Player spending on online sports betting in New York has experienced a significant downturn, marking its lowest total in ten months as of June. With the revenue figures reflecting the trends, the numbers hit their smallest monthly total since February. New York’s total monthly handle for June reached $1.47 billion, showing a substantial drop from May's $1.97 billion but still clocking a 25.6% increase from June 2022.
Interestingly, the gross gaming revenue for June stood at $133.9 million, which is 29.0% higher compared to the same month last year. However, this figure represents a 34.1% decrease from May's revenue, which indicates a significant monthly fluctuation. Factors contributing to this decline include the conclusion of the NBA and NFL finals in early June, both of which did not feature New York teams. This occasional lull in activity is compounded by the trend of lower sports betting engagement during summer months across New York and the United States.
Operators' Performance
FanDuel emerged as the leading operator in June, generating $67.1 million in revenue from $571.3 million in wagers. The company also made a substantial contribution to state taxes, paying $34.2 million for the month, and has nearly contributed $998.3 million since January 2022. DraftKings followed, with $40.9 million in revenue from a $521.6 million handle.
Other operators like Caesars and BetMGM posted $6.8 million each in revenue, but from differing handles of $127.7 million and $100.6 million, respectively. Fanatics reported a handle of $67.3 million and revenue of $6.7 million, yielding a 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 generated $66,665 off $1.5 million wagered.
Seasonal Influences and Future Trends
June's numbers provide insight into the seasonal trends affecting the sports betting industry. The period is often quieter, with major sports leagues entering their off-seasons and fewer high-stakes events to captivate bettors. Although the MLB season runs through summer, it traditionally does not drive significant betting activity compared to other sports. notwithstanding notable events like horse racing's Belmont Stakes, golf’s US Open, and the ongoing Copa América football tournament, held in the US for only the second time this year, summer months typically see a decline in wagers.
Despite June being the strongest of the summer months for sports betting, the figures often decline further in July. A slight recovery is noted in August, before the sports betting market heats up again in September with the kickoff of the NFL season. The NFL consistently drives high engagement and wagering, suggesting a likely resurgence in player activity towards the end of the year.
As New York continues to navigate these seasonal ebbs and flows, the online sports betting market remains a dynamic and crucial component of the state's gaming revenue. With significant contributions from key players like FanDuel, DraftKings, and others, the market is poised for robust activity as the fall season approaches, with expectations of renewed enthusiasm and increased wagering. This cyclicality underscores the importance of understanding and anticipating the varied influences, both sporting and seasonal, that shape the landscape of sports betting. As always, the interplay of these factors will continue to generate interest and intrigue among industry observers and participants alike.