Arizona Sportsbooks Start 2025 With Strong Gains

Arizona sportsbooks kicked off the year with a strong rebound in revenue despite only a slight increase in handle. The Arizona Department of Gaming reported $864.2 million in total bets for January, slightly above December’s $849.3 million. Compared to January 2024, the handle increased by 22%.

Good to know:

• Arizona reported $864.2 million in handle for January 2025, up 22% from the previous year.
• Adjusted gross receipts doubled compared to December, reaching $53.2 million.
• FanDuel and DraftKings alone handled more bets than all other sportsbooks combined.

Operators had a much better start to 2025 after a slow December. Adjusted gross receipts climbed to $53.2 million, more than double the $25.7 million posted in the previous month. That improvement came even though bettors redeemed $30 million in free bets, up from $23 million in December.

Retail sportsbooks, however, ended up in the red. They paid out $6.8 million in winnings while taking in only $6.3 million in bets. Still, that did not dampen the overall performance for mobile and online operators.

Twelve sportsbooks crossed the $1 million mark in handle for the month. All except Bally Bet finished with a positive return, although Bally Bet’s loss was due to the size of its free bet promotions, not actual betting outcomes.

FanDuel and DraftKings the Biggest

FanDuel and DraftKings once again topped the market. FanDuel posted $286.5 million in handle and $21.2 million in revenue, while DraftKings followed with $268.1 million in handle and $18.2 million in revenue. Combined, they made up more than half of Arizona’s total betting volume and revenue. Their scale also seemed to help them avoid the wild swings other operators experienced.

Other sportsbooks showed massive jumps in revenue. BetMGM took in $6.8 million from a $99.8 million handle, while Fanatics reported $1.4 million on $55.5 million in wagers. Caesars and bet365 also had solid returns, earning $2.5 million and $905,000 respectively.

Although FanDuel and DraftKings saw more modest revenue growth, every sportsbook that handled more than $40 million reported stronger returns than the month before. Fanatics posted one of the largest handle gains, while BetMGM saw a dip in action but offset it with higher profits.

From the total revenue, Arizona collected just over $5 million in taxes. That figure reflects a sharp turnaround from December’s underperformance and shows the impact even a moderate shift in bettor luck can have on operator revenue.