Maine Sports Betting Numbers Hit New Records For January

Maine’s sports betting industry saw record-breaking revenues in January, surpassing expectations despite a slight decrease in player spending. Adjusted gross receipts from sports betting in the state reached an impressive $5.5 million, marking a new monthly high.

Maine legalized sports betting in May 2022 with the signing of Bill LD 585 by Governor Janet Mills. Currently, the state has two licensed operators, DraftKings and Caesars, both of which have tribal partnerships in place. These partnerships with tribal entities allow the operators to offer sports betting services in compliance with the state’s regulations.

DraftKings, operating in collaboration with the Passamaquoddy tribe, emerged as the frontrunner in Maine’s sports betting market. In January, their partnership generated an impressive $4.7 million in adjusted gross receipts from a total betting handle of $32.1 million. The DraftKings-Passamaquoddy collaboration continues to hold a significant share of the market.

Caesars, the only other approved operator in Maine, has partnerships with three Wabanaki nations: the Houlton band of Maliseet Indians, Mi’kmaq nation, and Penobscot nation. In January, the Caesars partnership reported adjusted gross receipts of $743,762 from a total monthly betting handle of $6.1 million. While Caesars’ market share is smaller compared to DraftKings, it still contributes to the growth of the industry in Maine.

Total handle for January in Maine amounted to $38.1 million, representing a 13.4% decrease compared to December’s $44.0 million. However, it was a marginal improvement of 1.3% when compared to November’s $37.6 million, which marked the first month of legal betting in the state.

On the other hand, adjusted gross receipts in January reached $5.5 million, a significant increase of 25.0% compared to December’s $4.4 million. Furthermore, the January figure surpassed the $4.6 million generated in the opening month by 19.6%. It is worth noting that adjusted gross receipts account for voided and cancelled bets, player winnings, and a 0.25% federal excise tax.

In January, the state of Maine received $546,099 in total other tax revenue from sports betting. The tax rate on sports betting in Maine is set at 10.0% of adjusted gross receipts. This revenue contributes to the state’s budget and various public programs. The success of the sports betting industry in Maine not only benefits the operators and players but also has a positive impact on the state’s economy.

Following the success of sports betting, lawmakers in Maine are considering proposals to grant tribes exclusive rights for online gaming, similar to the framework established for sports betting. The sports bill signed by Governor Mills allows retail and online sports wagering, with online betting limited to approved tribes. These tribes can apply for licenses to operate online betting platforms and partner with one online operator each.

The proposed expansion of exclusive tribal gaming rights aims to further enhance the gaming industry in Maine and provide additional opportunities for tribal communities. By allowing tribes to operate online gaming platforms, the state aims to create a regulated and secure environment for online gambling while supporting tribal economic development.