Ohio Notices Sports Betting Activity Climbs 5% Year-Over-Year but Drops Month-Over-Month

The Ohio Casino Control Commission's February earnings report is out. It revealed a slight increase in Ohio sports betting wagering activity year-over-year but a double-digit percentage drop from January. That is despite the biggest sports betting event on the U.S. calendar, the Super Bowl, taking place during the month.

February handle and revenue figures were middle-of-the-pack regarding monthly statistics generated in the 14 months since Ohio sports betting legalization in January 2023.

February handle of $672 million

Ohio sports betting apps and retail providers combined for a $672 million handle in February, which Ohio sportsbook promos contributed to. 

That figure represents a 20.8% month-over-month drop from the nearly $806.2 million reported in January but a 5% year-over-year increase at our best sports betting sites from the $635.4 million reported in February 2023, the second full month of legal sports betting in the Buckeye State.

Over $657 million of the state's February sports betting handle came from Ohio sports betting apps, with retail accounting for $13.4 million and betting kiosks taking in $892,000. 

Nearly $68 million in adjusted gross sports betting revenue

Ohio sportsbooks reported $67.7 million in adjusted gross sports betting revenue for February, off a 10.1% hold. February marked the 12th time in 14 months that state sportsbooks have eclipsed a 10% win rate, well above the national 8% hold average for sports betting providers.

By comparison, Ohio's sportsbook win rate was 14.1% in January and 12.7% in February 2023.

Over $67 million was the ninth-best monthly revenue haul for Ohio sportsbooks in 14 months of operation and represented an 18.4% year-over-year drop in revenues from February 2023's $80.95 million. It is also about a 40% month-over-month decline from the nearly $113.4 million in January revenues.

Promotional spending by Ohio sportsbooks declined from a frenzied attempt by sportsbooks at the beginning of 2023 to entice bettors into the state's new legal sports wagering platform. Over $23 million in promotional spending was reported in February 2024, down 52.2% year-over-year.

Tax revenue spikes

Thanks to a change in how sportsbooks in Ohio are taxed, February's tax revenue figure was much higher than February 2023. In July of last year, Gov. Mik DeWine doubled the state's sportsbook tax rate to 20%, and tax coffers have benefitted since.

Despite a dip in handle ad revenues, over 13 million in tax revenue flowed into Ohio tax coffers in February. That's $5.2 million more than February of last year but a month-over-month drop from the record $22.7 million in January.

FanDuel and DraftKings dominate

FanDuel and DraftKings were by far the most popular Ohio sports betting apps in February. The two betting behemoths combined for nearly 80% of all revenue during the 29-day reporting period.

FanDuel Ohio reported a $222.2 million February handle, narrowly beating DraftKings, which accepted $222 million in wagers. The two combined for a 66.2% market share in the Ohio legal sports betting scene.

FanDuel topped revenues with $28.1 million in Ohio thanks to a 12.6% win rate. DraftKings reported $24.2 million in earnings off of a 10.9% hold.

bet365 came in third among Ohio sports betting sites with a $44.6 million February handle, BetMGM was fourth with $42.6 million in accepted wagers during the month, and ESPN BET rounded out the top five with $40.9 million in bets.

Retail drags numbers down

Ohio's retail sports betting sector had a poor February despite the Super Bowl, which was the event most bet on, according to the American Gaming Association and most watched.

Retail sportsbooks in Ohio posted a $122,288 loss during the February reporting period, and betting activity at the state's four stadium wagering facilities paid out over $1.5 million, substantially more than the $1.2 million they took in. The hold rate for retail in February ranged from 1.6% to 1.7%.