New York's Online Sports Betting Market Sees Downturn in June

The online sports betting market in New York experienced a significant downturn in June, marking the lowest monthly total in ten months. This month's handle stood at $1.47 billion, a decline that hasn't been observed since August 2023, when wagers amounted to $1.11 billion. Despite this dip, the total handle for June represented a 25.6% increase from the same period last year.

June's online sports betting handle saw a noticeable 25.4% fall from May's $1.97 billion, reflecting the volatility inherent in the sports betting industry. Gross gaming revenue also saw a decline, ending June at $133.9 million. While this figure is 29.0% higher than the previous year's revenue, it fell 34.1% short of May's earnings. Notably, June's revenue was only marginally higher than the $131.4 million recorded in February.

A Quiet Summer for Sports Betting

Several factors contributed to the downturn in June. The conclusion of the NBA and NFL finals early in the month meant fewer high-stakes events driving betting activity, particularly as no New York teams were in contention for the championships. Traditionally, summer months are quieter for sports betting across New York and the United States, a pattern that held true this June.

The MLB season, which runs through the summer, typically does not generate significant betting activity compared to other major sports leagues. Although June includes notable events like horse racing's Belmont Stakes, golf’s US Open, and the Copa América football tournament, the overall engagement was insufficient to counterbalance the decline following the end of the NBA and NFL seasons. This year's Copa América, taking place in the US for only the second time, did little to change the broader trend.

June is traditionally the strongest summer month for sports betting, yet the number of bets often drops further in July, with a slight recovery in August. A significant upswing is expected in September with the onset of the NFL season, which consistently drives high engagement and wagering. As major sports leagues enter their off-seasons, June saw fewer events captivating bettors, contributing to the anticipated dip in activity.

Operators' Performance in June

Among the operators, FanDuel led the charge, posting $67.1 million in revenue from $571.3 million in total wagers for June. FanDuel's contribution in taxes for the month was substantial, standing at $34.2 million, highlighting the significant role it plays in state revenue. Since January 2022, FanDuel has paid nearly $998.3 million into state coffers.

DraftKings followed, generating $40.9 million from a $521.6 million handle. Caesars saw customers stake $127.7 million, resulting in $6.8 million in revenue, while BetMGM reported $6.8 million in revenue from $100.6 million wagered. Fanatics performed notably, recording a handle of $67.3 million and $6.7 million in revenue, achieving a hold percentage of 9.96% in June. Rush Street Interactive reported $2.5 million from $68.8 million in total wagers.

Other operators recorded lower revenues. BallyBet posted earnings of $658,294, and Resorts World reported $572,891. Wynn Interactive generated $66,665 off $1.5 million wagered, underscoring the uneven distribution of revenue among operators.

The Path Forward

With June reflecting expected seasonal declines, operators and industry stakeholders are looking ahead to a robust resurgence in the fall. As the NFL season approaches, the sports betting market anticipates renewed vigor and increased engagement from bettors, not just in New York but across the United States.

For now, the figures from June serve as a reminder of the ebb and flow within the sports betting industry, shaped by seasonal trends, the performance of local teams, and the overall sports calendar. The summer slowdown may be a regular feature, but the promise of fall brings renewed optimism for operators and bettors alike.