The New York sports betting handle surged to $442.7 million in the week to March 12 as bettors geared up for the NCAA Tournament.
It represented a 7.8% increase on the $410.8 million handled during the prior week, showing that operators are building momentum at this bust time of the year.
Gross gaming revenue increased 56.6% to $40.4 million for the seven days to March 12, which amounted to a 9.1% hold rate for sportsbooks.
As always, FanDuel Sportsbook was the market leader, with $185 million handled and revenue of $20.9 million. DraftKings assumed its regular position as the runner-up, with $147.8 million in bets taken and gross revenue of $11.7 million.
Operators pay a 51% revenue tax in New York, and they are not permitted to deduct promotional spend before paying that tax.
They invest heavily in bonuses and promos at this time of the year, so it is unlikely that they are making large profits from operating in the Empire State.
DraftKings chief executive recently warned that it may need to offer less attractive odds and smaller bonuses in New York if the tax rate does not decrease.
However, that looks unlikely, as Gov. Kathy Hochul projected $896 million in tax revenue from online sports betting in her executive budget proposal for the 2024 financial year.
Figures from the New York State Gaming Commission also show that the sports wagering handle for February hit $1.47 billion, with $108.3 million in gross gaming revenue.