Colorado Produces Mixed Sports Betting Results in May

The Colorado Department of Revenue finally released their May sports betting report, and while the seasonal sports betting slide didn't escape the Centennial State, there was some good news in the form of year-over-year increases.

Colorado sports betting was aided greatly by the Denver Nuggets' run to the NBA championship during May, but their success also kept the hold rate for the state's providers low, when compared to other legal sports betting states in America.

Colorado May handle drops

Bettors in Colorado spent $385.2 million at retail sportsbooks and with Colorado’s best sports betting apps in May. Overall wagering activity in the state slipped 7.8% month-over-month from the $417.8 million in April. The drop wasn't nearly as drastic as seen in other participating sports betting jurisdictions around the country.

Year-over-year, Colorado's May sports betting handle actually rose. The wagered $385.2 million in May 2023 is 6.9% higher than the $360.3 million bet during May 2022.

Colorado betting sites can thank the Denver Nuggets for that, with 32.2% of the overall sports bets in Colorado, or $124.1 million, coming from basketball. That number is up 21.7% from the same period last year. Baseball contributed 23.8% of the overall handle, and parlays generated 16.9% of the overall sports betting take, according to the Colorado Department of Revenue report.

We would be remiss if we didn't mention a curiously popular sports betting pastime in Colorado - table tennis. It took in $9.3 million in bets in May, 39.5% more than the month previous and the highest total since $10.3 million in October 2021.

Colorado online sports betting continued to dominate in May, as $382.1 million came from the state's mobile wing while just $3.2 million came from retail sports betting facilities.

Revenues followed a similar pattern

There were month-over-month drops in profits for Centennial State sports betting providers, but year-over-year profit increases were reported.

The best sportsbooks generated $31.4 million in gross gaming revenue in May, thanks to an 8.2% hold. Only two other states, Nevada and South Dakota, posted win rates under 10% during May.

The Nuggets were a big part of the underwhelming win rate for the state's sportsbooks. Providers held just 4.1% on basketball as everyone seemed to bet and win on their beloved Colorado NBA franchise.

The $31.4 million in gross revenue is down from $35.15 million in April, but represents a 15.8% year-over-year increase from May 2022's $27.1 million, when sportsbooks in the state held just 7.5%.

$2.2 million in taxes was collected from the $22 million in adjusted gross revenue in May.

Through the first 5 months of 2023

Colorado has seen mixed results in sports betting activity from the same period last year. Overall betting activity is down just $2.3 million for the five-month period to a total of $2.3 billion.

Gross revenues from Colorado sportsbooks are up a surprising 29.1% so far in 2023, compared to the first five months of 2022. That’s thanks mostly to an average 7.5% hold, compared to the average 5.8% hold for sports betting providers through five months last year.

Adjusted revenue is perhaps the biggest story from the first five months of 2023 in the Colorado sports betting scene. It is up a staggering 127.7%, allowing sportsbooks to contribute $11.7 million in taxes to state and local coffers. That number is nearly double the $5.9 million in taxes paid during the first five months of 2022.

With the summer being a slow period, continue to monitor Colorado sportsbook promos on all of your apps.