National Sportsbook Revenue Record Falls Again In January

National Sportsbook Revenue Record Falls Again In January

Editor's Note: This story updated April 17.

The revenue figures for US betting sites keep breaking records as more states adopt legal sports betting.

In January, 31 states plus the District of Columbia reported January figures. They combined for about $1.311 billion in wagering revenue, which is calculated after winning bets are paid out.

That breaks the record of about $1.176 billion from the previous month, December 2023. 

The final piece of the puzzle came into place this week when Kentucky reported wagering figures from sports betting activity in January.

January’s national revenue figure marks the fifth time that all legal states have combined for more than $900 million. All five of those instances have happened at legal online sportsbooks since January 2023.

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Breaking Down January Sportsbook Revenue

No surprise, New York led the way in January with $211 million in sportsbook revenue. Not only was that a state record, it also broke the national mark that Ohio had set one year earlier. Sports betting revenue in the Buckeye State launched in January 2023 with a whopping $209 million in revenue.

New Jersey also set a state record with $170.76 million and from then on January 2024 was on pace to be the all-time best month. That became official in late March when Illinois reported $135.23 million in revenue, becoming yet another state to reset its own record.

The online figures among US sports betting apps account for the vast majority of revenue, compared to brick-and-mortar outlets, known as the retail sector.

It’s the same for handle, or amount of money wagered. The January handle amounted to $13.88 billion after Kentucky reported, falling short of the $14.47 billion set in November 2023. In most states that offer online wagering, those apps account for at least 90% of wagers.

Since July 2023, Tennessee has taxed its sportsbooks based on handle, not revenue. It became the first state to do so – and when that happened, the Tennessee Sports Wagering Council stopped reporting revenue; only handle and tax numbers are distributed. So, for the past seven months, the nationwide revenue puzzle has been missing a piece. But before then, the Volunteer State was producing tens of millions in revenue each month, and it’s safe to assume that it continues to do so, meaning that the actual national total might be above $1.3 billion in January.

Still, the record-setting news for Illinois sports betting operators meant that we started 2024 with another high mark in American sports betting annals.

USA Today photo by Sergei Belski

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Author

Jim Tomlin is a writer and editor for USBettingReport.com. He has been a journalist for 30 years, with experience at publications such as the Tampa Bay Times, Saturday Tradition, Saturday Down South and FanRag.