New York Sports Betting Sees Seasonal Decline in June
In a stark reflection of seasonal trends, player spending on online sports betting in New York has plunged to its lowest point in ten months. June's total handle stood at $1.47 billion, marking the smallest monthly total since February. Despite this drop, the figure represents a 25.6% increase from June of the previous year, demonstrating an overall growth in the market over time.
June's handle also reflects a significant 25.4% decline compared to May's $1.97 billion, underscoring the seasonal fluctuation often seen in sports betting. Similar low spending levels have not been observed since August 2023, when the total wagered reached $1.11 billion. Gross gaming revenue for June came in at $133.9 million, a figure that is 29.0% higher year-on-year but fell short by 34.1% compared to May's total earnings.
Impact of Major Sports Leagues
The completion of the NBA and NFL finals in the early weeks of June contributed to this decline. With neither of the finals featuring New York teams, local interest and wagering were notably lower. Consequently, June's revenue was only slightly higher than February's $131.4 million. The seasonal nature of sports betting is further evident as summer months traditionally see quieter activity across New York and the broader United States.
FanDuel emerged as the leading operator, generating $67.1 million in revenue from $571.3 million in total wagers. The company contributed $34.2 million in taxes for June and has paid nearly $998.3 million into state coffers since January 2022. DraftKings followed with $40.9 million from a $521.6 million handle. Other notable operators included Caesars, with $127.7 million staked resulting in $6.8 million in revenue, and BetMGM, which reported $6.8 million in revenue from $100.6 million wagered.
Fanatics reported a handle of $67.3 million and achieved $6.7 million in revenue, posting a commendable hold percentage of 9.96% in June. Rush Street Interactive generated $2.5 million from $68.8 million in total wagers, while BallyBet and Resorts World posted revenues of $658,294 and $572,891, respectively. Wynn Interactive recorded earnings of $66,665 off $1.5 million wagered.
Seasonal Factors and Future Projections
The MLB season, which runs through the summer, typically does not drive substantial betting activity compared to other major sports leagues. June’s calendar did include notable events like horse racing's Belmont Stakes, golf’s US Open, and the Copa América football tournament, which is taking place in the US for only the second time. Despite these events, June is generally the strongest month for sports betting in the summer, with activity often declining further in July before a slight recovery in August.
As the major sports leagues enter their off-seasons, fewer high-stakes events are available to captivate bettors, resulting in expected declines in wagering activity. However, industry experts anticipate a robust resurgence in New York’s sports betting market with the onset of the NFL season in September, which consistently drives high engagement and wagering.
In summary, while New York’s sports betting figures for June reflect a seasonal dip influenced by the conclusion of major sports finals and the overall quieter summer months, the market shows resilience year-on-year. The future looks promising with the return of major leagues, particularly the NFL, which will likely reignite betting fervor and drive significant revenue once again.