Virginia Ends 2023 with 2nd-Best Month in Sports Betting

In December 2023, Virginia sports betting apps and retail providers achieved their second-highest monthly handle and revenue since the legalization of sports betting in the state in 2021, marking a successful end to the year.

The Virginia Lottery December report highlighted that sports betting activity and revenue in the final month of 2023 marked a record year for the top sports betting sites in Virginia.

The state saw significant increases in both handle and revenue figures for December compared to the previous year, thanks in part to the variety of Virginia sportsbook promotions contributing to the industry’s rapid growth in 2023.

During the process, Virginia became the tenth state in the U.S. to surpass $13 billion in accepted wagers since launching its legal sports betting industry in January 2021.

December handle for Virginia exceeds $600 million

In December, the top sportsbooks in Virginia, along with the state’s retail sports wagering providers, accumulated a total of $633,181,758 in wagers. This fell just short of the record-breaking $638.8 million in bets seen in November.

The figure represents a significant increase of $130 million compared to the reported December 2022 earnings of nearly $511 million, marking a 25.9% year-over-year spike over the past 12 months.

Virginia sports betting apps accounted for the vast majority of sports betting activity in the state, with $625,516,403 coming from online platforms compared to $7,665,355 from retail locations.

In the year, Virginia sportsbooks collected a total of $5.59 billion, marking a 13.7% increase compared to the wagering activity in the state in 2022.

Virginia records 2nd-best gross revenues in December

In December, Virginia sportsbooks saw their second-highest gross revenue month ever, reporting $63.6 million in gaming revenue. This marked a significant 47.9% increase from the previous month’s disappointing total of $43 million.

The December revenue of $63.6 million falls just short of the record state monthly revenue of $64 million set in November, but exceeds Virginia sportsbook revenues reported in December 2022 by over $13.5 million.

Virginia sportsbooks had a win rate just above 10% in December, finishing the year with a hold rate slightly above 10%. They hit the 10% mark in nine out of the 12 months in 2023.

During the December reporting period, adjusted gross revenues reached $57.2 million after accounting for promotions and deductions. Virginia sportsbooks generated $560.2 million in gross revenue throughout the entire year of 2023, marking a 16.4% year-over-year improvement.

In December, Virginia sportsbooks paid $8.5 million in taxes thanks to a 15% tax rate, based on the record $57.2 million in adjusted gross revenues. For the entire year, sportsbooks in Virginia paid a total of $72.3 million in taxes, marking a $20.5 million increase from the previous year.

The Virginia Lottery does not disclose specific handle and revenue numbers for each sportsbook, but it is likely that FanDuel and DraftKings were the top performers, as is typically the case in other states.