Maryland’s 12 retail and 12 online sportsbooks combined for $263.7 million in handle and $17.0 million in revenue in August, according to data from Maryland Lottery and Gaming.
While handle was up more than $16 million in August compared to July, revenue dipped by more than $5 million from $22.1 million to $17.0 million.
As a result, tax contributions from the state’s 24 retail and online sportsbooks fell from $3.3 million in July to $2.6 million in August.
Maryland’s retail sportsbooks see handle rise by more than $3.5 million
August was a fantastic month for Maryland’s retail sportsbook handle (amount gambled). The sum of all bets placed hit $13.4 million which was a 34.3% increase over July’s figures.
However, books took home 57.5% less revenue than they did in July, dropping from $1.5 million to $653,079.
MGM National Harbor generated the most handle, while Live! Casino accounted for a little under half of the total revenue for the month.
|Canton Gaming / Canton||$1,630.00||$1,625.93|
|Maryland Stadium Sub||$148,901.25||$1,504.49|
|MGM National Harbor||$5,880,892.65||$0.00|
|Ocean Downs Casino||$924,813.92||$123,830.10|
|Riverboat on the Potomac||$333,385.50||$22,056.09|
|August 2023 Total||$13,369,315.10||$653,079.04|
|July 2023 Total||$9,886,440.13||$1,542,461.54|
Online sports betting handle rises 5.4% but revenue drops
Similar to Maryland retail sportsbooks, online sports betting in Maryland saw an increase in handle but a drop in revenue compared to July’s numbers.
Live! Casino, DraftKings, and BetMGM accounted for all but around $12 million of the more than $250 million in handle and all but around $1 million of the $16.4 million in revenue that online sportsbooks generated.
|Maryland Stadium Sub||$6,680,743.83||$0.00|
|Riverboat on the Potomac||$2,207,579.57||$148,082.90|
|August 2023 Total||$250,360,244.01||$16,384,724.65|
|July 2023 Total||$237,525,907.62||$20,541,757.45|
Promotional payouts and low hold on baseball contribute to revenue dip
When looking at Maryland’s August revenue report, the natural question that arises is: How did sports betting revenue drop if the overall handle rose by more than $31 million?
There were two main factors: promotions and baseball betting.
In August, sportsbooks paid out $8.1 million in promotions, which was nearly 34% of the handle. In July, promotions totaled 14.9% of handle. This is a significant difference since promotions are subtracted from the hold (amount of money the sportsbook kept after payouts) and before the revenue calculation.
Additionally, pro baseball bets jumped nearly $5 million in August, but sportsbooks saw their hold on pro baseball bets drop from $4.6 million to just under $2 million.