With Sports In Summer Doldrums, PA DFS Revenue Takes A Tumble

Posted on July 23, 2018

There are two at the top.

Earlier this month the Pennsylvania Gaming Control Board (PGCB) released its monthly DFS revenue numbers. Established titans DraftKings and FanDuel pulled in more than 98 percent of the state’s DFS revenue, combining for more than $1 million in adjusted revenue.

Overall, the PA DFS industry saw around a 30-percent drop in revenue compared to its first month of figures.

By the numbers: DraftKings gets the advantage

What makes June unique in the two-month-old corner of the PA gambling market is that DraftKings managed to leapfrog FanDuel in revenue.

According to the PGCB’s numbers, DraftKings reported adjusted revenue of $5111,234.93.

FanDuel cracked $490,000, logging $490,038.78 for the month in June.

May, the first time that PA offered daily fantasy sports, saw FanDuel have the advantage in the maiden month.

Total revenue for that month was about 30 percent higher than June. FanDuel led the way with $673,013.94 in total adjusted revenue, whereas DraftKings registered $632,008.62.

What is perhaps most interesting about the May-June comparisons is that FanDuel’s May lead was more than $40,000. DraftKings’ June margin was about $21,000.

The best of the rest

DraftKings and FanDuel are two of 10 DFS operators in the state. DRAFT brought in the most revenue of the remaining eight, tallying $10,192.32, or more than twice the next competitor, Fantasy Draft.

After the top four, Sportshub Technologies was the only operator to earn more than $1,000 in revenue.

Yahoo Fantasy Sports reported a negative income of $269.18, thus earning a tax credit of $40.38.

Two operators, Full Time Fantasy Sports and Football Players Championship, reported $0.00 revenue.

Explanations for the May-to-June dropoff

May was a big month for DFS — the NHL and NBA playoffs were both intriguing. The Las Vegas Golden Knight’s run to the finals in their first season along with the prospect of Washington Capitals’ legend Alex Ovechkin’s shot at his first Stanley Cup drew incredible interest.

Game Five drew the third-best TV ratings in the past 12 finals, an incredible considering that Washington D.C. and Las Vegas are both outside the 10 most valuable NHL franchises according to a Dec. 2017 article from Forbes.

May also brought the anticlimactic NBA Finals. However, the Rockets-Warriors Game 7 was the highest-rated conference final clinching game since 2002.

In addition to the drama each playoff presented, DraftKings and FanDuel were featured prominently, as they have partnerships with the NHL and NBA, respectively.

June, on the other hand, was a relatively drama-less month, save for the World Cup. Revenue from contests based on that event may not have been as popular as they could have been since the U.S. Men’s National Team did not qualify.

The MLB will most likely carry revenue until the start of the NFL season, at which point DFS revenue should increase considerably. According to numbers from 2016-2017, DFS sites attract the most handle when the NFL and NBA seasons overlap from October to December.

After that, revenue drops until March, when the NCAA Tournament starts. The start of Major League Baseball provides a boost in April, at which point handle slowly declines until the NFL season begins in September.

J.R. Duren Avatar
Written by
J.R. Duren

J.R. Duren is a freelance writer and author, and has won the Florida Press Club Excellence in Journalism award three times. He contributes to numerous publications, including Snooth, the Villages Daily Sun, Bespoke Post, and Barcelona Metropolitan.

View all posts by J.R. Duren
Privacy Policy