The Arizona Department of Gaming posted a monthly handle of $512.8 million for April. Compared to other states across the industry, Arizona releases its numbers a little later than the rest, as some jurisdictions have released their numbers for the month of June.
Arizona Sports Betting Handle Takes a Massive Hit in April
States that are a part of the sports betting industry had a successful March for the most part due to the March Madness Tournament. There was no doubt that a significant drop was going to occur as the college basketball season ended with the Kansas Jayhawks winning the National Championship.
The playoffs were approaching, and the NBA and NHL seasons were winding down. Sportsbook operators in the Cooper State combined to register a handle of $512.8 million as it noted a decline of 26 percent from March’s $692 million. Still, the figures for the month represented the third-highest handle since the operation began.
Mobile sports betting has become a staple in Arizona as bettors wagered $509.5 million, accounting for approximately 99.4 percent of the overall market. Retail bookmakers were only able to generate $3.3 million in bets for the month.
Looking at the Revenue Numbers for the Month
The Arizona Department of Gaming stated that sportsbook operators in the state registered an adjusted gross revenue of $29.2 million. However, Arizona is one of the states that allows bookmakers to use promotional credits and deductions to lessen the amount that would be subject to taxes.
The total amount for these promotional credits and deductions accounted for $12.7 million. There was a surprising drop of 31.3 percent from the $18.6 million awarded by operators in March; it was the lowest amount in eight months.
With that all being said, $16.5 million was subject to taxes, and Arizona has one of the lowest tax rates in the country as retail locations are subject to eight percent while mobile platforms are based on 10 percent. The state was able to collect $1.6 million in taxes for April as the yearly taxes have gone up to $6.1 million.
Even with the numbers showing a significant drop in its month-over-month totals, the Copper State has cemented itself as a top 10 market in the industry. In three of the last four months of the year, the monthly handle has surpassed the half-billion dollar mark.
Which Sportsbooks Had the Most Success in April
During the first eight months since launch, sportsbooks have accepted $4 billion in online and in-person wagers. Only three sportsbook providers were able to surpass the $100 million mark for the month.
DraftKings led the way with $155.9 million. FanDuel and BetMGM secured the second and third positions with $149.8 million and $100.6 million, respectively. The combined total of $406.4 million from these three sportsbooks made up 79.2 percent of the overall handle.
The numbers will most likely continue to drop as the summer slowdown has taken over the industry. Arizona’s numbers will likely drop until August. Going into the last quarter of the year, handles across the industry will skyrocket with the return of the NFL season.