Sports

September and October see $777 million in Arizona sports wagers

The Grand Canyon state saw more than $777 million in wagers combined in September and October of 2021, according to the Arizona Department of Gaming.

In September, $291.2 million in wagers established Arizona’s entrance into commercial operations as the best debut among the six states which launched operations through the first 11 months of 2021.

Arizona bested Nevada for the highest handle of any state in the first month of operations in the post-Professional and Amateur Sports Protection Act era, which began in June 2018. Though Nevada was able to legally conduct sports wagering before the U.S. Supreme Court eliminated PASPA, Nevada operations brought in $286.5 million the month other states became permitted to begin accepting bets.

Arizona is expected to be the fastest state to reach $1 billion in handle when the Department of Gaming releases its November numbers. The popularity of NFL wagering, the Cardinals and Phoenix Suns, has contributed to this record. The Phoenix Suns entered the new year with a 27-8 record.

Arizona’s October handle of $486 million ranked seventh among the 24 states accepting wagers that contributed to a record national monthly handle of more than $7.5 billion. This number is bolstered by October 2021, including 10 weekend days rather than the typical eight, but it still marks a 37.8% increase from the former record of nearly $5.5 billion wagered in September. September was the first month with a $5 billion handle month of the PAPSA era.

The September hold was 10.9%, ranking 10th among the 23 states in action and resulting in more than $31.6 million in gross revenue from two retail sportsbooks and eight mobile operators. The entirety of the $31.2 million in revenue generated was considered promotional play, so unable to be taxed by the state. Some of FanDuel’s retail revenue, approximately 12.2% of the $316,061 generated, was earmarked as promotional play. As a result, the state collected only $31,393 in tax receipts in September from the 8% rate on retail revenue totaling $392,418 from Caesars and FanDuel.

Taxable revenue increased in October. The gross revenue was upped to $36.3 million in October, a 14.8% increase from the first month because the dip in hold to 7.5% was more than offset by the 66.9% increase in handle. The adjusted revenue increased more than 25-fold to more than $10.3 million, allowing the state to collect more than $1 million in tax receipts for October.

This article was originally posted on September and October see $777 million in Arizona sports wagers

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