Delaware iGaming Revenue Falls in May Despite Annual Growth

Delaware’s iGaming market experienced a downturn in May, with total revenue dropping to $3.9 million. This marks a 12.2% decrease from April’s $4.4 million, continuing a trend of monthly declines. In April, the revenue had already dropped by 4.4% from March, showing a pattern of fluctuating figures in the state’s online gaming sector.

Mixed Results Across Delaware’s Online Casinos

The decline in May’s revenue was reflected in two of Delaware’s three online casinos. Bally’s Dover reported a significant 25.4% drop in income, bringing in $776,191 compared to April. Similarly, Harrington Raceway & Casino saw a dramatic 39.3% decrease, with revenue falling from $1.4 million in April to $848,354 in May. These figures highlight the challenges facing these establishments in maintaining steady revenue streams.

In contrast, Delaware Park defied the trend with a notable 13.6% increase in revenue, rising from $2 million in April to $2.3 million in May. This gain underscores the variability within the state’s iGaming market and suggests that some operators are better positioned to capitalize on current market conditions.

Year-Over-Year Growth Despite Monthly Decline

Despite the month-over-month decline, remarkable growth is attributed to the effective management and strategic initiatives implemented by the state’s online casinos. Specifically, growth on the three platforms—Bally’s Dover, Harrington, and Delaware Park—was 346%, 103.5%, and 1486.6%, respectively.

This impressive annual growth can be largely credited to the involvement of Rush Street Interactive (RSI). Since RSI took control of the business, all three online casinos have reported significant improvements in their performance. RSI’s influence and its partnership with Delaware Lottery have been pivotal in driving this growth.

Delaware Lottery and RSI Partnership

In January, the Delaware Lottery announced its partnership with Rush Street Interactive to launch the state’s first online sportsbook under the BetRivers banner. This partnership also included the introduction of a new menu of online casino games. Following a soft launch on December 27, Delaware officially opened its doors to the sportsbook and re-launched its three online casinos: Delaware Park, Bally’s Dover Casino, and Harrington Raceway & Casino.

Richard Schwartz, Chief Executive Officer of RSI, emphasized the strategic importance of this launch, stating, “The launch into Delaware builds on our proven track record of success in the Mid-Atlantic Region of Pennsylvania, Maryland, and New Jersey, where RSI has shown that online casinos and sportsbooks complement each other, and we continue to set new records.”

Potential Changes in Delaware’s Sports Betting Market

In addition to the current iGaming landscape, allowing multiple sports betting apps. Currently, Delaware has an exclusive contract with BetRivers. The proposed legislation, which responds to a recommendation from a legislative working group, seeks to permit up to six mobile sports betting operators.

Advocates of the bill argue that increased competition would benefit the state, although projections suggest a potential annual revenue loss of $3 million. This legislative move highlights Delaware’s ongoing efforts to adapt and expand its gaming market to meet evolving consumer demands and competitive pressures.

While Delaware’s iGaming revenue saw a drop in May, the overall market has demonstrated significant annual growth, driven by strategic partnerships and innovative management. The state’s gaming industry continues to evolve, with potential legislative changes on the horizon that could further shape its future.

Source:

DELAWARE SPORTS AND IGAMING TURNOVER GROWS TO $149 MILLION IN MAY, gamingintelligence.com, June 21, 2024.