Published in Economic Development

Michigan online gaming, sports betting holds steady through June

BY Monday, July 19, 2021 03:22pm

Online casino gaming and sports betting activity in Michigan continues to crawl through the traditional summer slowdown. 

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Data released by the Michigan Gaming Control Board today show that both segments of online wagering remain significantly cooled since its initial surge to open 2021.

Amid a period of relative inactivity among professional and college sports, operators in Michigan handled $253.1 million in online sports bets during the month of June. Combined with sports wagers handled inside the casinos, the total climbed to $259.4 million in bets, which is 0.7 percent higher than the month of May.

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By comparison, operators handled $383.7 million in bets during the sports-heavy month of March.

“Michigan’s sportsbooks grew so quickly from January through March that the slowdown that has followed might feel more dramatic than the reality,” said Jessica Welman, analyst for PlayMichigan.com, an organization that analyzes gaming in the state. “Sportsbooks remain in excellent position for a ramp up when football season approaches. Until then, they will have to rely on opportunities such as the Olympics and the NBA Finals to stoke interest.”

Gross revenue for online sports gambling rose 28.2 percent to $24.9 million for June, up from $19.5 million last month. It also generated $16.8 million in taxable revenue, contributing a combined $1.4 million to state and local taxes.

“We’ve been waiting for a bump in taxable revenue that led to a real increase in tax revenue, which we finally got in June,” said Matt Schoch, another analyst for PlayMichigan.com. “If there has been a disappointment with Michigan’s launch, it’s that tax revenue gains have lagged. So hopefully, this will continue into the fall, when we know revenue from sports betting will make a big leap forward.”

Revenue for online casinos and poker rooms fell to $89.2 million for the month, a 4.9-percent drop from last month. Online gaming generated $66.2 million in taxable income, leading to $13.7 million in state taxes and $5 million in local taxes.

“Michigan’s gross internet casino gaming and online sports betting wagering receipts in June roughly matched May,” MGCB executive director Henry Williams said in a statement. “Summer is here, and Michigan is reopening after the pandemic restrictions so there are many entertainment opportunities. The slight tenth of a percent decline from May to June shows internet gaming and online sports betting continues to draw Michigan residents’ and visitors’ interest.”

Read 3658 times Last modified on Friday, 23 July 2021 08:52