Maryland online sports betting winnings sag in June
Despite soaring, soccer-driven handle figures, revenue for Maryland online sports betting was down in June, Deutsche Bank reported on 10 July.
Handle for Maryland books shot up 30.1% year over year, reaching US$515 million. Although books held at 10.5%, revenue was down 3.2%, to US$54.4 million. Deutsche Bank analyst Steven Pizzella attributed the handle expansion to World Cup-related action.
Holding at a state-leading 12.5%, FanDuel led in handle and revenue. It took US$200 million in wagers and grossed US$25.1 million. DraftKings made US$15.7 million from US$162.3 million in handle, for a hold of 9.7%.
BetMGM and Fanatics Sportsbook vied closely for third place. BetMGM prevailed with US$3.8 million in winnings from wagers of US$40.3 million, a 9.3% hold. Fanatics took US$42 million in bets and won US$3.4 million. It held at 8.3%.
Caesars Sportsbook realized US$1.5 million in win from US$16.5 million of handle, as it held at 8.9%. Bringing up the rear was theScore Bet with US$700,000 grossed off of US$8.8 million in handle. It held at a state-low 7.6%.
All other books combined for US$4.3 million in win, from aggregate handle of US$45.6 million. Their average hold was 9.3%.
David McKee is an award-winning journalist who has three decades of experience covering the gaming industry.
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The Backstory
June’s split between handle and win sharpened a familiar Maryland pattern
Maryland’s June online sports betting results landed in an uneasy middle ground for operators and policymakers: betting volume expanded sharply, but revenue moved lower. The state’s online sportsbooks took US$515 million in wagers, up 30.1% from a year earlier, according to Deutsche Bank, yet revenue slipped 3.2% to US$54.4 million despite a 10.5% hold. The divergence underscores how headline handle growth can mask pressure on operator winnings when promotional dynamics, sport mix and customer-friendly outcomes shift month to month.
The reported soccer-driven boost in June handle also points to the importance of event calendars in interpreting state results. Major international soccer can draw incremental betting, but higher volume does not guarantee higher win if books face tighter margins or bettors concentrate on outcomes that pay. That makes June less a simple slowdown than a reminder that Maryland’s maturing online market is increasingly being judged on profitability, tax yield and operator share rather than raw betting activity alone.
Earlier spring results set a higher bar
The June decline followed two stronger months that had suggested Maryland’s online market was carrying momentum into the summer. In March, Maryland online sports betting revenue surged 30.5%, with books winning US$62 million on US$595.2 million in handle. The hold was 10.4%, almost identical to June’s 10.5%, but the larger March handle base produced a bigger revenue total and a more favorable year-over-year comparison.
April extended that performance, though at a slower pace. Maryland online sports betting revenue rose 5.6% in April as online operators won US$62.1 million on US$566.1 million in wagers. The 11% hold gave books a slightly better margin than in March or June, helping revenue stay above US$62 million even as handle declined from the March figure.
Those spring results help frame why June’s numbers matter. The state did not see a collapse in demand. Handle remained above half a billion dollars and rose strongly from the prior year. But after March and April showed how Maryland could convert handle into more than US$62 million in monthly revenue, June’s US$54.4 million total exposed the sensitivity of operator win to small changes in hold and bet mix. For a state weighing its tax and gaming expansion options, that volatility has fiscal consequences.
FanDuel and DraftKings remain the market’s center of gravity
Maryland’s competitive structure has been consistent across recent reports: FanDuel leads, DraftKings follows and a group including BetMGM, Fanatics Sportsbook, Caesars Sportsbook and theScore Bet competes for smaller shares. In June, FanDuel generated US$25.1 million in revenue from US$200 million in wagers, holding 12.5%. DraftKings took US$162.3 million in bets and won US$15.7 million, with a 9.7% hold. Together, the two accounted for about 70% of June online betting handle and three-quarters of operator revenue.
That dominance was also visible in the spring. In March, FanDuel won US$28.4 million on US$233.6 million of handle, while DraftKings grossed US$17.3 million from US$183.9 million. In April, FanDuel posted US$29 million in revenue and DraftKings won US$16.9 million. The repeated ranking shows a market where national scale, brand strength and product depth continue to matter, particularly when hold rates fluctuate.
The rest of the field has been more fluid. Fanatics and BetMGM have traded positions around third place, with June showing BetMGM ahead on revenue despite Fanatics taking slightly more handle. Caesars has remained smaller but stable, while theScore Bet has held a modest share. For challengers, the issue is not just customer acquisition but the ability to improve margin without losing share in a state where bettors already appear concentrated around the two leading platforms.
Tax politics made the revenue line more important
Maryland’s monthly results carry added weight because the state has already debated whether online sports betting should contribute more to public finances. Gov. Wes Moore earlier proposed doubling the tax rate on online sports betting revenue to 30% from 15%, a move that prompted analyst warnings that Maryland tax hikes would rattle the online sports betting sector. The proposal was framed as part of a broader revenue plan, with higher sports betting taxes expected to generate US$95.4 million in additional receipts.
For operators, June’s softer revenue highlights why tax rates matter even when betting demand is rising. Taxes are assessed on revenue, not handle, and operator costs include promotions, technology, market access and risk management. A month with strong volume but lower win can still produce less room for reinvestment. A higher tax burden would amplify that effect, especially for midtier books that lack the scale of FanDuel and DraftKings.
Analysts had already identified FanDuel parent Flutter Entertainment and DraftKings as the companies most exposed in absolute dollar terms to a Maryland tax increase, simply because they generate the most revenue. Yet they were also viewed as best positioned to absorb the hit. Smaller operators could face a harder strategic choice: spend to pursue share in a competitive market, accept lower profitability or reduce promotional intensity. Any pullback could affect both consumer pricing and the state’s long-term tax base.
Expansion debates sit behind the tax question
The tax proposal also intersected with Maryland’s unresolved discussion over broader digital gaming. Analysts noted that the governor’s budget proposal did not focus on igaming, even though casino-style online gaming had been expected to draw legislative attention. That omission shifted near-term debate toward extracting more revenue from existing sports betting activity rather than expanding the digital gambling market.
The contrast is important. Sports betting has high visibility but relatively thin and volatile margins compared with online casino. Igaming, where legal, can produce steadier revenue because slots and table games are available year-round and are not tied to sports calendars. Maryland policymakers looking at June’s results could see both sides of the argument: a large online sports betting market capable of generating substantial tax dollars, but one whose monthly revenue can sag even when handle surges.
Operators, meanwhile, are building broader digital relationships with customers in states where online casino is permitted. FanDuel, the Maryland sports betting leader, recently expanded its casino product with a FanDuel Casino Jackpots feature that lets players increase jackpot contributions in Michigan, New Jersey and Pennsylvania. Maryland is not among those igaming markets, but the product development shows why large operators value integrated digital ecosystems. Sports betting can acquire customers and drive engagement, while online casino can deepen monetization where law allows.
Regulatory stakes extend beyond Maryland
Maryland’s sports betting market is part of a broader global environment in which regulators are pressing operators on revenue, compliance and consumer protections. The Philippines offered a more enforcement-heavy example when PAGCOR said it had voided more than PHP200 million in casino winnings from government employees barred from gambling. While the circumstances differ sharply from Maryland’s tax debate, both cases show governments asserting tighter control over gambling markets as digital and land-based activity expands.
For Maryland, the immediate issue is fiscal and competitive rather than disciplinary. June showed bettors remain active, but operator winnings are not rising in a straight line. That combination complicates any policy built on assumptions of steady growth. If lawmakers seek more tax revenue, they must weigh the durability of the market against the risk that higher rates could alter operator behavior. If they revisit igaming, they will confront a separate debate over consumer impact, casino cannibalization and the promise of larger state receipts.
The current results therefore fit into a wider backstory: Maryland’s online sports betting market has matured quickly, concentrated around national leaders and become relevant to state budget planning. June did not undermine the market’s scale. It did, however, show why revenue, not handle, will drive the next phase of scrutiny.
