Illinois $1bn handle streak ends in June as player stakes drop to $848.1m
Illinois Gaming Board figures show sports betting handle up compared to the prior year, but falling 16.9% from the $1.02bn wagered in May 2024, in the last month before the state’s new progressive tax rate comes into effect.
The vast majority – $823.7m – of this total was staked online, with $24.4m bet in-person.
Bets placed on professional sports in June amounted to $839.6m, with $815.5m online and $24.2m at retail locations. A further $7.2m was bet across online and retail on college sports, while motor racing drew $1.3m in bets.
DraftKings adjustment accelerates Illinois sports betting revenue growth
Looking to adjusted gross revenue from sports betting during June, this reached $94.6m due to a $9.1m adjustment to DraftKings’ revenue for the month, with little additional context provided. This means AGR is 72.9% higher year-on-year, for an 11.2% hold during the month.
Online betting accounted for $92.5m of June’s revenue, with retail’s monthly share hitting $2.1m. That means online hold came to 11.2%, compared to 8.6% for retail betting.
FanDuel still the one to beat in Illinois
The adjustment did massage DraftKings’ revenue but FanDuel still leads the market. Players staked $280.5m through the Flutter-owned brand and a strong 15.3% hold left revenue of $42.9m.
DraftKings’ handle was higher at $325.1m but even with the revenue adjustment a weaker – but still impressive – hold of 12.1% meant it generated revenue of $39.4m. Without this adjustment revenue came to $28.5m, an 8.8% hold.
Meanwhile Rush Street Interactive’s BetRivers continues to perform strongly in its home state. Revenue for the month came to $5.8m, ahead of ESPN Bet on $3.8m. BetMGM followed on $3.7m, ahead of Fanatics on $3.6m in AGR.
Operators set for higher tax
June marks the end of Illinois’ fiscal year and, from 1 July, the 15% AGR tax – which brought in $13.8m in June – is replaced by the state’s highly controversial progressive tax rate.
This levies operations on a sliding scale, with the market leaders now facing a 40% tax, as revenue is higher than $200m. This is the second highest tax rate in the US, after New York’s 51% GGR tax.
And one controversial move has prompted another; in the wake of that announcement DraftKings said it will introduce a surcharge on winnings in high-tax states, including Illinois.