New Jersey Sports Betting Revenue Growing Despite NY Online Sportsbook Boom
Even though mobile NY sportsbooks were introduced just earlier this year, it didn’t hinder NJ sports betting sector growth. Sportsbooks in New Jersey handled $926.9 million in April, a 23.9% increase from the same month last year. This number was down 17.3% month over month, however, the decline can be attributed to the slower US sports betting season. Revenue from sports betting was $50.3 million, down 8.2% from last year, mostly due to a stronger market. Books held 5.4% the previous year compared to this year’s 7.3%.
NJ sports betting is still popular
A hold rate of 7.5%, which is higher than usual, helped New York generate $104.1 million in income in April. A gambling revenue decline for April was expected, but, as it turned out, the income in NJ increased by 20.0%.
Tax income is one factor, though, that will never be fairly compared between the two states. While the eight sportsbooks in New York paid $53.1 million in taxes with the state’s 51% tax rate, NJ reported $6.4 million in taxes for the month on a blended rate of 13% for online and 8.5% for retail.
NJ sports betting income was preserved in April by parlays.
Parlays are normally the most lucrative wager type for sportsbooks, but in April they really contributed significantly to income. In April, sportsbooks controlled 17.9% of handled $197.3 million in completed parlays, generating $35.2 million in revenue.
The second greatest hold, at 2.9%, was in baseball and other categories. Just $5.2 million was made from $177.9 million in bets that were completed on baseball. With $223 million wagered and $6.5 million in income, the other category came in second place in terms of completed handling, just behind basketball.
Books and basketball
Due to the commencement of the NBA Playoffs and the final three games for March Madness betting, basketball was once again the sport with the most handle in April.
However, with a hold of only 2.6% on actual events, the $323.4 million in bets only generated $8.4 million in profit. With $8.4 million wagered on the NFL Draft and USFL games, football suffered a monthly loss of about $1.5 million.
Partners at Meadowlands continue to dominate revenue
Income from The Meadowlands sports betting partners was $33.3 million in April or 66.2% of the total revenue that was publicly disclosed. All three sites – FanDuel, PointsBet, and SuperBook – have Meadowlands licensing. Resorts Digital came in second on the list with $7.4 million in monthly revenue. Among these partner brands are Resorts’ own branded website, FoxBET, and DraftKings.
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