Colorado Ends 2023 With All-Time Handle Record

The Colorado legal sports betting industry is kicking off 2024 in a strong position, following two consecutive months of record-breaking sports wagering activity.

In December, Colorado sports betting apps and retail providers broke the state’s previous handle record set in November, surpassing $700 million in total sports wagering for the first time. This achievement has only been reached by New York, New Jersey, Illinois, Nevada, Ohio, Pennsylvania, and Arizona.

Regrettably, the latest report from the Colorado Department of Revenue shows that Colorado sportsbooks did not reach a new record high in revenues. The NFL betting alone resulted in a loss of nearly $6.4 million for the top sportsbooks in Colorado.

$716.4 million December handle

In December, Colorado sports betting saw a remarkable $716.4 million handle, surpassing the previous record of $608.5 million set in November. This represents a significant $104 million increase, or a 17.7% improvement from the previous month. Compared to December 2022, the $716.4 million handle also marks a substantial 38.3% year-over-year improvement from the $518 million reported.

Colorado’s top sports betting apps accounted for the majority of wagering activity in December, with almost all of the state’s total handle coming from these sites except for $4.5 million.

In 2023, Colorado sports betting providers saw a total of $5.56 billion in bets, marking a 7.3% increase from the previous year. Mobile providers in the Centennial State accounted for 99.2% of the total sports betting activity.

Make the most of the best Colorado sportsbook promotions in 2024.

Revenues dragged by NFL betting

Colorado’s top sportsbooks saw their revenues fall short of the state’s handle, largely due to significant losses on NFL bets. This resulted in a low hold rate of 5.7% for state providers in December, marking the worst rate in the broader U.S. legal sports betting market.

Colorado betting sites generated over $40.5 million in revenue in December, marking a month-over-month increase from November’s total of nearly $28.6 million with a hold rate of 4.7%. Compared to December 2022, revenues slightly decreased from $40.9 million, with a hold rate of 7.9%.

In the past year, Colorado sportsbooks generated $391.1 million in revenue, marking an 11.4% increase from the previous year.

Colorado providers set a new record in December, contributing $3.7 million in taxes from $25.1 million in adjusted gross revenues. This surpasses the $3.34 million paid by providers in October.

In 2023, Colorado sportsbooks contributed a total of $27.4 million in taxes over the course of the year, marking a $7.8 million increase from the previous year.

Parlays lead the way

In December, pro football was the most popular sport for betting in Colorado, generating over $193 million in wagers and holding a 26.9% market share. However, it was parlays that dominated the state’s betting scene during the month. While football betting led to significant losses for state sports betting providers, parlays were not affected.

Parlays generated almost $202.2 million in bets, capturing a market share of 28.5%. This bet type proved to be profitable for the sports wagering providers in the state.

In Colorado, basketball came in third with over $171.3 million in wagers, followed by NCAA Football with nearly $48.85 million. NCAA Basketball saw $29.8 million in bets, while “other” sports had an $18.7 million handle in December. Hockey had a slightly disappointing $15.25 million in wagers.