Pennsylvania Fiscal Year-End Shows Power of iGaming
The Pennsylvania Gaming Control Board released its annual report at the very end of September. The report examines the PGCB’s activities and contributions to the state of Pennsylvania for the 2021-2022 fiscal year, which ended June 30, 2022.
That fiscal year delivered more tax revenue to Pennsylvania than any other year to date as it soared past $2B for the first time.
The growth of all sectors of PA gaming showed that the industry not only rebounded from the pandemic but has grown to become bigger and better than ever before.
Annual Overview
The Pennsylvania gambling industry is divided into four parts to easily show the major contributors to this part of the state’s revenue. That revenue for the 2021-2022 year came from 16 properties across the state, as even igaming runs through land-based casinos. The combined revenue totals were:
-Land-based casino slot machines: $2,410,313,212 = tax revenue $1,230,575,993
-Land-based table games: $1,015,735,661 = tax revenue $163,776,653
-Sports wagering: $315,716,247 = tax revenue $113,657,849
-iGaming: $1,232,309,138 = tax revenue $518,899,874
Two of those categories can break down further.
Pennsylvania Sports Betting
Sports betting has several components:
-Total revenue: $315,716,247
–retail portion: $48,457,050
–online portion: $267,259,197
-Handle (amount wagered): $7,085,363,762
The 2021-2022 fiscal year increased revenue, in part, because there were three new retail locations: Hollywood Casino York, Hollywood Casino Morgantown, and Parx Malvern Off-Track Betting. Two new online sites launched online sportsbooks: Betway via Live! Philadelphia Casino and PointsBet via Hollywood Casino York.
In total, there are now 18 retail locations and 14 online sites. Even with the new additions, though, revenue increased only 2% year-on-year.
The PGCB expects several more online sports betting sites to launch in the coming year.
Pennsylvania Internet Gaming
As for the state’s igaming sector, it consists of three parts, of which poker is the smallest by far:
-Total revenue: $1,232,309,138
–online slots: $847,462,388
–online table games: $349,622,080
–online poker: $35,224,670
The market seems as if it is saturated, but three new igaming sites added in the most recent fiscal year showed that it could handle more. Three new sites entered the arena: Betway via Live! Philadelphia Casino, PointsBet via Hollywood Casino Penn National Race Course, and WSOP via Harrah’s Philadelphia Casino.
That brings the total to 19 igaming sites in Pennsylvania. And those sites increased the annual igaming revenue 37% from the previous year.
Those 19 sites are affiliated with casinos as:
-WSOP & Caesars via Harrah’s Philadelphia
-Unibet via Mohegan Sun Pocono
-betParx via Parx Casino
-PokerStars via Mount Airy Casino Resort
-Hollywood Casino, DraftKings, BetMGM, PointsBet, & Barstool via Hollywood Casino at Penn National Race Course
-TwinSpires via Presque Isle Downs Casino
-PlayLive! & Betway via Live! Casino Philadelphia
-PlaySugarHouse, Borgata, & BetRivers via Rivers Casino Philadelphia
-FanDuel & Stardust via Valley Forge Casino Resort
-WindCreek via Wind Creek Bethlehem
Further, the PGCB is in the process of clearing more sites – up to ten – for launch in the 2022-2023 fiscal year.
Per the report, the PGCB focuses on account security for the igaming sites. The latest updates and requirements help reduce fraud, identity theft, and unauthorized account access. Each igaming operator must prove its ability to meet regulatory standards. The PGCB continually monitors the sites to ensure they live up to the “PGCB Licensed and Regulated” logo displayed on said sites.
