Maryland Sports Betting Tax Revenue Jumps Despite Handle Dip

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Maryland sports betting

Maryland sports betting handle topped $320.1 million in May, down 3% from the month before. It is the second-lowest monthly handle total since online sports betting began in November 2022 ($219 million.)

According to figures recently released by the Maryland Lottery and Gaming Control Commission, sportsbook operators generated $42.7 million in revenue after posting a win rate north of 13%. Operators have consistently held more than 10% each month since the launch of mobile sports betting in the state in November 2022.

MD sports betting posted its second-highest month in state tax revenue in May at $4.6 million. The state received $5.3 million in sports betting tax in March of this year.

Fanatics enters Maryland sports betting market

Fanatics Sportsbook held a “controlled demonstration” in Maryland on May 30, the state gaming commission said in a press release Monday. The licensee, Maryland Stadium Sub, operated by Fanatics, handled just shy of $9,500 in bets that day. Of that total, nearly $8,600 was promotional bet credits.

Fanatics did launch to a broader audience in the state on June 1, when its operating license officially began. Like other recent state launches in Ohio, Tennessee, and Massachusetts, Fanatics’ initial launch is only for existing retail customers.

The addition of Fanatics makes 10 mobile sports betting operators in the state. Fanatics joined the retail market in February with its sportsbook at FedEx Field.

Familiar names sit atop Maryland

FanDuel Sportsbook claimed the lion’s share of Maryland sports betting dollars in May. Its $146.3 million handle was good for more than 45% of the market.

DraftKings Sportsbook and SuperBook were the only operators to post monthly handle gains. DraftKings handled $101.9 million in May, an increase of more than $500,000 from April. SuperBook handled $546,000 in May, a modest $16,000 increase over April.

FanDuel and DraftKings combined for $1.9 billion in handle in 2023 thus far. The two online sports betting behemoths have more than 80% of the Maryland market this year.

More than 95% of all Maryland sports betting happened online in May.