Maryland Sports Betting Industry Posts Second Best Handle and Best Tax Revenue Month in October

In October, Maryland’s top sports betting apps and retail providers experienced a successful month thanks to the five weeks of NFL, college football, MLB playoffs, and the start of the NBA and NHL seasons. This surge in sports activity greatly benefited the legal sports betting industry in the state.

In its 23 months of operation, Maryland experienced its second-highest betting handle in October, along with the largest tax payout to state and local coffers. With the recent launch of a mobile sports wagering platform in November 2022, Maryland’s legal retail sports betting industry is now in its 24th month.

Maryland Lottery and Gaming Director John Martin noted that the handle for football betting is high this time of year, reflecting people’s love for the sport. Factors such as the Ravens’ success and college football games contribute to this trend. October also sees a convergence of sports seasons with baseball playoffs, the World Series, and the start of hockey and basketball. Overall, the results show a strong and steady market in Maryland that benefits the state’s education programs.

Second-best handle ever

In October, the Maryland Lottery and Gaming revenue report revealed a remarkable $483.1 million in sports betting handle, showing a significant increase of nearly $42 million from the previous month. Since Maryland sports betting apps were only launched in November 2022, there is no way to make a year-over-year comparison at this time.

October was the second-best month for betting revenue in 2022, with a total of $497 million, only surpassed by December. This was due to the launch of the state’s first comprehensive retail and mobile sports betting platform, which led to increased betting activity.

In October, Maryland sportsbook promotions helped drive the majority of the handle on sports betting sites. Nearly 96% of all sports betting activity in October was generated by Maryland sports betting apps.

Third-best revenue haul for Maryland sportsbooks

Maryland sportsbooks saw a significant increase in handle in October, boosting the bottom line for providers in the state. According to the Maryland Lottery and Gaming statement, gross sports betting revenue reached $58.7 million, marking the third-highest revenue total in the history of legal sports betting in Maryland. This total falls behind only the $85.2 million recorded in December of last year (the first full month of mobile sports betting in the state) and the $56.9 million reported in January of this year.

October saw a significant increase of over $12 million from September’s figure of $45.575 million. Maryland sportsbooks had a hold rate of 12.2%, which was higher than September’s 10.3% and marked the 20th time in 23 months that the state’s sportsbooks had a win rate above 10%.

It is worth mentioning that Maryland sportsbooks had a hold rate of 21.1% on parlays in October, generating $37.8 million in revenue from the $179.5 million in bets placed.

Underscoregs spent almost $19.4 million on promotions in October, resulting in an adjusted gross revenue of $38.7 million.

State providers saw their highest tax bill ever in October, collecting a total of $5.8 million in taxes thanks to strong revenues and a successful win rate for Maryland sportsbooks. This surpassed the previous high of $5.3 million in March and the $3.23 million collected in September.

FanDuel tops

In October, FanDuel Maryland had an exceptional month in the state’s wagering industry, with $210,548,643 in bets and $28.3 million in revenue due to a 13.4% win rate. This marked the 12th consecutive month of a 10% or higher hold rate for FanDuel in Maryland.

DraftKings Maryland came in second place in the competition for Maryland’s top sports betting app. In October, DraftKings contributed $157.6 million to the overall handle, its highest total of the year. The app reported revenues of $19.4 million with a hold rate of 12.3%.

In October, BetMGM Maryland ranked third with a handle of $38.5 million and revenues of $4.7 million. Caesars achieved their highest month ever in the Maryland market, bringing in $21.8 million in bets and $1.6 million in revenues. Fanatics closed out the Top-5 with $13.7 million in bets (a 14.7% increase from the previous month) and nearly $1.1 million in revenue.