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North Carolina betting revenue drops 40.1% in second full month

June 8, 2024
in General
North Carolina betting revenue drops 40.1% in second full month
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North Carolina reported gross gaming revenue (GGR) of $63.1m (£49.6m/€58.4m) in May in what was the second full month of wagering in the Tarheel State.

The $63.1m figure fell 40.1% short of April’s total of $105.3m. April was the first full month of betting in North Carolina after operators went live on 11 March.

The May revenue was also 5.1% behind the $66.5m generated in March despite the market only launching 11 days into the month. However, that three-week period included March Madness, with all three North Carolina teams – UNC, NC State and Duke – playing in the tournament.

Handle, meanwhile, stood at $525.5m, again the lowest total yet. The figure was 19.0% short of April’s $648.9m and 20.3% behind March’s $659.3m.

A total of $458.7m was paid out in winnings in May, a hold percentage of 12.3%. In April, operators reported a hold of 17%.

The state didn’t disclose how much tax revenue had been received. Digital operators are taxed at 18% of GGR in North Carolina.

March saw $202.6m paid out in promotions as operators looked to gain a foothold in the newly launched market.

That figure fell to $79.7m in April, and it again decreased significantly in May, falling 61.2% to $30.9m. May’s promotional total was also just 15.3% of March’s $202.6m.

North Carolina does not yet break down its revenue reports in operators or sports. Eight platforms launched when the market went live, including big hitters such as FanDuel and DraftKings. Also present are two tribal casinos.

All North Carolina operators are mandated to be tethered to a tribal casino or sports venue. DraftKings has partnered with Nascar, while BetMGM has formed a link with the Charlotte Motor Speedway.

North Carolina market unlikely to be broadened

Though North Carolina has launched online sports betting this year, it appears unlikely other verticals will be introduced in the near future.

Tim Moore, Speaker of the House, told CBS 17 leftover bad feeling from last year’s session means the chances of other forms of gambling such as video lottery terminals (VLTs) being introduced look slim.

Moore said: “I do think that the conversation last year as it related to casinos has put a shadow over the discussion about updates to the lottery with VLTs and so forth.”

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