New York Sees February Decline in Sports Betting

In February 2025, New York's sports betting industry experienced a notable decline in monthly player spending, dipping below the $2 billion mark for the first time in six months. Players in the state wagered a total of $1.98 billion, representing an 11.2% increase from February 2024 but a significant 20.2% drop from January’s record-breaking $2.48 billion. This reduction in betting handle marks the lowest total since August 2024, when wagers fell to $1.44 billion. Despite the drop, New York’s sports betting sector continues to show resilience, with both handle and revenue demonstrating year-on-year growth.

 

February’s Revenue: A Mixed Performance

Alongside the drop in player spending, the state's sports betting revenue also saw a decline from January's peak. February's revenue totaled $184.8 million, a 40.8% increase compared to the same month in 2024. However, this was still 25.2% below the $247 million generated in January, the highest revenue haul since sports betting was legalized in New York.

The monthly “hold,” or the percentage of total wagers that operators retain as revenue, for February was 9.24%. This is slightly higher than the average in other markets, signaling the state’s capacity to generate consistent earnings despite a reduction in the overall betting handle.

When it comes to market share, FanDuel, owned by Flutter Entertainment, remains the undisputed leader in New York’s sports betting scene. In February, FanDuel took in $738.5 million in wagers, generating $92.5 million in revenue. This translates to a robust 12.53% hold, marking FanDuel’s continued dominance in the state.

DraftKings, FanDuel’s closest competitor, posted a solid performance with $717.4 million in wagers and $51.6 million in revenue. However, its 7.19% hold falls significantly behind FanDuel’s. While DraftKings remains a key player, it still faces challenges in catching up to the market leader.

Behind these two giants, BetMGM continued to rise, securing the third position with $11.8 million in revenue from a $130.2 million handle and a hold of 9.06%. Fanatics, a relatively new entrant to the market, secured fourth place with $11 million in revenue from a $169.5 million handle, representing a 6.49% hold. Caesars, the veteran operator, rounded out the top five with $10 million in revenue from $128.6 million in wagers and a hold of 7.78%.

 

ESPN Bet Gaining Momentum

One of the more intriguing developments in the New York market is the ascension of ESPN Bet, which moved up in the rankings to sixth place in February. The sportsbook generated $3.8 million in revenue from $43.3 million in bets, with an impressive hold of 8.72%. While still far behind the top five operators, ESPN Bet’s progress signals growing consumer confidence in the brand, likely bolstered by its strong media presence.

Other operators showing promise include Rush Street Interactive, which earned $2.8 million in revenue from $42.1 million in wagers, achieving a hold of 6.67%. Meanwhile, Resorts World Bet saw a modest increase in performance, moving up from the bottom of the rankings. It generated $607,970 in revenue from a $7.9 million handle, resulting in a hold of 7.71%.

At the other end of the spectrum, Bally Bet struggled, posting the lowest figures with just $484,391 in revenue from a $2.7 million handle, resulting in a 6.73% hold. This highlights the challenges facing smaller operators in a highly competitive market dominated by well-established brands.

 

• February 2025 marked a significant decline in New York's sports betting handle, dropping to $1.98 billion, a 20.2% decrease from January’s record $2.48 billion, the lowest since August 2024.

• Despite the decline in player spending, the state's sports betting revenue still showed growth, totaling $184.8 million, a 40.8% increase from February 2024, though 25.2% lower than January's peak revenue.

• FanDuel remains the dominant player in New York's market, generating $738.5 million in wagers and $92.5 million in revenue, maintaining a strong 12.53% hold, while newer entrants like ESPN Bet show growing momentum

 

The Dip and The Future

Despite the dip in February’s figures, New York’s sports betting market remains on an upward trajectory compared to the previous year. With a steady growth in revenue, the state continues to experience the benefits of legalized sports betting, which has become a crucial part of its gaming landscape. However, the drop in handle between January and February underscores the volatility of the industry, which can be affected by a variety of factors, including the sports calendar, economic conditions, and competition among operators.

As FanDuel and DraftKings continue to dominate the market, the emergence of newer players like ESPN Bet and BetMGM suggests a more competitive future for New York’s sports betting sector. The battle for market share will likely intensify as operators seek to differentiate themselves with promotions, user experience, and innovative features that attract bettors in an increasingly crowded marketplace.

For now, New York’s sports betting market is in a period of consolidation after its record-breaking month in January. With ongoing growth and potential for new regulatory changes, it will be interesting to see how the landscape evolves in the coming months.