Player spending on online sports betting in New York has plummeted to its lowest total in ten months as of June. This decline marks a significant shift in the betting landscape, underscoring the seasonal fluctuations and the impact of high-stakes sporting events on wagering behaviors.
June's Turnover: A Mixed Bag
June's total handle for New York was recorded at $1.47 billion, representing a staggering 25.4% drop from May's $1.97 billion. Despite this, the figure still highlights a 25.6% increase from June of the previous year. Gross gaming revenue for the month stood at $133.9 million, showcasing a 29.0% boost year-on-year, yet falling short by 34.1% compared to May's earnings. The revenue for June was marginally higher than the $131.4 million posted in February.
The Seasonal Slump
Several factors contribute to this decline, most notably the conclusion of the NBA and NFL finals in the early weeks of June. Neither event featured a New York team, which historically drives local betting interest. Furthermore, major sports leagues enter their off-seasons during this period, leaving fewer high-stakes events to captivate bettors. June, amidst its traditional quiet spell, includes prominent events such as horse racing's Belmont Stakes, golf’s US Open, and the Copa América football tournament, which is being hosted in the United States for only the second time this year. Despite these events, the MLB season, continuing through the summer, does not typically draw significant betting activity.
Operator Performance
In the operator space, FanDuel led the pack, reporting $67.1 million in revenue from $571.3 million in total wagers for June. The company contributed an impressive $34.2 million in taxes for the month, adding to its cumulative state tax payments of nearly $998.3 million since January 2022. DraftKings followed closely, generating $40.9 million from a $521.6 million handle.
Caesars saw customers stake $127.7 million, resulting in $6.8 million in revenue. BetMGM reported similar earnings of $6.8 million from $100.6 million wagered. Emerging player Fanatics reported a handle of $67.3 million and revenue of $6.7 million, with a notable hold percentage of 9.96% for June. Rush Street Interactive generated $2.5 million from $68.8 million in total wagers. Meanwhile, BallyBet posted revenues of $658,294, with Resorts World and Wynn Interactive reporting revenues of $572,891 and $66,665, respectively.
Summer Trends and Future Projections
The downturn in June is characteristic of broader seasonal trends. Summer months typically see a lull in sports betting across New York and the United States. June is often the strongest of these slower months, with numbers expected to decline further in July before a slight recovery in August. This cyclical pattern sets the stage for a robust resurgence come September with the onset of the NFL season, a consistent driver of high engagement and wagering. This anticipated revival should help the market regain its footing and potentially surpass previous records.
While this June marks a notable low in betting activity, the factors behind it are predictable and well understood in the context of annual patterns. As New York eagerly awaits the fall kickoff, stakeholders remain optimistic for a strong rebound.
In a landscape defined by dynamic shifts and seasonal influences, the world of sports betting continues to evolve, reflecting broader trends in consumer behavior and the ever-changing sports calendar.