Continuing an upward trajectory on numerous fronts, Pennsylvania set a bevy of gaming records in December, ending a historic year on a high note.
Bolstered by the first full month of operations at gross sports wagering revenue of $72.5 million in December, the highest on record. The amount tops the previous high of $63.7 million attained in November 2021. The flurry of activity led to a record month from all forms of gaming, along with fantasy contests, according to the Pennsylvania Gaming Control Board (PGCB), which released its December monthly report on Thursday.
The PGCB monitors sources of gaming revenue from sports wagering, iGaming slots and table games, retail slots, retail table games, iGaming poker, video gaming terminals, and fantasy contests on a monthly basis. The statewide total for gaming revenue in December reached $534.2 million, suring the prior record of $515.3 million in March 2023.
The state also set a monthly record for iGaming revenue with $165.1 million on the month. The amount exceeded the previous record of $159.5 million last September.
Eclipsing $7B in handle on the year 585r3m
For the second consecutive month, Pennsylvania bettors wagered more than $900 million with the state’s retail sportsbooks and betting apps. Although operators handled $925.6 million on the month, the total fell short of November’s all-time record by approximately $9 million. Still, the December total represents an increase of 22.6% from the final month of 2022.
The state ended 2023 with a up from 5.3% in the previous month.Â
Running all-time post-PASPA Top 10 #SportsBetting handle (Dec. in CAPS)
1 NEW JERSEY ~$45.7B
2 Nevada $36.88B
3 NEW YORK $35.85B
4 Illinois $28.96B
5 Penn. $25.65B
6 Colorado $15.06B
7 INDIANA $14.84B
8 Michigan $13.11B
9 Virginia $13.09B
10 Arizona $12.95B#SportsBettingX— Chris Altruda (@AlTruda73) January 17, 2024
The PGCB reports monthly sports betting revenues by casino licensee, rather than sportsbook operator. Valley Forge Casino Resort in King of Prussia reported a state-high sports wagering handle of $394.4 million on the month. The casino, which is home to a FanDuel retail sportsbook, finished in the red on the brick-and-mortar side with retail revenue of -$5,538. But with online sports wagering revenue of $39.1 million in December, Valley Forge nearly generated revenues of $40 million on the month.
Only two casinos statewide reported sports betting handle in excess of $100 million last month. Hollywood Casino at the Meadows reported monthly handle of $235.7 million, finishing a clear second behind Valley Forge. The strong month, however, translated to sports wagering revenue of $19.2 million, also second in the market.
Promo intensity declines at ESPN BET 2h4657
On Wall Street, a number of leading gambling analysts are keeping a close eye on promotional intensity at ESPN BET, as the worldwide leader embarks on its first year in the sports betting space. Many analysts expected ESPN to make a splash in mid-November when the company made its highly-anticipated sports betting launch. The debut at the heart of the football season came several months after PENN Entertainment forged a transformative partnership with ESPN, essentially swapping Barstool Sportsbook for ESPN BET.
In November, ESPN BET spent heavily on various offers, racking up $14.8 million statewide in promotional credits. Following the initial wave of new customer s, promotional spending at ESPN BET fell to $8 million in December, a positive sign for PENN as the company attempts to retain customers organically. When factoring in promotional credits, PENN’s combination of ESPN BET and Barstool posted a net monthly loss of $7.8 million in November. With the reduction in promos in December, the operator swung to a gain of $531,311.
Just turned this on. ESPNBET had a commercial touting their personalities without any mention of promos for sign up. Then these guys came on with ZERO ESPNBET signage anywhere. pic.twitter.com/McyZkFfs8I
— SteveBrubaker (@stevebrubaker) January 6, 2024
Sportsbooks could be in for a slight regression in January. Two Pennsylvania teams, the Philadelphia Eagles and the Pittsburgh Steelers, saw their seasons come to an end during the NFL’s Super Wild Card Weekend. The Eagles advanced to the Super Bowl last year, where the NFC champs fell in dramatic fashion to the Kansas City Chiefs. In college football, Penn State lost to Ole Miss in the Peach Bowl, contested two days before New Year’s Day. A season earlier, Penn State completed its campaign with a win over Utah in the 2023 Rose Bowl, played on the second day of the new year.
For all forms of gaming and fantasy contests, the state generated total tax revenue of $217.9 million in December. Of that amount, the state generated $26.1 million in tax revenue from sports wagering, the PGCB announced.
