In October 2024, New York State notched a historic milestone in sports betting, recording an unprecedented handle of $2.3 billion. This figure surpasses the previous high of $2.11 billion set in November 2023, underlining a robust growth trajectory in the sports wagering sector.
A surge in sports wagering activity:
The sports betting landscape in New York witnessed a substantial increase from the $2 billion handle reported in October of the previous year, marking a $300 million year-on-year rise. The October handle continued the upward trend from September 2024’s $2.07 billion, showcasing sustained enthusiasm among bettors.
Despite the soaring wagering handle, Gross Gaming Revenue (GGR) experienced a 14.9% dip, settling at $176.3 million for October. This decline was largely attributed to higher player winnings, particularly influenced by the NFL season kickoff, as suggested by insights from DraftKings alongside their third-quarter results. However, New York’s GGR still saw a 5.8% increase compared to the same month last year, as reported by the New York State Gaming Commission.
FanDuel led the charge with a staggering $907.6 million in sports wagers, a notable increase from September’s $784.2 million, despite a decrease in monthly GGR to $77.3 million from $97.9 million. DraftKings followed closely, with a handle of $813.7 million and a GGR of $58.9 million for October.
As CDC Gaming reports, the market newcomer ESPN Bet posted $41 million in handle with $3.2 million in revenue, indicating a promising start. Other significant contributors included BetRivers and Fanatics, with Fanatics recording $12.4 million in winnings from a $178 million handle.
Emerging trends and regulatory insights:
The October report also highlighted a hold percentage of 7.6% across online sportsbooks in New York, which, despite a 16% increase in handle, only translated into a 6% revenue gain. This indicates a competitive landscape where player payouts are substantial, affecting overall profitability for operators.
Since the Professional and Amateur Sports Protection Act (PASPA) was overturned in 2018, allowing Delaware to initiate regulated sports betting followed by New Jersey, New York has emerged as a dominant force in the market. Consistently exceeding $2 billion in monthly handles, New York’s sports betting sector is poised for ongoing growth, with projections suggesting that the total wagering handle for the fiscal year 2024/25 could surpass the previous year’s $19.6 billion.
With five more months left in the fiscal year and total GGR already topping $1.17 billion, stakeholders are optimistic about the market’s direction. The continual growth not only underscores New York’s leading position but also reflects the evolving dynamics of sports betting in the U.S., promising more record-breaking performances in the future.