Arizona Post 26% Handle Rise in Sports Betting For May

The Arizona Department of Gaming’s (ADG) reported for May 2024, gamblers placed $563.2 million in wagers across online and mobile sportsbooks, marking a rise of 26.0% year-over-year. While this total handle witnessed a slight dip from the previous month’s $650 million.

Wagering activity translated into gross gaming revenue (GGR) of $60.6 million for the month. After accounting for promotional credits, free bets, and deductions amounting to nearly $17.2 million, the adjusted gross revenue (AGR) stood at $42.7 million. Compared to May 2023, when the AGR was $33.3 million from a GGR of $48.0 million, Arizona’s 17 mobile sportsbooks collectively generated 28.4% more revenue.

In the competitive Arizona sports betting market, one operator has consistently outperformed its rivals – FanDuel. For every month of 2024 thus far, claiming the top spot among mobile sportsbooks. In May, FanDuel’s generated $26.9 million in GGR from  $192.7 million in bets placed.

While FanDuel reigns supreme, DraftKings has emerged as a formidable contender, closely trailing the market leader. In May, DraftKings handled $188.3 million in bets, narrowly behind FanDuel’s figure. However, its hold percentage resulted in a lower GGR of $19.3 million.

Following the two industry giants, BetMGM, Caesars, and bet365 rounded out the top five operators in terms of both handle and revenue. BetMGM, despite handling a comparatively modest $63.6 million in bets, secured the third position, while Caesars and bet365 handled $35.3 million and $25.5 million, respectively.

Aside from FanDuel and DraftKings, BetMGM and Caesars were the only two operators to generate more than $1 million in AGR during May. However, it’s worth noting that both BetMGM and Caesars have experienced year-over-year declines in handle and revenues compared to May 2023, with Caesars handling $10 million less in bets than it did a year ago.

Arizona’s online sports betting market has seen some departures over the year such as Churchill Downs, WynnBET, and Barstool Sports, allowing for newcomers such as bet365, Fanatics Sportsbook, and ESPN Bet.

While ESPN Bet’s performance under PENN Entertainment has been an improvement over Barstool’s figures from the previous year, it’s the British sportsbook bet365 that has made the most significant impact. Since its launch in February, bet365 has consistently taken more than $24 million in bets each month, with its GGR hovering around $1.8 million for three consecutive months. Its May AGR of $859,450 marked its highest take-home to date in the state.

Fanatics, another recent entrant, saw its handle increase slightly from $15.6 million to $16.7 million in its second month of operation in Arizona. However, the sportsbook is yet to generate significant profits as it continues to offer promotions and sign-up incentives to attract new customers.