Kansas Sports Betting Revenue Decline Continues
State Sees Smaller Profit For Third Straight Month
February was either very good for Kansas sportsbooks or very bad depending on what numbers you look at. The month-to-month betting shows a downward trend, as handle and revenue declined for the third straight month. However, the state’s sportsbooks did much better in February than they did in February 2023.
Part of the Kansas sports betting revenue decline in February is due to the end of football season. That isn’t exclusive to Kansas, as it’s happened in all states.
Kansas saw an all-time record $260.9 million wagered in November. December was close with $259.6 million bet and January’s sports betting handle was $239.6 million. February saw $203 million wagered, so the handle has also dipped three straight months.
Last year there was $194 million bet in February, so there was a 4.6% increase in handle in year-over-year betting. The Kansas City Chiefs played in both Super Bowls the last two years, so the difference in handle can’t be attributed to the Chiefs. People simply wagered more this year.
A Kansas sports betting revenue decline also coincides with the drop in handle. The state’s sportsbooks profited $43 million in November and $20 million for December. The revenue dropped to $14.3 million in January and was over $3 million in February. While there is a Kansas sports betting revenue decline, you have to look at year-over-year betting to get the full picture.
In November 2022, the sportsbook revenue was $8 million compared to $43 million in 2023. Likewise, December 2022 profit was $10.3 million, which is just a shade over half of the December 2023 revenue. January 2023’s revenue of $6 million is less than half of January 2024’s profit. Last February, the state’s sportsbooks showed just $35,916 in profit. So the $3 million in February isn’t looking so bad.
DraftKings Biggest Winner in February
A closer look at the latest numbers from the Kansas Lottery shows DraftKings was responsible for 64.5% of the revenue. DraftKings was responsible for all $5,025 retail profit and $1.96 million of the $3.05 million revenue generated from those who bet online. FanDuel, BetMGM, ESPN Bet, Caesar’s and PointsBet also have a presence in the state, so Kansas has most of the best sportsbooks.
DraftKings led the way with $87.6 million in handle, followed by FanDuel at $58.5 million. BetMGM was third with $20.1 million in wagers, followed by ESPN Bet and Caesar’s.
Kansas follows the pattern set in other states of bettors preferring to make their picks and parlays online. The retail handle for February was $9.1 million compared to $193.8 million wagered online.
Chiefs Hurt State’s Sportsbooks
The biggest reason why the Kansas sportsbooks have seen low profits in February the last two years is the Chiefs covering the point spread in the Super Bowl. People in Kansas are going to bet the Chiefs. It’s as simple as that. FanDuel, ESPN Bet and Caesar’s reported no revenue from their retail sportsbooks for the month. The three sportsbooks received nearly $8.5 million in combined wagers.
It wasn’t any better online for ESPN Bet, which reported no revenue despite receiving $14.6 million in bets. BetMGM also reported no revenue for February and took in $20.1 million in wagers for the month. PointsBet claimed no revenue after taking in $1.5 million in bets, so the sportsbooks had plenty of tickets on Kansas City in the Super Bowl.
For Gambling news, odds analysis, and more, visit Point Spreads Sports Magazine.
