Kentucky Sports Betting Revenue Reaches $272 Million In First Year

The results are in for our best sports betting sites first year of operation in Kentucky.

The Kentucky Horse Racing and Gaming Corporation (KHRGC) has released its latest sports betting figures for August 2024, wrapping up the first full year of legal Kentucky sports betting. Adjusted gross revenue (AGR) for August was almost $11.8 million, taking the 12-month total above $272.0 million.

Over the year, Kentuckians wagered almost $2.3 billion at online sportsbooks, including some of our best sports betting apps. DraftKings led with nearly $895.0 million of this total, followed closely by FanDuel at $817.0 million, while bet365 took the third place spot on the podium with $157.3 million in handle. Retail handle reached almost $87.1 million for the year, with Churchill Downs, in partnership with Kambi, leading this total.

DraftKings leads online, loses retail

Online operators dominated every month of the year, even including last September, when they were only in operation for three days, compared to retail’s 24 days. In August, online operators accounted for 97.7%, or $11.5 million, of the total revenue, while retail operators collected the remaining $265,547.

In terms of wagers, over $147 million was spent on online sports betting in August, which is one of the lowest figures since launch, but it's typical with the summer slowdown to see lower numbers. DraftKings collected the highest handle every month except last October, and August was no different. This online sportsbook led with a $56.7 million handle and almost $4.9 million in AGR. FanDuel kept its consistent second-place spot, with a $45.2 million handle and $3.8 million AGR for August. bet365 came in third, with a $16.3 million handle, generating an AGR of $832,618.

With handles of $8.8 million, $6.8 million, and $6.4 million, BetMGM, Caesars, and Penn came in fourth, fifth, and sixth, respectively. Fanatics took seventh with $5.5 million, and Circa saw the lowest handle of $1.3 million. Still, since its April launch, August was the first month that Circa collected a handle over $1 million.

Retail handle was nearly $4.4 million, and Churchill Downs contributed the most to the total, with $1.5 million wagered there. Caesars at Red Mile also saw around $1.3 million in wagers. Turfway Park collected $691,381, while the other five operators all saw handles of below $400,000. In partnership with DraftKings, Cumberland Run reported the lowest handle of $66,104.

About Kentucky sports betting

In March 2023, Kentucky Governor Andy Beshear signed House Bill 551 into law, making Kentucky the 38th state to legalize sports betting. Retail locations opened on Sept. 7, 2023, followed by online wagering and Kentucky sportsbook apps on Sept. 28, 2023. 

Today, the state has eight retail sportsbooks and seven online, all licensed and regulated by the KHRGC. Retail wagers are subject to a 9.75% excise tax, while online operators pay 14.25%. Over the past 12 months, online operators have paid almost $37.7 million in excise tax, while retail operators have reported $756,517. Residents are clearly taking advantage of numerous Kentucky sportsbook promos.