Michigan’s 2023 Online Gambling Revenue Smashes Previous Record
LISTEN TO THIS ARTICLE:In 2023, Michigan's iGaming and sports betting market achieved unprecedented success, as it recorded an all-time high revenue of $2.30bn during the year.
The revenue marked the highest annual total since the state legalized its sports betting market. It was an increase of 18.3% compared to the $1.98bn generated in Michigan in 2022. It is also significantly higher than the $1.40bn recorded in the first year of the Michigan legal betting market.
Of the total revenue which includes figures from licensed commercial and tribal iGaming operators in Michigan, $1.90bn was from iGaming, while gross sports betting receipts accounted for $420.4m. While these new annual figures broke the previous records, the total annual sports betting handle remained steady at $4.60bn.
Strong Growth for Michigan iGaming and Sports
Accounting for promotional deductions, the adjusted gross receipts (AGR) from iGaming and sports betting reached $1.96bn, reflecting an 18.8% increase from the previous year.
After deducting promotional expenses, the adjusted gross receipts (AGR) from iGaming and sports betting amounted to $1.96bn, an 18.8% increase compared to the previous year's total.
iGaming contributed $1.73bn to the AGR, while sports betting receipts accounted for $1.73bn. Regarding tax, the state received a total of $369.8m in taxes from the sector in 2023. While $354.0m came from iGaming, sports betting taxes and fees amounted to $15.8m. The three casinos in Detroit remitted $95.8m in iGaming and sports betting tax, while tribal operators contributed a total of $43.1m to governing bodies.
December Gambling Results
Apart from having an impressive annual revenue, Michigan also ended 2023 on a high note. In December, its total gross online gambling revenue reached $181.4m, its highest monthly total since it began legal betting. The figure was also 20.4% higher year-on-year.
As witnessed in other months, growth was fueled by the iGaming sector in December, with a record gross revenue of $181.4m. It is also worth noting that sports betting receipts achieved a new monthly high at $61.1m, with the handle hitting a record $583.0m.
After adjustments, the total online gambling adjusted gross revenue (AGR) stood at $198.4m, marking a 29.8% year-on-year increase. iGaming AGR reached $163.3m, and adjusted gross sports betting receipts amounted to $35.1m. The state collected $36.7m as tax income for December; $34.1m came in from iGaming, while $2.6m from sports betting. Detroit casinos remitted $9.4m, and $4.3m was paid by tribal operators.
Meanwhile, the Michigan Gaming Control Board (MGCB) has recently sent cease-and-desist letters to three companies offering unlicensed online gambling services to Michigan residents. The companies implicated include PredictionStrike Inc., a US-based firm, Sweepstakes Limited, and VGW LuckyLand, Inc.
More Finance News
RELATED TOPICS: Finance
Latest News
Most Read
Must Read
Interviews
Review this New Post
Leave a Comment
User Comments
Comments for Michigan’s 2023 Online Gambling Revenue Smashes Previous Record