In September 2025, New York’s online sports betting operators reported a decline in revenue, despite a notable increase in player wagering activity compared to the same period last year. According to data from the New York State Gaming Commission, online sportsbooks generated $193.8 million in gross gaming revenue for the month. This figure represents a 5.3% decrease from the $204.7 million recorded in September 2023. However, when compared to the previous month of August 2025, there was an 8.8% increase, indicating a short-term recovery.
The reduction in revenue came even as the total amount wagered by players surged to $2.29 billion, marking a 10.6% increase from the prior year and a 12.3% rise from August’s handle. The operators’ hold rate, which is the percentage of total wagers retained as revenue, stood at 8.47% for September.
Flutter Entertainment’s FanDuel maintained its leading position in the New York sports betting market, generating $77.6 million in revenue from $790.4 million in bets, with a strong hold of 9.82%. This performance secured approximately 40% of the state’s overall betting revenue for the month, reinforcing FanDuel’s market dominance.
Trailing behind, DraftKings reported $66.7 million in revenue from a higher betting volume of $870.6 million, although its hold rate was lower at 7.66%. Despite handling more bets than FanDuel, the reduced hold rate affected its revenue ranking.
Fanatics Sportsbook remained steadfast in the third position, earning $20.5 million from $219 million in wagers with a hold rate of 9.36%. Meanwhile, the competition between BetMGM and Caesars Sportsbook was fierce, as both concluded September with $10.9 million in revenue. BetMGM achieved a slightly better profitability with a hold rate of 7.28% from $149.8 million in wagers, compared to Caesars’ 7.17% hold from a $152 million handle.
Rush Street Interactive followed with $3.6 million from $45.9 million in bets, achieving a hold of 7.84%. ESPN Bet registered a hold rate of 5.94% with its $2.8 million revenue from $47.1 million wagered. Further down the rankings, Bally Bet posted $788,535 in revenue from $13 million in bets, reflecting a 6.07% hold, while Resorts World Bet ended the month with $229,357 from $2.8 million in wagers, resulting in an 8.33% hold.
The September data reveals a notable dynamic within New York’s betting industry: while player engagement is on the rise, profitability for operators has not followed suit. As the NFL season gains momentum and other major sports events capture public interest, the volume of bets is expected to remain elevated through the year’s end. Nevertheless, maintaining profit margins might pose a significant challenge due to the intense competitive pressures within the market.
Industry insiders suggest that the fierce competition and aggressive marketing strategies employed by sportsbooks to attract bettors could be contributing factors to the declining profit margins. The market, they observe, is saturating with operators who are willing to offer better odds and promotional incentives to capture market share. One insider noted that while the sheer volume of wagers is a positive indicator of market health, sustaining profitability in such a crowded field is an ongoing battle.
Conversely, some experts argue that the current focus should not solely be on immediate profitability. They point to the long-term potential of establishing a strong customer base and brand loyalty, which could eventually translate into sustained revenue growth. As one industry analyst mentioned, the primary objective right now might be to secure a foothold in the market rather than maximizing short-term gains. In their view, the operators who manage to retain customer interest through strategic innovations and service quality improvements are likely to see more substantial returns in the future.
Looking ahead, there is optimism that as the regulatory environment continues to evolve and mature, operators will adapt their strategies to ensure both market competitiveness and profitability. The current trends suggest a period of adjustment where operators refine their approaches to capture the expanding market while working towards achieving better financial outcomes.
Ultimately, the fluctuations in New York’s sports betting revenue highlight the complexities of navigating a rapidly growing industry. The balance between driving player engagement and ensuring profitability remains a pivotal point of focus for operators. As the market continues to develop, the strategies employed by these companies will be crucial in determining their success in capturing and sustaining market share in one of the nation’s most vibrant betting landscapes.
Sarah Thompson is a seasoned writer specializing in casino gaming and online gambling. With over a decade of experience in the industry, Sarah brings in-depth knowledge and a keen eye for detail to her work at CasinoNoDeposits.com. Her expertise lies in uncovering the latest no deposit bonuses and providing comprehensive reviews of online casinos. Passionate about helping players maximize their gaming experience, Sarah combines her analytical skills with a flair for engaging storytelling.
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