Player spending on online sports betting in New York experienced a significant decline in June, reaching its lowest point in ten months. The total amount wagered, or handle, for the month was recorded at $1.47 billion—marking a 25.4% decrease from May’s handle of $1.97 billion. Despite this drop, it still represented a 25.6% increase from the handle in June of the previous year.
June's gross gaming revenue, which stood at $133.9 million, also told a mixed story. While it was 29.0% higher compared to the same month last year, it fell 34.1% short of the revenue posted in May. The summer months in New York traditionally see a dip in sports betting activity, and June was no exception. This period's quieter nature is attributable to the off-seasons of major sports leagues, leading to fewer high-stakes events capturing the imagination of bettors.
Impact of Seasonal Sports Cycles
As the NBA and NFL finals concluded in the early weeks of June, neither featuring a New York team in contention, the fervor around these major leagues created a vacuum in the betting scene. Such cycles are expected, but the figures for June were notably stark. Not since August 2023, when consumers wagered $1.11 billion, has the betting activity been so low.
Interestingly, the MLB season, which runs through the summer, traditionally does not drive significant betting activity. June does have its share of events like horse racing's Belmont Stakes, golf’s US Open, and the Copa América, yet these have not managed to counterbalance the lull left by the dominant sports leagues' off-seasons. The Copa América took place in the US for only the second time this year, sparking some engagement, but not enough to offset the broader decline.
Leading Operators and Their Performance
In this contracting market, leading sports betting operators posted varied results. FanDuel led the pack, generating $67.1 million in revenue from $571.3 million in total wagers. They contributed a substantial $34.2 million in taxes for June, adding to their nearly $998.3 million total in state taxes since January 2022. DraftKings followed with $40.9 million in revenue from a handle of $521.6 million.
Caesars and BetMGM also maintained steady figures, with Caesars seeing $6.8 million from $127.7 million wagered, and BetMGM reporting the same revenue figure from $100.6 million staked. Meanwhile, Fanatics pulled in $6.7 million on a handle of $67.3 million, showcasing a high hold percentage of 9.96% for the month.
Other operators contributed less significantly but still played their part in the overall market. Rush Street Interactive generated $2.5 million from $68.8 million in bets, while BallyBet and Resorts World posted revenues of $658,294 and $572,891, respectively. Wynn Interactive showed a modest return, with $66,665 from $1.5 million wagered.
Looking Forward
Given these insights, June has proved to be the strongest of the summer months for sports betting, even if its figures do not match the heights of previous months. The market typically experiences further declines in July before making a slight recovery in August. However, it is September that promises a robust resurgence with the onset of the NFL season—a period that consistently drives high engagement and wagering.
The data underscores a fundamental understanding of the sports betting landscape: seasonal sports cycles deeply influence the levels of betting activity. While June’s numbers reflect a seasonal dip, the enduring popularity of sports betting in New York remains evident, and the anticipated resurgence in the fall will likely reaffirm the market's vitality.