Delaware Sets Sports Betting Handle Record but Ends December in the Red

Record Handle, But Losses Persist

Players in Delaware wagered a record-breaking $28.4 million in December, with payouts totaling $27.9 million. This left the state’s sole sports betting operator, BetRivers, with a gross gaming revenue (GGR) of $592,292.

However, after accounting for commissions to casinos, vendor fees, and payouts for horse racing operations, Delaware reported a net loss of $174,859 for the month.

For the fiscal year to date, Delaware’s sports betting handle has reached $121.2 million, with over 6.5 million betting slips sold.

Breakdown of Sports Betting Handle

• Delaware Park led the way with $16.5 million in wagers, accounting for over half of the month’s total handle.
• Harrington Raceway followed with $4.9 million.
• Local retail vendors posted $4.6 million in bets.
• Bally’s Dover contributed $2.4 million, rounding out the state’s sports betting locations.

Limited Competition and Market Challenges

Delaware operates its sports betting market under a monopoly model, with BetRivers serving as the exclusive provider under a five-year agreement signed in 2023. While this setup simplifies operations, it limits competition, which can hinder innovation and profit potential.

Additionally, the state’s high payout rate and operational expenses are key factors in its December loss. Despite the record handle, these costs significantly reduced profitability, leaving Delaware struggling to capitalize on the growing interest in sports betting.

The lack of competition and reliance on a single operator may prevent the state from fully leveraging the growth potential of the industry. Delaware may need to explore ways to introduce competitive elements or reevaluate its revenue-sharing agreements to ensure profitability.