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Even though the total number of bets made declined, New York’s sports betting industry saw a considerable gain in revenue between April and May. This increase can be linked to operators’ higher hold rate in May. Despite a cyclical decline in sporting activity throughout the spring months, New Yorkers continue to support sports betting legalization, leading in a year-over-year gain in volume. FanDuel and DraftKings retained their leading positions in the state, but other operators witnessed revenue growth.
The New York State Gaming Commission reported that operators in the Empire State handled $1.36 billion in bets in May, a 12% decrease from the $1.54 billion handled in April. However, the year-over-year comparison indicates a 7.9% gain in handle, confirming sports betting’s continued appeal among New Yorkers.
Despite the drop in overall handle, operators had a strong 11.2% hold rate in May. This resulted in a 9.4% rise in sales over the previous month, hitting $151.9 million. The high hold rate also resulted to a stunning 38.3% year-over-year revenue increase compared to May 2022.
FanDuel maintained its lead in New York’s sports betting industry in May, with $561.4 million in bets. DraftKings came in second with $471.1 million in handling, while Caesars came in third with $162.9 million. FanDuel earned $75.9 million, DraftKings earned $47.7 million, and Caesars earned $13.9 million, mirroring the handle standings.
Several other operators in the New York market saw increases in handle and revenue. BetMGM handled $93.8 million and made $8.9 million in profit. Rush Street Interactive had a handle of $35.9 million and a revenue of $3.2 million. PointsBet handled $19.1 million in wagers and earned $1.2 million in income. With varied degrees of handling and income, Wynn, Resorts World, and Bally Bet followed.
Given New York’s 51% tax on sports betting, operators made $74.5 million in April while providing $77.5 million in taxes to meet local education obligations. The substantial tax contributions highlight the importance of sports betting money in sponsoring educational activities.