July Revenue Pushes Michigan’s 2023 Online Casino Gross Receipts Above $1 Billion

The summer scourge commonly associated with the online gambling industry in Michigan seemed not to matter in July as the state climbed to $1 billion revenue for the year. According to the Michigan Gaming Control Board, the state generated $153.6 million from iGaming in the month. This marked the all-time fourth best month by revenue since the inception of the gambling industry in 2021, surpassing December 2022’s revenue of $152.7 million.

In addition, July was a big jump from 2022 across all levels, with BetMGM Michigan topping the month once again.  Below is a breakdown of how online casinos fared in the month.

July was, all things considered, a positive month for Michigan online casinos. Compared to the previous month and even on a year-over-year basis, the revenue generated by online sites saw different levels of increase in July 2023. The Great Lakes State recorded $153.6 million in the month, which turned out to be 1.7% greater than June 2023’s revenue of $151 million.

Similarly, there was a 21.3% improvement year-over-year from the gross receipts of $126.6 million recorded in July 2022. Thanks to a solid outing in July, Michigan was able to cross $1 billion in overall revenue in record time. After just seven months, the state’s total online casino revenue now stands at $1.09 billion. This figure is 23.2% more than the $883.6 million that Michigan iGaming sites brands pooled in the first seven months of 2022.

Much of Michigan’s progress began in October 2022, the very first-time casinos in the state jointly recorded over $140 million in revenue. Subsequent months in the year would see the state end with a monthly revenue of $145 million and $152 million in November and December, respectively. In 2023, casinos averaged $155.5 million in monthly revenue. And should this continue, the state may end 2023 with $1.87 billion, indicating over $870 million in the remaining five months. But if casinos continue to see an over 20% increase year-to-year from 2022 like they’ve seen in the past couple months, Michigan could end slightly shy of $2 billion revenue in 2023.

More revenue has always equaled significantly more taxes for Michigan online casinos and this month has been no different. Casinos paid a total of $28.7 million to state authorities and an additional $10.7 million in tax payments to local entities. A total of $40.8 million in tax payments brought Michigan’s lifetime tax revenue from online casinos to $980.3 million.

It is anticipated that August’s tax revenue will definitely make Michigan cross $1 billion in lifetime tax payments. For the past five consecutive months, the state has recorded at least $39 million in tax revenue. The last time tax payments came less than $20 million was June 2021. So, there is absolutely no doubt that Michigan is headed for that milestone.

Tax revenue in Michigan is directed towards education and social benefits. Much of the revenue is also used to sponsor responsible gambling initiatives by the Michigan Gaming Control Board.

Away from general revenue statistics and down to specific casinos, WynnBet had a disappointing outing in July as it struggled to maintain a 2.5% market share. The brand recently put its Michigan operations under review while shutting down its online activities in eight other states. Since it made that decision, all eyes have been on revenue from the Wolverine State.

Unfortunately, WynnBet Casino MI could only pool $3.87 million, its lowest gross receipts since September 2022. It also recorded a slight loss on a year-to-year basis when compared with the $3.92 million generated in July 2022. So, there’s a lot of discouragement ongoing for WynnBet in the state, but the general atmosphere in the state remains positive. So, if stakeholders consider the Michigan market as their main metrics for staying or leaving, online casinos are thriving in the Great Lakes State and WynnBet may well hit a big break soon.

On the flip side, BetMGM Michigan Casino remained the leading online casino with $48.9 million in July 2023. FanDuel Casino MI and DraftKings continued their close contests with $30 million and $28.6 million, respectively.