Michigan Posts Record $219.6 Million In Internet Casino Revenue For December

The Michigan Gaming Control Board reported on Tuesday an all-time monthly high of $219.6 million in adjusted gross internet casino revenue in December, fueled by record performances from both BetMGM and FanDuel.

The gross revenue of nearly $244 million was also a record, up 8% from November’s short-lived standard of $226 million. BetMGM and FanDuel became the first operators in the Wolverine State to clear $60 million in monthly gross revenue, with BetMGM setting a new state high at $65.1 million.

Taxable revenue from the year-end flourish was up 34.5% from the $163.3 million to close out 2023 as seven of the 15 online casino platforms in Michigan set all-time records. The state reaped $45.9 million worth of receipts, and the $451.4 million in calendar-year tax revenue was up $97.4 million from 2023.

The city of Detroit saw an inflow of $11.4 million into its coffers for December, and the $113.4 million in iGaming tax revenue for 2024 was up $24 million from the previous year. Disbursements to tribal jurisdictions totaled $55.3 million for the year after $5.7 million was allocated in December.

Though Michigan finished second to New Jersey in AGR for December, it edged out the Garden State to claim the No. 1 spot for the year 2024 as a whole. The Wolverine State finished just shy of $2.2 billion in operator winnings, $16.7 million better than New Jersey and $39.2 million ahead of Pennsylvania.

BetMGM tops, but FanDuel makes huge gains

BetMGM and FanDuel spent all of 2024 vying for the top spot, with the latter claiming its first monthly wins in the state in March, April, and October. BetMGM, though, finished the final quarter in grand style despite a narrow second-place finish in October.

It set its all-time high for the third straight month and became the first platform to clear $55 million in AGR with December’s total of $58.6 million. For the year, BetMGM posted an 8.7% increase in gross revenue from 2023 with $640.1 million, and the $576.9 million in taxable winnings was up 8.2%.

FanDuel, however, can take solace in being a close No. 2 after a banner 2024. The $60.7 million in gross revenue to finish 2024 cleared its previous high of $57.6 million set in March, and the $614.6 million in calendar-year winnings was up 137.6% compared to 2023’s total of $258.7 million.

The other Detroit-based iGaming platform, Hollywood Casino, had its second-best month with close to $5.6 million in gross winnings. But that was also down 13.4% from its record $6.4 million to wrap up 2023. The PENN National-operated platform finished 2024 with $57.7 million in gross revenue, up 11% from a year ago.

DraftKings easily the best of the rest

DraftKings was a clear-cut No. 3 for both December and 2024 as its $41.6 million in gross revenue for the month was within $22,000 of its all-time high from November. Its $454.7 million accrued for the year represented an 83.1% jump in winnings versus 2023.

BetRivers fended off Caesars Palace Online for the No. 4 spot in 2024 revenue as both surpassed $15 million for the first time. BetRivers had year-over-year growth of 49.9% to $156.4 million with December’s $16.2 million haul, while Caesars surged 123.7% to $148.1 million after an all-time best of $15.9 million.

Fanatics Casino, which launched in Michigan in late February, notched its fourth consecutive monthly record with $7.9 million in gross winnings to close out the year. It totaled $48.9 million in revenue in its 10 full months of operation, a nearly five-fold increase from predecessor PointsBet’s $10.8 million total for all of 2023.

Mobile sportsbooks held to 3.4% hold

The certainty iGaming provides in terms of tax revenue for both the city of Detroit and the state came into sharper focus in December after the sports betting public fared well — furthering the nationwide trend to close out 2024.

Michigan’s mobile sportsbooks accepted $597.7 million worth of wagers, but the statewide 3.4% hold that resulted in gross sports betting revenue of $20.2 million was the second-lowest since online betting became available in January 2021.

An aggressive promotional spend by multiple operators, combined with permitted carryover losses, resulted in just $267,900 in taxable revenue — less than the $276,500 reported by Detroit’s three retail sportsbooks.

While the public came out ahead against only one of the 12 online sportsbooks, seven reported negative AGR. BetMGM, which took a massive $48.2 million deduction in promotional credits and bonuses in June, finished the calendar year with minus-$14.3 million AGR after reporting a loss of $63,100 in December. It did gross nearly $3.2 million from $85.9 million handle.

Fellow Detroit-based operators ESPN Bet (Greektown) and FanDuel (MotorCity) had also finished December in the red for AGR. ESPN Bet posted a loss of $762,300 to close out the year and did not pay any state taxes in 2024. It netted $6.9 million in revenue for the year, but ESPN Bet still has an overall deficit of more than $1.4 million after an aggressive promotional spend that marked its November 2023 launch.

FanDuel’s minus-$526,300 AGR was its first monthly operating loss since a minus-$5.4 million posting in February 2021 when operators were trying to get a foothold in the state. FanDuel did gross $7.2 million from $235.5 million handle in December, but its 3.1% hold was its first under 4% since February 2022.