Despite Yearly Growth Tennessee Wager Drops To a New Low

ennessee’s sports betting market experienced a significant slowdown in June, with gross handle falling to its lowest point since August 2024. According to the Tennessee Sports Wagering Council, the total amount wagered across the state’s licensed sportsbooks reached $350.9 million for the month. While this represents a modest 2.5% increase compared to June 2024, it also reflects a substantial 19.8% decline from the $437.5 million recorded in May 2025. The drop underscores the highly seasonal nature of the sports betting industry, which often sees diminished activity in the summer months when major professional leagues are in their offseason.

Month	Gross Handle (Millions)	Year-on-Year Change	Month-on-Month Change	Tax Revenue (Millions)
June 2025	$350.9	+2.5%	-19.8%	$6.5
May 2025	$437.5	—	—	—
August 2024	$342.0	—	—	—

The decline to $350.9 million is notable as it is the lowest monthly handle Tennessee has reported in nearly a year, with the last comparable figure being $342 million in August 2024. This recent dip is especially striking given the rapid growth the state’s market has experienced since legalizing sports betting. However, the 2.5% year-on-year increase confirms that despite seasonal fluctuations, the overall market is still expanding. It suggests that while bettors place fewer wagers in June compared to peak months, the base of active participants continues to grow steadily.

Initial data showed that the gross wagers placed in June amounted to $352.5 million before $1.5 million in undisclosed adjustments were made to the total. These adjustments brought the final reported figure down to $350.9 million, a 20% drop from May’s handle. This pattern aligns with national trends in sports betting, where wagering activity typically peaks during the NFL and NBA seasons and slows down in the summer. For Tennessee, a state with a diverse sports betting operator landscape, this seasonality affects total monthly handles more than market maturity or competitive pressure.

One challenge in fully analyzing Tennessee’s sports betting market lies in the limited transparency regarding operator revenue. The state has not publicly reported sportsbook revenue figures since July 2023, which makes it impossible to calculate hold percentages or gauge operator profitability accurately. Nevertheless, the Tennessee Sports Wagering Council did reveal that the state collected $6.5 million in tax revenue from sports betting in June. Tennessee’s taxation system is unique among U.S. states, as it bases its tax on the total handle rather than the sportsbooks’ gross revenue. This 1.85% tax on handle means tax revenue directly correlates with betting volume, offering some insight into market size despite the absence of revenue data.

Currently, Tennessee has authorized 11 online sportsbook operators to conduct betting within the state. This competitive environment includes some of the largest national and international brands such as FanDuel, DraftKings, BetMGM, Caesars, Fanatics, ESPN Bet, Bally Bet, and Hard Rock Bet. The presence of multiple major operators points to a healthy level of competition and consumer choice. However, the notable month-to-month decline in handle indicates that even an expanded operator base does not necessarily prevent seasonal drops in wagering activity. Operators may face ongoing challenges to sustain engagement during slower sports periods.

Looking ahead, Tennessee’s sports betting market is poised for a rebound with the upcoming return of the NFL preseason in August, followed closely by the start of college football. These major sports events typically generate renewed betting interest and higher handles. While the June data highlights the market’s sensitivity to the sports calendar, it also reinforces the importance of tracking trends over multiple months and years to understand the full trajectory of Tennessee’s sports wagering growth. The state’s continued withholding of revenue data complicates efforts by analysts and industry observers to paint a complete picture of sportsbook performance and market health.

June’s decline in Tennessee’s sports betting handle reflects the expected seasonal slowdown, but the year-over-year growth and steady tax revenue highlight a market that continues to expand despite fluctuations.

The Future

In summary, Tennessee’s sports betting handle in June 2025 fell to a 10-month low, reflecting seasonal downturns common in the industry. Yet, a small year-over-year increase and steady tax collections indicate an expanding player base and ongoing market growth. The state’s unique taxation on handle rather than revenue offers a partial glimpse into market scale, but the absence of detailed revenue figures limits deeper analysis. As the fall sports seasons approach, Tennessee’s sports betting landscape will be tested on its ability to regain momentum and sustain growth amid competitive pressures and fluctuating demand.