Sportsbooks in Pennsylvania experienced a small spike in May, but it served as little consolation considering what could have been a monster month. Coronavirus destroyed a strong spring sports calendar, leaving slim pickings for sports bettors.
Handle for May was $77.5 million, a 68% increase from last month. Revenue also increased from last month ($2.8 million) to $4.8 million, according to numbers released on Tuesday from the Pennsylvania Gaming Control Board.
Casinos in PA have been closed since mid-March, but three opened last week. As a result of brick-and-mortar casinos being shuttered, all wagers in May were placed online.
Despite the coronavirus-caused upheaval, FanDuel sportsbook remained the top operator for handle ($29.6 million) and revenue ($2.5 million).
Massive miss for sportsbooks
Despite the continued absence of mainstream sports, the books got a small boost from NASCAR, PGA, UFC and Bundesliga.
However, the betting interest pales in comparison to what could have been the NBA playoffs, NHL playoffs and early-season MLB action.
Dustin Gouker, lead analyst for PlayPennsylvania.com, estimates that Pennsylvania sports betting operators missed out on a combined $275 million in potential bets in May.
During a recent American Gaming Association webinar, Casey Clark, SVP of strategic communications, said:
“The past few months should have been record-breaking for legal sports betting in America.”
The pain isn’t limited to Pennsylvania. In May 2019, New Jersey sports betting produced $318.9 million in handle and $15.5 million in revenue. This May, handle was $117.8 million. However, like PA, it represented a significant increase from last month’s dismal performance (115%).
PA sports betting handle, revenue by operator in May 2020
| Casino or Off-Track Betting Facility | Total Handle | Total Revenue | Online Handle | Online Revenue | Retail Handle | Retail Revenue |
|---|---|---|---|---|---|---|
| FanDuel/Valley Forge Casino | $29.6 million | $2.5 million | $29.6 million | $2.5 million | 0 | ($245) |
| DraftKings/The Meadows | $21.8 million | $909,000 | $12.6 million | $700,000 | 0 | 0 |
| SugarHouse/Rivers Philadelphia | $8.5 million | $458,000 | $8.5 million | $458,000 | 0 | 0 |
| FOX Bet/Mount Airy | $7.8 million | $352,000 | $7.8 million | $352,000 | 0 | ($70) |
| Rivers Pittsburgh | $4.9 million | $273,000 | $4.9 million | $275,000 | 0 | ($2,400) |
| Parx | $3.8 million | $279,000 | $3.8 million | $279,000 | 0 | 0 |
| Presque Isle Downs | $266,000 | $6,000 | $266,000 | $6,000 | 0 | 0 |
| Unibet/Mohegan Sun Pocono | $714,000 | $44,000 | $714,000 | $44,000 | 0 | 0 |
| Harrah’s Philadelphia | $144,000 | $1,500 | $144,000 | $1,500 | 0 | 0 |
| South Philadelphia Race and Sportsbook | 0 | 0 | 0 | 0 | 0 | 0 |
| Hollywood Casino at Penn National Race Course | 0 | 0 | 0 | 0 | 0 | 0 |
| Oaks Race and Sportsbook | 0 | 0 | 0 | 0 | 0 | 0 |
| Mohegan (The Downs at Lehigh Valley) | 0 | 0 | 0 | 0 | 0 | 0 |
| Statewide Total | $77.5 million | $4.8 million | $77.5 million | $4.8 million | 0 | ($2,500) |
FanDuel and DraftKings rule PA
FanDuel accounted for 38% of all wagers placed. It was smaller slice than previous months, where it had half. DraftKings (The Meadows) continues to establish its reign in PA with $21.7 million in handle and $908,635 in revenue, both month-over-month increases.
May 2020 marks one year since the first online sportsbook launched in Pennsylvania (PlaySugarHouse). The lone sportsbook took $573,163 in bets in just a few days. One year later, Pennsylvania has nine online sportsbooks.
The rest of PA online sportsbooks in May:
- Rivers Casino Philadelphia: $8.5 million in handle, $457,952 revenue
- Fox Bet (Mount Airy): $7.7 million in handle (up from $3.7 million), $351,944 revenue
- Rivers Casino Pittsburgh: $4.8 million in handle (up from $2.4 million), $275,342 revenue
- Parx online sportsbook: $3.8 million in handle, $278,850 revenue
- Unibet (Mohegan Sun Pocono): $714,400 in handle, $43,912 revenue
- Bet America (Presque Isle Downs): $265,938 in handle, $6,036 revenue
- Caesars sportsbook (Harrah’s): $143,991 in handle, $1,545 revenue
2020 PA sports betting handle, revenue and taxes
Here’s a look at top-line numbers for PA sports betting since the start of 2020.
| January 2020 | February 2020 | March 2020 | April 2020 | May 2020 | June 2020 | July 2020 | |
|---|---|---|---|---|---|---|---|
| Total Handle | $348,381,708 | $329,765,782 | $131,330,059 | $46,015,988 | $77,510,033 | $89,002,562 | $164,782,229 |
| Gross Revenue | $22,841,192 | $4,722,252 | $6,889,255 | $2,883,471 | $4,828,989 | $6,663,433 | $8,147,480 |
| Taxes (36%) | $8,222,829 | $1,700,011 | $2,480,132 | $1,038,048 | $1,738,436 | $2,398,836 | $2,933,093 |
Fantasy contests in May sink to an all-time low
Even fantasy contests can’t escape coronavirus’s clutches. After an all-time low April with $162,252 in revenue, things weren’t much better in May. Revenue was $318,840, a 82% percent decrease from last May.
DraftKings ($231,199) and FanDuel ($86,176) earned all (save for 0.5%) of the revenue of PA’s nine fantasy operators.
PA sports betting: Big things brewing?
Unlike last month when the numbers were released, operators have a bit more clarity on when major sports will return.
- NBA: Season suspended March 11. Expected to resume in late July/early August.
- NHL: Season suspended March 12. Expected to resume in late July/early August.
- MLB: Spring Training stopped March 12. Players and owners remain at an impasse. On June 15, MLB commissioner Rob Manfred said he’s “not confident” there will be a season.
- NFL: The season is expected to start with a preseason game Aug. 6 and unfold as scheduled.
Whether or not the NBA and NHL (or any sport) return depends on player safety and if the leagues feel they have a handle on coronavirus. The same can be said of college football and the NFL starting their respective seasons as planned.
Novel viruses are unpredictable, and things can change in a moment. Just yesterday, a few Cowboys and Texans players tested positive.
One NFL head coach described as “scary” that #Cowboys and #Texans players – including Ezekiel Elliott – tested positive for Coronavirus. Another HC told me league needs to delay start of the season. A third coach questioned wisdom of playing during a pandemic.
— Ed Werder (@WerderEdESPN) June 15, 2020
If the NFL and college football start their season as planned, it will coincide with the NBA and NHL playoffs, setting the stage for a confluence of events never seen before. The days of slim pickings for sports bettors will be replaced by a smorgasbord of choices. And sports betting revenue will return to pre-pandemic highs.
