April was a solid month for sportsbooks in the Old Line State, generating a $328.5 million handle. Bets made online now total more than $2 billion through the first five-plus months of Maryland online sports betting.
Of the total handle, $313.5 million came from mobile sports betting, better than 95%. Sportsbooks reported $25.1 million in revenue with an 11.1% hold, contributing $3.8 million to the state for the month.
Retail wagers accounted for the remaining $15 million, which resulted in $665K in revenue and $99K more going to state coffers.
April shows Maryland sports betting market’s potential
Wednesday’s Maryland Lottery & Gaming Control Commission report showed that mobile handle dropped from March’s $370.3 million (-15.3%).
We expected this result, as April’s sporting events do not match up to the NFL playoffs, Super Bowl, and March Madness to start the year.
Nonetheless, enough events took place for bettors to nearly match February’s Super Bowl-filled $325.1 mobile handle. This comes before looking at promotional play, which is becoming less prevalent as Maryland’s sports betting market continues maturing.
- February: $16.7 million in promotional play ($308.4 million in non-promo handle)
- April: $9 million in promotional play ($304.5 million in non-promo handle)
Including promotional wagers, April’s totals came within 2% of February’s.
In the last three months, Maryland’s Sports Wagering Application Review Commission has granted two additional licenses to Betfred and SuperBook. This brings the state’s total up to nine, with more expected to enter the landscape later this year.
While the nation’s top-tier operators have been open since day one, Maryland allows for up to 60 mobile sports betting licenses. Every future sportsbook that opens will contribute to the state’s sustained success in years to come.
FanDuel, DraftKings dominating Maryland sports betting market share
FanDuel Sportsbook and DraftKings Sportsbook are showing extreme dominance in the early days of Maryland sports betting. More than $252 million of bets came from these two apps, representing over 80% of the handle.
Of the two, FanDuel Sportsbook ($150.7 million) bettors wagered nearly 50% more than DraftKings ($101.4 million), showing it is far and away the top app in Maryland.
Nobody else came close. BetMGM Maryland ($28.4 million) finished third, well ahead of Caesars Sportsbook ($15.9 million).
On the bottom end, newcomers Betfred and SuperBook combined for just $1.8 million in handle. Betfred has brought in seven figures of bets in each of the last two months but will have a long road ahead to catch the likes of BetRivers and PointsBet.
SuperBook’s inaugural handle was under $500K through half a month. Double that, and it is in the same ballpark as Betfred.
|Sportsbook||Handle||Prizes Paid||Hold %||Promotional Play||Other Deductions||Taxable Win||Contributions To The State|
State sees second-largest sports betting tax contribution in April
Maryland’s April sports betting handle was actually the lowest full month since launching in November 2022.
The good news? The accompanying $25.2 million in taxable winnings (and the $3.9 million in subsequent taxes) between mobile and retail sportsbooks was the second-highest.
Sportsbooks spent nearly $160 million on initial-launch promotions between November and January. This amounted to almost $16 million per week.
By law, sportsbooks can deduct promotional spend from their winnings, resulting in lower revenue. However, next year’s spending depends on the current year’s overall revenue.
And sportsbooks are taking note, as evidenced by April’s $9 million total promotional spend.
Of course, the state can rejoice. Fewer deductions equals more revenue, and more revenue equals more tax money.
When football season rolls around, monthly tax contributions could double April’s.