Sportsbooks still post strong year-over-year gains even as betting slows to the lowest level since September 2021, according to PlayVirginia
(LAS VEGAS) — Virginia’s sportsbooks attracted less than $400 million in wagers in April, the first time slipping below that threshold since sportsbooks generated $293.9 million in September 2021. Revenue, on the other hand, actually grew from March. And April’s slowdown in wagering — the beginning of an expected seasonal ebb in sports betting that should stretch through August — obscures year-over-year growth of nearly 70%, according to PlayVirginia, which tracks Virginia’s sports betting market.
“There was enough general interest in the NBA Playoffs, the Final Four, and the first month of baseball, among other attractions, to engage bettors in April,” said Eric Ramsey, an analyst for the PlayUSA.com Network, which includes PlayVirginia.com. “Those opportunities will shrink in the coming months, until football season kicks off. But Virginia’s young market is well-positioned for another surge this fall.”
Bettors poured $399.5 million in wagers into Virginia’s sportsbooks in April, up 69% from $236.4 million in wagers in April 2021, according to data released Wednesday by the Virginia Lottery. April’s bets were down 15% from the $469.5 million wagered in March, as wagering slipped to $13.3 million per day over the 30 days of April from $15.1 million per day in March.
Sportsbooks won $36.3 million in gross revenue from April’s bets, up 86% from $19.4 million in April 2021 and up 8% from $33.7 million in March. After $11.3 million in promotional spending and $4.3 million in other deductions, sportsbooks produced $20.8 million in adjusted revenue. That sum yielded $3.0 million in state taxes.
“Without football or a big betting event like the first weekend of the NCAA Tournament, sportsbooks traditionally lose steam heading into the summer,” Ramsey said. “But the year-over-year gains remain consistently strong, showing that the industry has so far been mostly unaffected by struggles in the greater economy. But those headwinds do represent the most significant threat to the relentless growth Virginia’s sports betting industry has enjoyed since the beginning.”
For more information and analysis on regulated sports betting in Virginia, visit PlayVirginia.com/revenue.
