Illinois sportsbooks amassed practically $92 million in adjusted gross sports activities betting income for April 2024, in response to knowledge launched by the Illinois Gaming Board on Thursday. This month noticed the state’s betting deal with exceed $1 billion for the eighth consecutive time.
This April’s operator winnings noticed a 2.7% rise from April 2023, regardless of a considerable 22.8% improve in deal with to $1.1 billion. The maintain charge final 12 months was slightly below 10%, in comparison with this 12 months’s 8.3% win charge. The deal with skilled a 12.7% drop from March’s $1.26 billion, whereas income fell by 7.5%.
Illinois joined New Jersey, New York, and Nevada because the fourth state to surpass $35 billion in deal with for the reason that post-PASPA period started, in response to SportsHandle. April marked the thirteenth event that the Prairie State’s month-to-month wagers topped $1 billion, rating it third behind New York (26) and New Jersey (19).
With solely Kentucky and Arizona but to report their April figures, Illinois is poised to overhaul New Jersey for the second spot nationally for the primary time this 12 months.
Tax Charge Set To Change
The state’s tax assortment amounted to $13.8 million for April, bringing the year-to-date complete to $61.5 million, $8.9 million forward of final 12 months’s tempo. Nonetheless, this 12 months will see a change in tax coverage. The present 15% charge will solely be relevant till June. Beginning July 1, Illinois will implement a progressive tax system with charges beginning at 20% and capping at 40% for operators producing greater than $200 million in annual income.
Illustrating the impact of the progressive tax charges utilizing 2024 cellular operator income knowledge, it’s clear that FanDuel and DraftKings dominate, accounting for over 90% of the practically $49 million further tax income for the state.
Each operators have rapidly moved into the 35% tax bracket primarily on account of parlay income. FanDuel’s $133.1 million in parlay winnings alone propels it into the 35% tier, whereas DraftKings, with $80.6 million, falls into the 30% bracket.
Given Illinois bettors’ sturdy choice for parlays — which amounted to $307.4 million in April, representing 27.8% of the deal with however a major 68.2% of the income — it’s believable that each FanDuel and DraftKings will hit the $200 million income mark to set off the utmost 40% tax charge comparatively quickly.
This improve could occur faster than anticipated, particularly with the betting quantity anticipated to rise in August with the beginning of the NFL preseason and Week 0 of the faculty soccer season.
One other noteworthy side is BetRivers benefiting from an modification that separates income from sports activities betting apps and bodily venues for tax functions. Rivers On line casino, which holds the BetRivers license, generated $3.5 million in Des Plaines, pushing it near the 25% tax charge threshold at $30 million.
Based mostly on the income figures for the primary 4 months, Rivers would seemingly attain no less than the 30% bracket if each income sources had been mixed, because it stays the highest brick-and-mortar sportsbook within the state.
Different entities, resembling Hollywood On line casino in Aurora (license-holder for ESPN BET) and Par-A-Cube On line casino (tied to BetMGM), would equally seemingly ascend to larger tax brackets over a fiscal 12 months.
Regardless of projections indicating a rise of $147 million in tax income — falling wanting Illinois Governor JB Pritzker’s preliminary $200 million goal set in February when proposing a tax hike to 35% — FanDuel and DraftKings are anticipated to generate sufficient income on the highest tiers to method, if not surpass, the governor’s goal. 12 months-to-date, the full deal with has elevated by 20.6% in comparison with 2023, with income up by 16.8%, reaching $410.1 million.
FanDuel Nonetheless In The Lead
In 2023, Illinois narrowly exceeded $1 billion in adjusted income, with its high two operators presently outperforming final 12 months’s figures. DraftKings’ income has surged by 43.2% in comparison with the primary 4 months of final 12 months, whereas FanDuel’s winnings have seen an 11.1% rise.
FanDuel led the state’s eight sports activities betting apps in April income, recording $43.8 million with an 11.3% maintain from $386.9 million in deal with. Notably, practically 80% of this income — $34.2 million — got here from parlays, reaching a formidable 25.4% maintain on $134.8 million in such wagers.
DraftKings topped in deal with with $400.3 million, accumulating $27.9 million in winnings with near a 7% maintain. Parlays contributed virtually two-thirds of this complete at $17.7 million, reflecting an 18.1% win charge.
BetRivers secured the third spot in each income and deal with, reaching a 7.6% maintain, with $5.4 million from $71.5 million.
ESPN BET, BetMGM, and Fanatics Sportsbook adopted intently, with ESPN BET main at $3.7 million in income with a 7% maintain charge. BetMGM posted practically $3.7 million, edging out ESPN BET in deal with with $55.1 million to ESPN BET’s $53.1 million.
Caesars reported $2.2 million with a 4.6% maintain on $47.8 million in wagers, whereas Circa Sports activities narrowly gained $22,842 on $17.2 million in deal with, leading to a 0.1% maintain.
Losses on Boxing, Nice Income on Basketball and Baseball
Parlays generated $62.2 million in income for Illinois sportsbooks in April with an total 20.3% maintain. Nonetheless, they confronted losses in boxing and MMA, paying out practically $4.9 million over $12.2 million in accepted bets.
Ryan Garcia’s upset of Devin Haney in an excellent light-weight boxing bout on April 20 resulted in important losses for each FanDuel and DraftKings, with FanDuel dropping $2.6 million and DraftKings practically $1.9 million.
Basketball, the second-largest income supply, introduced in $13.7 million, although this was offset by a $768,800 loss at Argosy On line casino Alton. The maintain on basketball wagers was 4.3% towards $319 million in deal with.
Baseball, in its first full month, generated $6.5 million in winnings with a 3.2% maintain from $204.5 million in bets. Tennis rounded out the highest 4 sports activities for income, contributing $5.2 million with a 6.9% win charge from $80.3 million in deal with.
No different sport reached $2 million in income, though hockey and soccer got here shut, falling brief by $24,300 and $61,600 respectively.
