Pennsylvania’s sportsbooks smashed the state’s revenue record in November with nearly $85m from more than $760m in wagering, according to PlayPennsylvania, which tracks regulated online gaming and sports betting in the state.
Katie Kohler, analyst for PlayPennsylvania.com, commented: “Football has spurred the current spike, but the wave that sportsbooks are riding is about more than one game or one sport. November had one less weekend of football than in October, but the NBA and college basketball have proven to be formidable bet generators, too.
“Online sportsbooks continue to expand their reach, and bettors are becoming increasingly comfortable with diverse forms of betting. It’s hard to imagine sportsbooks being in a better position heading into the typically busy winter months.”
According to official data, Pennsylvania’s sportsbooks handled $761.6m in November wagers, the second-most ever for the state, up 54.8% year-over-year (November 2020: $491.9m). Although it fell short of October’s record $776.3m, betting volume over the 30 days increased to $25.4m per day from $25m in the previous month.
The state’s sportsbooks earned $84.9m in November revenue, destroying the previous record of $49.3m set in January, and a 75.1% improvement YoY (November 2020: $48.5m), creating $63.7m in taxable revenue after $21.3m in promotional spending, and yielding $23m in state taxes and local share assessments.
Dustin Gouker, analyst for PlayUSA.com Network, which includes PlayPennsylvania.com, stated: “Other than in 2020, when the pandemic shut down major sports, the growth in Pennsylvania has been relentless. December and January are typically two of the stronger months of the year, too, so the jaw-dropping revenue numbers will likely continue.”
Online sportsbooks generated $704.1m in November wagers, with FanDuel taking the biggest market share of that with 33.9% or $238.6m. Its revenue was by far the highest all-time for any operator with $37.1m.
DraftKings followed with $215.0m ($15.8m gross revenue), with Penn National’s Barstool-branded app third with $74.3m ($8m gross revenue).
Retailers produced $57.5m in wagers, an improvement on October’s $53.5m, yielding $8.6m in gross revenue. Rivers Pittsburgh led retailers with $9.6m, edging Rivers Philadelphia’s $9.2m.
Kohler added: “Retailers have steadied after struggling through the pandemic, but they still have significant challenges ahead. A more normal retail betting environment is growing closer, but it’s not here yet.”
Online casinos and poker rooms hit $114.5m in gross gaming revenue, falling short of October’s record $117m, but up 58.1% YoY (November 2020: $72.4m).
Online casinos earned $3.8m in gross gaming revenue per day, nearly identical to the previous month’s pace. Online casino games and poker produced $93.9m in taxable revenue, yielding $39.1m in state taxes and local assessments.
Kohler concluded: “There was once a time when there was concern that Pennsylvania’s relatively high tax rate would stunt the industry’s growth, particularly sports betting and online casino gaming.
“Those concerns have long since been alleviated. And now Pennsylvania is one of the most productive markets in the country in terms of revenue that it generates for the state.”
