Michigan Rebounds With Sports Betting Handle of Close to $500M in March

The Michigan Gaming Control Board (MGCB) announced that the state collected $497.6 million in wagers in March, bouncing back strongly from a slow February in which $415.8 million was received in sports betting handle. The board also reported that Michigan’s sports betting operators managed $41.93 million in gross revenue, up substantially from February’s tally of $30.5 million.

Online sports betting handle was $480.4 million, which was up more than 20% from February’s internet wagers of $402.6 million. The board also mentioned that internet sports betting taxes and fees totaled $1.7 million. The City of Detroit collected $663,132 of the total tax receipts in March.

More: Michigan Sports Betting | Legal Sports Betting States | US Sports Betting Revenue Tracker

FanDuel Michigan Passes $500 Million in Revenue

FanDuel (Flutter Entertainment 25,43 0,00%) continued to dominate Michigan with $186.2 million in sports betting handle in March. Gross receipts were $18.6 million while adjusted gross receipts, which include promotional costs, for FanDuel was $13 million. That carried FanDuel to over $500 million in revenue in Michigan.

DraftKings (DraftKings 44,84 +0,16%), operating under the Bay Mills Indian Community, picked up $126.6 million in handle. Gross revenue for DraftKings stood at $10.8 million while adjusted receipts (taxable revenue) was $6.8 million. DraftKings crossed $400 million in handle this calendar year, which has included just the first quarter, with revenue of $31.8 million. After adjustments, taxable gaming revenue for DraftKings stood at a little over $6.8 million.

BetMGM (MGM Resorts International 37,52 +0,03%) took third place in Michigan, collecting $66 million in betting handle. At a rate of close to 10%, the company picked up $6.1 million in revenue. Adjusted gross receipts for BetMGM stood at $4.5 million. In total this year, BetMGM has closed in on $200 million in handle with gross revenue of $15.5 million.

In total, all online sports betting operators combined for $1.46 billion in sports betting handle in the first quarter of the new year. Gross revenue from sports betting has surpassed $120 million in this period while taxable revenue stood at $58.3 million after March.

Total iGaming Revenue Grows

According to the MGCB, Michigan’s commercial and tribal operators combined for $257 million in total iGaming gross receipts, which included sports betting revenue. That increased 17.7% from February’s total.

According to the report:

“Combined total iGaming and internet sports betting adjusted gross receipts (AGR) for March were $221.14 million, including $194.47 million from iGaming and $26.67 million from internet sports betting — representing an iGaming increase of 14.9% and a sports betting increase of $13.8 million when compared to February 2024. Compared to March 2023 reported revenues, iGaming AGR was up by 25.8% and sports betting was down by 15.2%.”

From a retail standpoint, March was quite a solid month for the sector. Of the handle of $17.3 million, the state collected $1.6 million in revenue from retail locations, which represented a win rate of 9.3%.

Greektown Casino managed to win more than $700,000 in March, which brought down its losses this year to under $200,000. Motor City Casino generated gross revenue of over $500,000 on handle of $4 million.

Strong Year-on-Year Growth in Michigan

Like most other states, Michigan also witnessed significant growth when compared to March last year. March’s total represented an 18% rise from last March’s tally of $421.6 million. The state’s operators generated revenue of $46 million last year on a hold rate of 10.9%, which generated close to $3 million in tax receipts.

Adjusted taxable revenue has come down due to the state’s tax framework, which allows operators to deduct promotional expenses and bonuses to their bottom line. ESPN BET and Fanatics, which have launched in the state in this new fiscal year, have spent significant amounts on promos and introductory bonuses.

Yet, the signs are increasingly positive with Michigan having posted revenue in excess of $1.5 billion in the first quarter of the new year. With more operators now in the state and stability starting to form, it’s highly likely that sports betting handle will comfortably cross $5 billion in 2024, which will be the highest in the state considering wagers of $4.8 billion in the last two years.

Tax revenue for Michigan is also looking promising, with $5 million in tax receipts this calendar year. For context, Michigan collected $23.3 million in tax in 2023 and $15.39 million in 2022 on similar handle.

READ MORE:

• Michigan Sports Betting Handle Dips 30% in February
• Fanatics Sportsbook Debuts in Michigan
• Michigan Records $600 Million Sports Betting Handle in January 2024