Mobile and online sports betting in Virginia is on pace to exceed a $3 billion handle in just its first calendar year, data from the Virginia Lottery show.
The Lottery said November’s handle was $402.6 million — just short of the record $427.3 million set one month earlier. But the 10 sportsbooks currently live in the Old Dominion collectively grossed a record $29.9 million in adjusted gross revenue (AGR) in November — more than the three previous months combined.
Tax revenue to the state hit a record $4.2 million for the month.
To date, handle in Virginia totals nearly $2.8 billion. Excluding January 2021, when the market was online open for just 11 days, the handle averaged $273.6 million per month over 10 months. A December handle that meets or exceeds that average would be more than enough to break the $3 billion handle mark.
Such a development is likely, considering bettors in December had college football bowl games and a month of NFL, NBA, and NHL action to wager on — disruptions from COVID-19 notwithstanding.
Adjusted gaming revenue to date hit $120.7 million, while tax revenue to date totaled $18.6 million at the end of November. Revenue topped $10 million for the seventh time in November, while tax revenue grew for the third consecutive month. The Lottery does not separate revenue by operator.
Sportsbooks have collectively spent $105 million to date on bonuses and promotions. Those costs totaled just shy of $15 million in November, making it the third-highest month behind September ($17.4 million) and October ($15.8 million).
Virginia Lottery Board to Meet on January 12
Eleven sportsbooks are currently live in Virginia. The first five to go live were BetMGM, BetRivers, DraftKings, FanDuel and William Hill, which were all issued licenses in January 2021 and launched shortly thereafter. William Hill rebranded as Caesars Sportsbook last August.
A second group of five to go live were WynnBET, Golden Nugget, Bally Bet, Barstool and Unibet. The operators got their sportsbooks live at different points during 2021.
The Lottery awarded three additional licenses in late November to Betway, PointsBet, and 888 Holdings. Of that group, PointsBet is the only sportsbook to have since launched, going live in mid-December as the state’s 11th operator.
UK-based 888 says it plans to launch a Sports Illustrated (SI)-branded sportsbook in Virginia. It would be the second state for that sportsbook, having launched in Colorado in September 2021.
It’s not clear if the Lottery plans to award licenses to any additional sportsbooks at its next board meeting, scheduled for January 12. Although an official agenda for the meeting has not yet been posted, the Virginia Regulatory Town Hall (VRTH) website shows the Virginia Lottery Board plans to “promulgate new regulations governing casino gaming” at the meeting.
VRTH records show three sportsbooks — Handle 19, theScore Bet, and US Bookmaking — could possibly be interested in obtaining licensure from the Virginia Lottery. The Lottery has kept the identities of companies seeking a license secret.
Virginia’s new gaming regimen would have allowed the Lottery to issue up to two additional sportsbook licenses before the end of 2021, but the regulator declined to do so.
