Sports betting revenue in Virginia rose sharply in December, even as total wagering declined from both the prior month and the previous year, highlighting the continued volatility and margin-driven nature of the market.

Adjusted gross sports betting revenue for the month reached $79.3 million, according to figures released by the Virginia Lottery. That represented an 80.6% increase year-on-year, comfortably surpassing December’s total from the prior year. However, revenue declined 16.8% compared with November 2025, when the state posted a record $95.3 million.

The December result came despite a contraction in consumer spending. Total handle for the month was $710.9 million, down 2.6% compared with December 2024 and 10.4% lower than November 2025. Virginia’s all-time handle record remains the $831.6 million wagered in October 2025.

Online wagering continued to account for the overwhelming majority of activity. Of the $79.3 million in revenue, $79.2 million was generated through mobile sportsbooks, while retail betting contributed just $115,064 for the month. Online handle reached $705.3 million, with retail sportsbooks taking in an additional $5.7 million. Virginia currently licenses 14 mobile operators and three casinos for sports betting, though the Virginia Lottery does not disclose operator-level performance data.

Players received a total of $627.5 million in winnings during December. The Lottery also reported $4.1 million in other, unspecified deductions during the month, though no deductions related to bonuses or promotional credits were recorded.

Higher margins helped drive revenue growth even as total wagering declined, showing the resilience of Virginia’s sports betting market.

Tax contributions rise sharply

Despite the lower handle, higher revenue translated into a significant increase in tax payments. Sports betting operators paid $11.9 million in taxes in December, representing an 81% increase compared with the same month in 2025. Of that total, $11.6 million was allocated to Virginia’s General Fund, while $298,338 was directed to the state’s Problem Gambling Treatment and Support Fund.

The December figures underscore a broader trend in Virginia’s sports betting market, where revenue performance has increasingly diverged from total wagering volumes. While betting activity softened toward the end of the year, operators’ improved hold rates helped drive higher returns for both businesses and the state.