Maine Sports Betting Revenue Trends: Insights and Future Projections

Maine's first year of operation as a legal sports betting market only included November and December. Still, those two months provided the first insights into the revenue the industry may generate in the years to come.

Below is a rundown of the key numbers from Maine's initial foray into legalized sports betting:

• Maine's total handle for the state's first year with online sports betting was $82.1 million in wagers.
• The state's GGR for 2023 was just over $9 million, and Maine was able to generate $902,000 in tax revenue as a result.

The market grew as Maine moved into its first full year of legalized sports betting in 2024. Between January and October 2024, the state reported impressive monthly handles totaling $413 million over the 10-month period. Monthly handles ranged from $35.6 million to a high of $52.3 million in October, reflecting steady engagement from bettors throughout the year.

Gross Gaming Revenue (GGR) for 2024 reached $43.5 million during this period. Monthly hold percentages fluctuated between 5.69% in March and 14.32% in January. Adjusted Gross Receipts (AGR), which account for deductions such as promotional credits and free bets, amounted to $39,186,137.70, indicating a significant portion of operator revenue was used for customer acquisition and retention strategies.

Tax revenue from the sports betting industry also saw substantial growth in 2024. Between January and October, the state collected $4.3 million in taxes, an increase compared to the two-month total of $902,000 from 2023.

Maine's Sports Betting Performance in 2024:

• Total Handle: $413,273,905
• Gross Gaming Revenue (GGR): $43,540,153
• Average Hold Percentage: 10.54%
• Tax Revenue: $4,361,830

• September 16, 2024: Caesars launched the first in-person sports betting location in the state. (SBC Americas, 2024)
• April 19, 2024: Bill to legalize online casino gaming fails in Maine's state legislature (SBC Americas, 2024)
• November 3, 2023: Maine launches legal sports betting market after Governor Janet Mills signed it into law in May 2023. (MainePublic.org 2023)
• October 25, 2023: Maine cracks down on daily fantasy sports company Underdogs, fining them $392 thousand due to 'Pick'em' contests violating regulations. (SBC Americas, 2023)

Maine has a tax rate of 10% of all gross gaming revenue (GGR) and the Maine Gambling Control Unit is transparent about where the funds the state takes in from this industry go.

Here is how the Pine Tree State allocates the revenue from that 10% tax on sports wagering:

• 6.5% must be deposited in the General Fund.
• 1% must be deposited in the General Fund for the administrative expenses of the Maine Gambling Control Unit.
• 1% must be deposited in the Gambling Addiction Prevention and Treatment Fund
• 0.55% must be paid to the State Harness Racing Commission.
• 0.55% must be deposited in the Sire Stakes Fund.
• 0.40% must be deposited in the Agricultural Fair Promotion Fund.

Maine state law permits any of the four tribes native to the state—the Maliseet, Micmac, Passamaquoddy, and Penobscot—to partner with a licensed sportsbook. On November 3rd, 2023, Caesars Sportsbook launched operations in Maine by partnering with three Wabanaki Nations: the Houlton Band of Maliseet Indians, the Mi’kmaq Nation, and the Penobscot Nation.

Caesars is now accepting sports wagers on mobile and desktop platforms across the Pine Tree State. In addition, Caesars operates a retail sportsbook location, and if it proves successful, more operators could open across the state.

The two casinos licensed under state law—Hollywood Casino in Bangor and Oxford Casino in Oxford (Maine State Legislature, 2020)—could explore partnering with a bookmaker to add retail sportsbooks or an online betting platform. This could further expand the sports betting market in Maine, offering residents even more options.

If the vast majority of Maine sports bettors show little interest in retail sportsbook betting and prefer to bet online, Maine could eventually become a state where online betting is the only option for consumers.

What is clear is that there is growing interest in sports betting in the state.

In September 2024, new records for both Maine sports betting handle ($51.8 million) and gross revenue (GGR) with $6.7 million. The previous record for GGR was $4.6 million (iGamingBusiness.com, 2024).