In a striking development in the realm of sports betting, Maryland has experienced an extraordinary 48.1% year-on-year increase in sports betting revenue. The state’s April figures tallied at an impressive $486.3 million, with a mere $11.3 million of that coming from retail venues, a stark contrast highlighting the overwhelming 98% of bets placed through mobile platforms.
The hold percentage, which represents the profits kept by sportsbooks after all winning bets have been paid out, stood at 10.4%, revealing a payout of $435.9 million in prizes to winning participants. This figure comes in comparison to the 10.9% hold seen in the previous year on a handle of $292.8 million, suggesting a consistent profit margin for bookmakers despite the significant growth in total bets.
Promotional activities saw a surge, with the volume of promo play escalating from $9.0 million to $11.1 million. Perhaps more notable was the growth in taxable winnings, which soared to $38.0 million in April from $25.8 million in the similar period last year. This remarkable upturn led to a 47.1% increment in contributions to the state, amounting to $5.7 million—the fourth highest monthly total since the launch of Maryland’s online sports betting market in November 2022.
A comprehensive look at the year-to-date data unveils that Maryland’s sportsbooks have gathered nearly twice the handle compared to the same timeframe last year. From July 2023 through April 2024, sports wagering escalated by a dazzling 96.7% to reach $4.6 billion, with prizes exceeding $4.1 million, more than doubling the $2.0 billion paid out by April 2023. The current year’s hold rate is calculated at 10.5%, which is a slight dip from the 13.6% recorded last year.
The contribution to state coffers witnessed an unprecedented rise of 167.8% to $47.6 billion during the ongoing year.
Expanding our view to Maryland’s casino industry, the six casinos together amassed $163.2 million from slots and table games in April 2024, though this marks a 6.6% decline when juxtaposed with April 2023’s figures. Casino gaming contributions to the state for April 2024 also fell by 3.6% to $69.8 million when measured against the prior year.
Notably, MGM National Harbor, standing as Maryland’s prime gaming venue, observed its gaming revenue decrease by 9.8% to $68.1 million. In a similar vein, Live! Casino & Hotel, holding the distinction of the second-largest property, experienced a 1.9% drop in gaming revenue, totaling $60.9 million.
These statistics shed light on an interesting shift in the gambling landscape of Maryland. While the brick-and-mortar casinos are noticing a slight downturn in revenue, the mobile sports betting industry is witnessing a meteoric rise, harnessing the power of digital platforms to engage bettors and enhance state revenue streams through a growing market sector.
The sports betting bonanza in Maryland is indicative of a larger trend seen across the United States. As more states legislate for legal sports gambling, particularly online betting avenues, they are tapping into a largely pent-up demand for such services. The figures from Maryland could serve as a bellwether for other regions considering similar moves, suggesting lucrative possibilities for both private operators and public tax revenues.
Policy makers, private sector stakeholders, and consumers alike will be watching eagerly to see how this burgeoning industry evolves and what economic impacts it will continue to have at both the state and national levels. As technology and legislation progress hand-in-hand, the sky seems to be the limit for the future prospects of sports betting in the digital age.
