68.8 million in wagers, BallyBet posted revenues of $658,294, and Resorts World recorded $572,891. Wynn Interactive, though generating the smallest revenue, accrued $66,665 off $1.5 million wagered.
Seasonal Influences
The MLB season, which spans the summer months, traditionally does not drive substantial betting activity. June includes other notable sports events like horse racing’s Belmont Stakes, golf’s US Open, and the Copa América football tournament, which is hosted in the US for only the second time this year. Despite these events, the overall betting activity during the summer remains subdued. The number of bets typically declines further in July before seeing a slight recovery in August. The sports betting market traditionally heats up again in September with the start of the NFL season, a period known for high engagement and wagering.
June is typically the strongest of the summer months for sports betting, yet the figures indicate fewer high-stakes events captivating bettors during this period. As such, a drop in betting activity is to be expected. However, the market in New York is projected to see robust resurgence with the onset of the NFL season in September, which consistently drives substantial betting activity.
This fluctuation underscores the seasonal nature of sports betting and the significant impact major sporting events have on wagering behavior. As the summer progresses, operators and stakeholders will be looking forward to the NFL season to inject fresh momentum into the market.