Tennessee Sports Betting Handle Up 77% Since Last February
Tennessee sports betting has posted $313.3 million in February, representing an over 77% increase in the year-over-year comparison. Although this handle was the lowest since September, it was the fifth-highest total overall.
According to figures released last week by Tennessee Sports Wagering Advisory Council, the February handle shrank 18.8% from January’s $386.1 million – the highest handle record for the state since it launched in Nov. 2020. But this February’s $313.3 million in wagers is up 77.7% from $176.3 million in Feb. 2021, reflecting the state’s progress year-over-year.
It was Bettors’ Month
Gross payouts during last month came to $292.4 million, a 16.2% dip from January’s $349 million.
Though not an ideal month for the Volunteer State and its sportsbooks, it was definitely the bettors’ month. Tennessee’s nine mobile operators saw a combined gross gaming revenue (GGR) of 20.9 million.
The hold rate of 6.7% was the second-lowest ever since it launched its mobile-only sports betting industry on Nov. 1, 2020.
Only the last October was the lowest in terms of the hold rate with a 6.1% win rate. Since Tennessee sports betting went live, these were the only two months that the operators failed to meet the industry standard of 7%.
Tennessee operators reported over $5.8 million in promotional payments for the month. Promotions shrank adjusted revenue to $15.1 million, representing a 48% decline from January’s $29.1 million.
The state yielded $3 million in tax revenue, a 48% decrease from January’s $5.8 million. The slowdown comes despite $23.1 million being wagered on the Super Bowl this February.
Why February Brought Lull in Tennessee Sports Betting?
February brings a slower activity in US sports betting following a month filled with football games. The trend is the continuity from the previous year, and the 18.8% decline month-over-month was hardly a surprise or even a thing to worry about.
According to the sports analyst Alec Cunningham, the calm doesn’t last long as the month follows March Madness – the biggest sporting month in the US in a calendar year.
March Madness is expected to help the Tennessee sportsbooks make new records.
More perturbing for the operators was the prospect of losing baseball, which keeps them afloat during the slumbering months between March and September. However, with a full schedule on tap, there are fewer reasons to worry.
Tennessee, the Quickest to Cross $50m in Taxes
Tennessee sports betting has raised over $8.8 million in tax receipts in the first two months this year, almost $2 million more than during the same period last year.
In January, the Volunteer State became the quickest to cross $50 million in tax receipt in the post-PASPA era, reaching the milestone in 15 months.
The February numbers add the revenue close to $54 million overall.
The SWAC does not reveal the handle and revenue by either individual sportsbook or sport. The state regulator also did not reveal any betting figures regarding Super Bowl LVI.