Pennsylvania has once again demonstrated its position as a key player in the US gambling market, with August 2024 setting new records for the state’s gambling revenue. The month saw a total of $525.5 million in revenue, a notable 14.9% increase compared to the same period in 2023. This marks a 4.9% rise from July 2024, underlining the continued growth of the state’s gambling industry. The primary driver behind this impressive growth is Pennsylvania’s expanding iGaming sector, which continues to outperform other gambling formats.
iGaming Sector Drives Record Revenue Growth
The standout performer for August was Pennsylvania’s iGaming sector, which brought in a staggering $183.7 million. This figure represents a 29% increase year-on-year, making it the second-highest monthly total in the state’s history, only slightly trailing March 2024’s record of $191.1 million. The largest contributors to this growth were online slots, which accounted for $138.3 million, followed by online table games with $43.2 million. Even online poker added to the surge with $2.2 million in revenue.
Top Performers in iGaming
Leading the charge in the iGaming sector was Hollywood Casino at Penn National Race Course, which continues to dominate the market. The casino generated $72.1 million in revenue for the month, maintaining its top position. Close behind was Valley Forge Casino Resort, which brought in $46.0 million, while Rivers Casino Philadelphia rounded out the top three with $30.8 million in revenue. These casinos have solidified their status as key players in Pennsylvania’s booming online gambling market.
Sports Betting Sees Strong Growth
Sports betting also played a significant role in the state’s overall gambling revenue. For August, gross sports betting revenue reached $45.4 million, a substantial 48.4% increase from the same period last year. However, this was a 13.9% decline from July 2024. When factoring in promotional credits, taxable sports betting revenue stood at $30.0 million.
Online sports betting continues to lead the way, generating $25.5 million in revenue, while retail outlets contributed a smaller but notable $4.5 million. The total betting handle for the month amounted to $485.3 million, reflecting a 23.5% increase compared to August 2023. This rise in betting activity underscores the growing popularity of sports wagering in Pennsylvania.
FanDuel and DraftKings Lead the Sports Betting Market
Among the top operators, FanDuel, which is partnered with Valley Forge Casino Resort, maintained its dominance in the sports betting market. The operator generated $13.3 million in revenue from a $176.5 million betting handle. DraftKings, partnered with Hollywood Casino at the Meadows, followed closely with $7.8 million in revenue from $124.4 million in bets. These two platforms continue to hold a substantial share of the market, drawing in the majority of online sports wagers across the state.
Land-Based Slots and Table Games Show Mixed Results
Despite the strong performance of iGaming and sports betting, land-based slot machines remain the largest source of gambling revenue in Pennsylvania. In August, slot machines generated $211.1 million, marking a 3.9% increase from the previous year. However, physical table games did not fare as well, seeing a 2.1% decline with revenue dropping to $81.0 million. This mixed performance suggests a shifting preference among players towards online formats.
Modest Gains in Video Gaming Terminals and Decline in Fantasy Sports
Other segments of the gambling market saw more modest changes. Video gaming terminals (VGTs), which are primarily found in truck stops, saw a 5.7% increase, bringing in $3.7 million for the month. On the other hand, the fantasy sports segment continued its downward trend, experiencing an 18.3% decline, with revenue falling to $647,522. This highlights the ongoing challenges faced by fantasy sports operators in the state.
