September was quite busy in terms of sports betting in Virginia, thanks to the return of the NFL and college football.
The state’s 16 online sportsbooks and three retail locations generated $520.30 million in handle (total bets) in September. According to the Virginia Lottery’s latest report:
- $514.70 million was gambled through online operators
- $5.60 million came from casino retail activity
Meanwhile, Virginia operators’ revenue climbed to $45.62 million in adjusted gross revenue (AGR).
Virginia sports betting revenue and handle was up monthly and yearly
September’s revenue report shows the sports betting handle of $520,304,187 is a 26.5% yearly increase from September 2022. The number also represents a 63.1% monthly growth from $319.0 million reported in August.
Virginia bettors got back $466 million in gross winnings. That is the record number for 2023 and the second highest since the apps first went live in January 2021.
As a result, adjusted gross revenue (AGR), defined as total bets minus total winnings and other authorized deductions, equaled $45.62 million in September. Of that number:
- Online operators collected $44.78 million
- Retail sportsbook generated $834,675
There are currently 16 online sportsbooks in the state and three casino sportsbook locations – HR Bristol, Rivers Casino Portsmouth and Caesars Virginia. That is why online sportsbooks account for 98.95% of the total handle and 98.53% of Virginia’s sports betting revenue.
The total AGR figure in September represents a 63.47% monthly increase.
Only seven Virginia operators were eligible to pay taxes in September
The Virginia Lottery’s revenue report for September 2023 noted seven operators with a net positive AGR for September were eligible to be taxed. As a result, the state collected $7.0 million in tax payments for the month.
Of the state tax on sports betting AGR, the statute specifies:
- 97.5% goes to the state’s General Fund
- 2.5% goes to the Problem Gambling Treatment and Support Fund, administered by the Virginia Department of Behavioral Health and Developmental Services.