With major changes being seen in the US gambling and sports betting market, it was almost inevitable that there would be some news emerging around potential losses and shortcomings in some markets – it seems Pennsylvania is one of the first of these markets to do this as the market sees year-on-year growth, but declines from the prior month – the 24.1% year on year growth sees total combined revenue for PA at $375.7 million, but a drop from the £393.1 million revenue in January and the third consecutive month of losses following the huge $432.5 million in November of 2021. But are these losses impactful for the market?
As a whole, differences in revenues would be expected from month to month with sporting in particular as different events and different times of year can heavily impact the amount of betting, but it would be expected that casino and iGaming revenue could remain fairly consistent throughout the year as seasonal changes aren’t as impactful – that is shown in the stats too, land-based casino Hollywood Casino saw a 42.1% increase in year over year revenue, with slot machines seeing tremendous growth and table games also seeing considerable numbers too – iGaming numbers had also seen some significant increases which go inline with the expectation that casinos shouldn’t be impacted by seasonality.
Sports betting is where figures had seen a drop – although revenue losses were very small at just $442,847, it does contribute towards the losses – six casinos in PA did report negative sports-betting revenue for 2022 however which would be where the bulk comes from but is a harder figure to really adjust for – March Madness with the start of the NCAA basketball season could prop numbers up for March with a more quiet sporting period at the start of the year, and factoring month by month losses here may not be the most suggestive of figures with the winter being a quieter period of the year for sports betting.
As a whole because of these short-term changes, the losses may not be as impactful as they first seem – casinos and iGaming options are seeing continued growth with Hollywood Casino topping out the revenue with significantly higher revenue than others, and sports betting is currently the big signifier of losses which could change throughout the year and signify more differences, particularly as the sporting season gets started throughout spring and welcomes more punters than the winter months typically do.