Key Moments:
- The Michigan Gaming Control Board reported a 3.1% drop in total online gaming revenue in September 2025.
- Online sports betting adjusted gross revenue plunged 61.3% month-on-month, while igaming adjusted gross revenue slipped only 1.5%.
- September generated over $51 million in taxes for Michigan, led by online casinos.
September Sees Revenue Contraction Across Verticals
The Michigan Gaming Control Board (MGCB) has announced that online gaming revenues for September 2025 took a step back following an extended period of robust growth. Both the online casino and sports betting sectors reported declines compared to August.
Casino Resilience Versus Betting Volatility
Online casino revenue slipped by 1.6% from US$263.27 million in August to $259.1 million in September. Sports betting revenue experienced a sharper decline, falling 11.5% from $49.27 million to $43.6 million for the same period. Total adjusted gross revenue (AGR) from the two segments reached $256.6 million, with online casinos contributing $243.4 million and sports betting providing $13.2 million.
While the igaming segment demonstrated resilience by only declining 1.5% in AGR, online sports betting AGR plummeted by 61.3%. This came despite an increase in handle, with total sports betting handle up 54.7% to $524.3 million, compared to $338.9 million in August. Increased player wagers did not translate into retained revenue for operators due to compressed win margins.
Year-on-Year Performance and Market Stability
Looking at year-on-year comparisons, igaming AGR rose by 33.5%, highlighting continued growth in online casino activity. In contrast, sports betting AGR contracted 52%, emphasizing ongoing volatility in Michigan’s online betting sector.
Tax Contributions Remain Robust
Michigan maintained strong tax revenue from online gaming in September. The MGCB reported $51.6 million in total taxes collected: $50.8 million from online casinos and $768,038 from sports betting. These consistent inflows demonstrate the underlying strength of the state’s regulated market, despite fluctuations in monthly operator revenue.
Revenue and Tax Figures Breakdown
| Category | August 2025 | September 2025 | Change (%) |
|---|---|---|---|
| Online Casino Revenue | $263.27 million | $259.1 million | -1.6 |
| Sports Betting Revenue | $49.27 million | $43.6 million | -11.5 |
| Sports Betting Handle | $338.9 million | $524.3 million | +54.7 |
| Total AGR | – | $256.6 million | – |
| Casino AGR | – | $243.4 million | -1.5 |
| Sports Betting AGR | – | $13.2 million | -61.3 |
| Total Taxes Collected | – | $51.6 million | – |
| Casino Taxes | – | $50.8 million | – |
| Sports Betting Taxes | – | $768,038 | – |
Outlook for Michigan’s Online Gaming Market
Despite September’s downturn, industry analysts point to Michigan’s online casino market as a driver for ongoing revenue stability heading into the final quarter. Whether the market regains momentum after this temporary dip remains a focal point for investors tracking growth in one of America’s leading iGaming jurisdictions.
- Author
Daniel Williams
