How Much Sportsbooks Actually Make When You Bet

New York enjoyed its biggest mobile sports betting month of the current fiscal year in October. It took in a handle of more than $1.5 billion. Caesars Sportsbook made a little more $7 million in that month. Rush Street Interactive’s BetRivers platform reported $894,138 in revenue. WynnBET reported $257,711 and Resorts World $227,036.

Sports betting is an expensive business. New York made $145 million in October, but that was to be divided between all operators and the state. Iowa made only $16 million, because of its lower sports betting tax rate. The industry is highly regulated and costs a lot. It also comes with regulatory fees and taxes.

$4.29 billion in sports betting revenue in 2021 is 177% increase over the number in 2020. It represents just 8% of the $57.2 billion of legal sportsbetting activity from that year. Margins for sportsbooks have slowly increased from 3% to 6%. FanDuel has a target of 12%.