Philadelphians were ecstatic when the Philadelphia Eagles beat the Kansas City Chiefs at Super Bowl LIX. Sports bettors in Pennsylvania placed a high percentage of wagers on the Philadelphia Eagles to win. The Philadelphia Eagles won 40–22, and sportsbooks ended up losing millions. They had to pay out $6.5 million more than the wagers they took in from bettors.
The February numbers from the Pennsylvania Gambling Control Board (PGCB) show a recent trend. Revenue at retail casinos and sportsbooks saw a decrease while online gambling revenue is still growing.
February sports betting revenue plummeted
Online and retail sports betting are legal in Pennsylvania. Sports bettors can wager on professional and college sports events. There are no restrictions on wagering on in-state teams, but college prop bets aren’t available. There are 11 legal online sportsbooks in the Pennsylvania sports betting market.
The Pennsylvania Gambling Control Board (PGCB) reports that taxable PA sports betting revenue for the month was $7.5 million. This was a more than 75% decrease from February 2024’s total of just over $30 million. The Super Bowl victory of the Eagles was the main contributing factor to the loss.
The total sports betting handle was up for the month by 14% compared to February 2024. This was despite the fact that taxable revenue decreased significantly. The year-to-date handle suggests sustained interest in sports betting even though operator margins may fluctuate.
- Total online sports betting revenue was just over $10 million for the month.
- Retail sportsbooks lost a total of nearly $3 million for the month.
This is the first time since 2020 that Pennsylvania sportsbooks reported negative revenue.
Decrease in total revenue
According to the PGCB, February 2025 saw a decrease of 4.38% in total revenue compared to February 2024. Total gaming revenue reached just over $477 million in February 2025.
Besides the substantial drop in sports wagering revenue, retail slot machines and table games also showed weaker performance.
The tax revenue gaming operators contributed in February was $202.5 million. This included $91.8m from online gambling, $2.7m from sports wagering, $94.2m from retail slot machines, and $11.9m from table games.
The decline in February came after a good start to the year. In January, Pennsylvania’s total gaming revenue reached over $529 million. This was driven by an increase in online slot revenue.
Achieving business success often requires balancing diverse income streams. This appears to be what’s happening in online casinos where increases in online gambling are helping to make up for decreases in other areas.
Online gambling makes up for sports betting losses
The global online gambling market size in 2022 reached $63.53 billion. It grew to $70.64 billion in 2023 and is projected to reach $153.57 billion by 2030.
In the month of February in Pennsylvania, online gambling brought in more than $207 million in taxable income. This was a new monthly record and an increase of over 12% when compared with the total in February 2024.
Hollywood Casino was the leader in online gambling in the state, bringing in revenue of over $77.5 million. It was followed by Valley Forge Casino, Rivers Casino, and Parx Casino. Parx Casino was the leader in retail slots, bringing in nearly $30 million. More details:
- Online slots revenue reached $154 million in February.
- Online table game revenue reached nearly $51 million for the month.
- Online poker contributed $2.4 million in revenue.
- Tax revenue from online gambling in February was almost $92 million.
Looking Ahead
When looking ahead, it appears that the gaming market in Pennsylvania has opportunities it can embrace and challenges to overcome. The online gambling sector is likely to keep growing. However, the decline in retail casino performance and volatility in sports betting are possible causes for concern.
Industry analysts are expecting operators to potentially increase their efforts to promote sports betting and to expand their online gambling offerings.
Regulatory oversight is more important than ever as Pennsylvania seeks to balance land-based and online gambling markets.
Pennsylvania is one of the largest regulated gambling markets in the U.S. but as competition increases and consumer preferences evolve, operators may face a battle to sustain growth over the long term. They will need to have the flexibility to adjust to changing market dynamics.