$89.2 Million In June Revenue As Michigan Internet Gaming Strong Again In June
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Despite not reaching nine figures, the June online casino revenue totals in Michigan still present impressive figures for the state.
On Monday, the Michigan Gaming Control Board announced that the internet gaming sector in Michigan achieved a gross revenue of $89.2 million in June. This marks the third consecutive month where the state came close to reaching the $100 million milestone.
Michigan has the potential to join the ranks of top-performing states like New Jersey and Pennsylvania by achieving a nine-figure revenue in a single month of internet gaming. This would make it the third state to accomplish such a significant milestone.
In June, the revenue generated from internet gaming in Michigan witnessed a decrease of 5.9% compared to May’s output of $94.9 million. Furthermore, the leading internet gaming provider in the state reported a significant write-off, which had an impact on the tax revenue collected in June.
According to the head regulator in Michigan, the slight decline in online sports betting can be attributed to both summer weather and the relaxation of pandemic restrictions.
According to a news release by Henry Williams, the executive director of MGCB, Michigan’s internet casino gaming and online sports betting receipts in June were similar to those in May. Williams mentioned that with summer here and the reopening of Michigan after pandemic restrictions, there are numerous entertainment options available. He also highlighted that the slight decrease of one-tenth of a percent from May to June indicates that internet gaming and online sports betting continue to attract the attention of both Michigan residents and visitors.
BetMGM Casino again leads way in revenue; customer lawsuit ongoing
In June, a total of thirteen operators participated in the online casino revenue of Michigan. Among them, BetMGM emerged as the top earner, generating $33.8 million and capturing a market share of 37.8%. Most of this revenue was generated by BetMGM Casino, although BetMGM Poker also made a contribution.
| Licensee | Brand | Revenue | Promos | State Tax | Local Tax |
|---|---|---|---|---|---|
| MGM Grand Detroit | BetMGM | $33,760,818 | $17,544,525 | $3,178,393 | $1,564,872 |
| Bay Mills | DraftKings | $15,474,640 | $1,547,464 | $3,119,687 | $779,922 |
| MotorCity | FanDuel | $14,835,065 | $1,483,507 | $2,616,906 | $1,288,425 |
| Little River | BetRivers | $5,989,809 | $598,981 | $1,207,546 | $301,886 |
| Keweenaw Bay | Golden Nugget | $4,338,753 | $433,875 | $874,693 | $218,673 |
| Sault Ste. Marie | WynnBet | $3,891,726 | $389,173 | $784,572 | $196,143 |
| Little Traverse Bay | Fox Bet | $3,289,844 | $328,984 | $663,233 | $165,808 |
| Greektown | Barstool | $2,843,660 | $284,366 | $501,622 | $246,972 |
| Pokagon | Four Winds | $2,088,864 | $208,886 | $330,876 | $82,719 |
| Hannahville | TwinSpires | $1,416,397 | $141,640 | $224,357 | $56,089 |
| Match-E-Be-Nash-She-Wish | Play Gun Lake | $585,200 | $58,520 | $84,269 | $21,067 |
| Lac Vieux Desert | PointsBet | $514,809 | $0 | $82,369 | $20,592 |
| Grand Traverse | William Hill | $172,651 | $0 | $27,624 | $6,906 |
| Nottawaseppi Huron | FireKeepers | $11,902 | $1,190 | $1,714 | $428 |
| Total | $89,214,138 | $23,021,111 | $13,697,860 | $4,950,504 |
BetMGM’s prosperous journey persists, albeit marred by a lawsuit from a Michigan woman pursuing $3 million in alleged winnings from an online roulette game malfunction. This news came to light towards the end of June.
Due to a significant investment in promotional activities, BetMGM’s adjusted revenue amounted to only $16.2 million.
In terms of revenue and market share, DraftKings Casino secured the second position with $15.5 million, accounting for 17.3% of the market. Following closely, FanDuel Casino claimed the third spot with $14.8 million, representing a 16.6% market share.
Last week, FireKeepers Casino successfully introduced its online casino and sportsbook platforms, resulting in a reported online casino revenue of $11,902 for the month of June. A FireKeepers representative informed Playinmichigan that the MGCB had granted approval for a soft launch of the platform in the previous month.
BetMGM finally posts free play promo spend, cutting June tax haul
According to our records of lifetime online casino revenue in Michigan, operators reported a record-breaking promotional spend for internet gaming. In the month alone, operators invested a staggering $23.0 million. Furthermore, from January to May, operators reported a cumulative promotional spend of $24.5 million for casino activities.
BetMGM reported a total of $17.5 million in promotional expenses during the month of June. According to regulations, operators are permitted to deduct up to 10% of free play expenses for the initial three years of online casino operations. Surprisingly, since its launch, the brand had not disclosed any costs related to online free play.
The accounting catchup resulted in reduced tax payments for the state, city of Detroit, and the 12 federally recognized Native American tribes in Michigan.
In June, the state taxes generated from internet gaming amounted to $13.7 million, while city casino operators in Detroit contributed $3.1 million to the city’s funds. Additionally, Native American governmental operations received $1.85 million in taxes from tribal operators.
Internet gaming in the state has generated a staggering $483.1 million in revenue since its launch on January 22nd. This impressive amount has contributed $85.2 million in state taxes, $24.0 million in taxes and fees for Detroit, and $9.1 million for tribal operators.
