Indiana Casino Revenue Climbs as Sports Betting Faces Mixed Results

Indiana’s casinos experienced a modest increase in revenue, reaching $198.3 million in adjusted gross revenue, up from $192.8 million in December 2023 and $187.9 million in November. Leading the state was Hard Rock Casino Northern Indiana, generating $34.6 million, followed by Horseshoe Indianapolis with $28.7 million and Caesars Southern Indiana at $20.6 million.

Slot machines continued to dominate the gaming landscape, contributing $173.7 million, while table games ed for $36.4 million. Taxes collected by the state from its 13 licensed casinos totaled $58 million for the month.

Sports Betting Handle Grows but Revenue Declines

Indiana’s sports betting industry showed mixed results in December. The state’s sportsbooks reported a handle of $563.6 million, an 8% decline from November but a 12% increase compared to December 2023. However, adjusted gross revenue dropped significantly to $31.4 million, a 54.2% decrease from November and a 38% year-over-year decline.

Football retained its status as the top betting choice, driving $173.4 million in wagers, while basketball followed closely with $146.7 million. Parlays, making up 33% of the statewide handle, continued to be a popular option among bettors.

Despite the higher handle, the sportsbooks’ hold decreased from 11% in November to 5.5% in December, reflecting improved luck for bettors. This shift reduced the state’s sports wagering tax revenue to $2.9 million, down from $6.5 million the previous month.

Leading Operators Dominate the Market

FanDuel and DraftKings maintained their dominance in Indiana’s sports betting market, with both operators significantly outperforming their competitors. FanDuel led with a $199.2 million handle and $8.8 million in adjusted revenue, while DraftKings followed with $185.6 million in handle and $11.8 million in revenue. Together, these two giants captured the majority of the market share.

Smaller operators, such as bet365 and ESPNBet, experienced increases in handle, indicating growth potential despite the market being top-heavy. Among the top seven operators with over $15 million in handle, only FanDuel, DraftKings, and BetMGM experienced revenue declines exceeding 50%.

Retail sportsbooks in Indiana faced their share of hurdles in December. Horseshoe Hammond emerged as the leader in retail sports betting handle with $1.9 million, followed by Hollywood Casino in Lawrenceburg at $1.8 million. However, both casinos, along with six others, reported losses from sports bets during the month.

Other sports categories, including hockey, tennis, and golf, saw a notable decline in handle, dropping by approximately 28%. This shift contributed to the overall dip in sports betting activity compared to November.

While Indiana’s casinos ended the year on a high note, sports betting showcased contrasting trends. An increased handle highlighted the state’s continued enthusiasm for wagering, particularly on football and basketball, but reduced sportsbook revenue pointed to improved bettor outcomes. As the industry evolves, balancing growth across all sectors will be crucial for sustained success.

Source:

”Indiana: December casino revenue up slightly year-over-year”, cdcgaming.com, January 13, 2025.