Colorado Becomes Seventh State to Accumulate $8 Billion in Sports Betting Income
Colorado's sports betting market has shown significant growth in recent months, with August 2022 marking a particularly impressive milestone. The state accepted over $290.1 million in sports wagers during August, a figure that represents a 36.9% increase compared to August 2021 and a 12.3% increase compared to July 2022.
This growth has translated into substantial revenue for the state. Colorado operators posted an 8.9% hold to claim $25.9 million in gross revenue in August 2022. Adjusted revenue for the year is up 27.6% to $85.8 million, with $185.6 million in operator revenue for the year being 35.2% higher than the same period in 2021.
One of the key drivers of this growth has been the popularity of baseball betting. In August, the public held a 5.5% hold on baseball bets, generating $6.5 million in revenue. This marked the fourth consecutive monthly record for baseball handle, with August's figure standing at $117.8 million.
Other popular sports in Colorado have also seen strong growth. Soccer revenue in August 2022 created a 9.5% hold from $19 million wagered, while parlay wagering had a handle of $52.7 million and revenue of $5.7 million.
The strong performance in August 2022 saw the state's adjusted revenue reach at least 75% of the gross revenue claimed for the first time. This is a significant achievement, indicating that the market is becoming more efficient and profitable for operators.
Comparing Colorado's performance to other states, it is clear that the state is among the top performers in the U.S. Colorado has generated $23.8 million in sports wagering revenue over 28 months, and has surpassed $8.2 billion in sports wagering handle since launching operations in May 2020.
Elsewhere in the U.S., at least four states have surpassed $8 billion in total sports wagering handle since May 2020. New York, Illinois, Pennsylvania, and North Carolina are the states in question, with Massachusetts being close but under $8 billion as of the end of 2024.
New York has reached over $22 billion in handle by 2024, fueled by mobile sports betting launched in 2022. Illinois has an active and growing sports betting market, with legal online betting available statewide, and its handle figures contributing to crossing the $8 billion milestone since 2020. Pennsylvania, as implied by strong sportsbook revenues and significant handle, is another key state among the top bettors since the May 2020 timeline. North Carolina reached nearly $8.4 billion in total handle within roughly a year of launching in March 2024.
In conclusion, Colorado's sports betting market has shown impressive growth in recent months, with August 2022 marking a particularly strong performance. The state is among the top performers in the U.S., with a total handle of over $8.2 billion since launching operations in May 2020. The market is becoming more efficient and profitable for operators, with adjusted revenue reaching at least 75% of the gross revenue claimed for the first time. Colorado's sports betting market is poised for continued growth in the coming months and years.
Finance from sports-betting activities saw a significant increase in Colorado, with operators earning $25.9 million in gross revenue in August 2022. This growth can be attributed to the popularity of parlay wagering, which had a handle of $52.7 million and generated $5.7 million in revenue during the same period.
In the realm of sports-betting, operators in Colorado have been successful in parlaying these strong financial gains, providing an excellent opportunity for further investment and expansion in the sports-betting market.
