Bally's Rhode Island iGaming Income Up 72% in Second Month of Operations

Rhode Island’s online gaming market has outperformed expectations with an exceptional 72 percent rise in income for its second month of operations.

Bally’s, the sole authorized online gaming operator in the state, is the sole source of the Ocean State’s iGaming revenue. In April, the Rhode Island Lottery informed that it took $48m worth of bets in its first full month of offering online slots and live dealer table games.

As a result, it yielded $2.1m in net gaming revenue. According to the results, online slots generated nearly two-thirds of the total revenue, and online table games generated around $740,000. Interestingly, revenue generated from live dealer games rose by more than 210% month-over-month.

Continuous Success!

Bally’s overall revenue in March was $1.2m from a $31.1m handle, even tho the Providence-based company only went live on March 5th. Bally’s is set to offer online gaming in the state via its Twin Rivers Lincoln Casino Resort and Tiverton Casino & Hotel properties in partnership with IGT and Stakelogic, under a 20-year exclusive contract, awarded through a no-bid method.

To put these numbers in context, Delaware, which boasts a similar population of slightly over one million residents and recently relaunched its online gaming operations with new partner Rush Street Interactive, posting $4.4m gaming revenue in April.

Regarding online sports betting earnings, Bally’s revenue ticked up to $2.57m in April from $2.49m in March and $2.39m in February. Digital sports wagering handle fell from $37.0m in March to $31.4m in April. Bally’s plans to use online sports betting as a funnel for iGaming growth, with Bally Bet set to launch in Massachusetts this month.

Successful Beginning of the Year!

In its Q1 2024 earnings call, Bally’s reached a 3.3% growth in income to $618.5m led by growth across its Casino and Resorts and North America Interactive part. It reported that both its UK and US iGaming operations performed well, with earnings rising by 70% year-on-year to $41.5m within the company in Q1. CEO George Papanier indicated that Bally Bet will begin its expansion into new jurisdictions, which could potentially cover 50% of the US betting market.

As news of its statistical success spreads, there has been talk about Bally’s blocking some investors’ attempts to acquire a publicly-traded company, Soo Kim, Chairman of Bally’s, reportedly wants to take it private, following a failed attempt two years ago. Some investors have strongly criticized the proposed buyout, stating that it was an undervaluation, reflecting the market’s lack of confidence in the company’s current strategy and financial stability.

Bally’s has successfully performed in its second month of operations, seeing a significant rise in revenue for iGaming. While it is tricky to evaluate positioning against all states, the results reflect that Rhode Island’s bettors are embracing expanded betting options. Online sports betting in Q1 2024 remained a steady contributor to Bally’s overall revenue. CEO George Papanier’s words reveal that Bally Bet will continue to expand into new markets. As buyout talks continue, it will be interesting to see how this will play out while investors continue to criticize the company’s standing and its financial strategies. However, the overall future for Bally’s seems to be bright, thus far exceeding expectations.

“Our iGaming operations in New Jersey and Pennsylvania continue to gain market share,” said CEO Robeson Reeves at the time. “We also successfully launched iGaming in Rhode Island in early March. IGaming revenue in Rhode Island has ramped up nicely through April in accordance with expectations. We believe this momentum will continue to build through the balance of 2024.”

Source:

”Second month of Rhode Island online casino produces $2M in revenue”. SBC Americas. June 03, 2024.