Key Moments:
- Arizona’s sports betting handle surpassed $610 million in August
- Adjusted gross revenue rose 85.3% year-on-year to $41.5 million
- FanDuel, DraftKings, and BetMGM led the market in revenue and handle
Significant Increase in Betting Activity
Arizona’s sports betting sector experienced a surge in August, as total wagers exceeded $610 million. According to figures from the Arizona Department of Gaming, both the overall handle and adjusted revenue showed growth compared to the previous year and the prior month. The start of football season contributed to this strong market momentum.
Arizona's sports betting handle hit $610.7 million, up 23% year-on-year and 31.7% from July, according to the Arizona Department of Gaming. pic.twitter.com/KssSqByKvp
— iGB (@iGamingBusiness) October 28, 2025
Driving Forces Behind Revenue Growth
In August, total wagering was up 23% from 2024 and increased by almost 32% over July 2025. Online platforms remained the dominant channel, accounting for $608.9 million of the handle, while retail sportsbooks brought in $1.8 million. Players won $594.3 million, resulting in gross event wagering revenue of $59.9 million. After deducting $18.4 million in free bets and promotional credits, adjusted gross revenue stood at $41.5 million—a robust 85.3% jump year-on-year and marginally higher than July’s figure.
| Metric | August |
|---|---|
| Total Handle | $610 million+ |
| Online Handle | $608.9 million |
| Retail Handle | $1.8 million |
| Gross Event Wagering Revenue | $59.9 million |
| Free Bets & Promo Credits | $18.4 million |
| Adjusted Gross Revenue | $41.5 million |
| Player Winnings | $594.3 million |
| Hold Rate (Gross/Adjusted) | 9.81% / 6.8% |
Market Leaders and Individual Performance
FanDuel maintained its position as the top operator in Arizona, recording $14.2 million in adjusted revenue from $178.5 million in wagers, representing a 7.96% hold. DraftKings followed closely, generating $13 million from online and retail bets totaling $184 million, with a 7.07% hold. BetMGM ranked third, posting $6 million in revenue off $67.5 million in wagers for an 8.89% hold. Fanatics and Caesars rounded out the top five, with adjusted revenues of $2.6 million and $2.5 million, respectively.
| Operator | Adjusted Revenue | Total Handle | Hold Rate |
|---|---|---|---|
| FanDuel | $14.2 million | $178.5 million | 7.96% |
| DraftKings | $13 million | $184 million | 7.07% |
| BetMGM | $6 million | $67.5 million | 8.89% |
| Fanatics | $2.6 million | N/A | N/A |
| Caesars | $2.5 million | N/A | N/A |
State Revenue Benefits from Expanding Market
The increase in sports betting activity contributed $4.1 million in tax revenue for Arizona in August, with the majority coming from online operators. Retail sportsbooks generated $30,625 in taxes. The consistent growth in handle and revenue underscores the expanding strength and competitiveness of the Arizona sports betting market. As football season progresses, further growth in both handle and revenue is anticipated.
- Author
Daniel Williams
