2022 was one for the record books for Michigan’s online iGaming and sports betting operators. According to figures released by the Michigan Gaming Control Board (MGCB) online casino gaming and sports wagering operators reported a combined $1.98 billion in total gross receipts for 2022. The figure represents an impressive 41% increase from 2021’s combined gross receipts of $1.4 billion. Sports wagering operators brought in just over 20.2% of the total, with $399.58 million in gross receipts, while internet casino gaming accounted for the remaining 79.8% of revenue, translating to $1.58 billion.
Adjusted Gross Receipts
Adjusted gross receipts in 2022 were $1.65 billion, a 47.8% increase from $1.1 billion generated in 2021. According to the MGCB, “adjusted gross receipts include deductions for the monetary value of free play incentives provided to and waged by bettors.”
Total Handle and Tax Revenue
The total handle in 2022 grew 24.3% from 2021 to 2022, resulting in a total handle of $4.6 billion for the year. The state of Michigan collected $302.98 million in taxes and payments. Online sports betting accounted for just $13.74 million of this tax revenue. Casino gaming notoriously generates much more revenue due to its higher tax rate. In Michigan, online casino operators brought in 95.5% of the total state tax revenue last year, translating to $289.24 million.
According to figures released by tribal operators, $32.83 million was delivered in payments to tribal governing bodies in 2022.
Detroit’s three commercial casinos that operate separately from federal tribes in the state brought in a combined $84.57 million in taxes and municipal services fees for the City of Detroit in 2022. Just under $78 million was generated from internet gaming, while $6.74 was generated from sports wagering.
Performance by Operator in December
Many operators finished out the year strongly by setting revenue records.
The state’s leading online casino brand, BetMGM set a new monthly revenue record of $54.4 million in December. BetMGM’s record breaking month pushed them over the $1 billion mark for lifetime online gambling revenue.
Sitting behind BetMGM in total revenue is FanDuel, with $443.4 million in lifetime online gambling revenue. FanDuel also finished second in December for total online casino gaming revenue, bringing in $28.95 million for the month. The online casino operator reached the $25 million mark for the first time in November, making December its second consecutive record breaking month.
Our second runner-up was DraftKings with $26.15 million in revenue for December. December was the third consecutive record breaking month for the online casino. The operator broke its revenue record in October with $22.7 million before bringing in $23.2 million in November. DraftKings and FanDuel are often trading the 2nd and 3rd spots in Michigan’s online gaming market. DraftKings currently sits 3rd in lifetime earnings, however, with $432.9 million.
BetRivers and Caesars online casinos also experienced successful ends to the year, breaking company records.
The online casino brand of BetRivers broke an annual revenue record by bringing in over $100 million in gross revenue, with $9.4 million generated in December.
Caesars online casino broke its monthly revenue record of $6.5 million, by successfully bringing in $7.2 million in December. Just one month ago, Caesars brought in just $4.2 million in monthly revenue. December’s revenue jump translated to an unbelievable monthly increase of 71.3%.
Mac Daniel is a Michigan native and freelance writer for PlayOnlineCasino and PlayOnlineSportsBetting. He has experience writing about a wide variety of topics, including healthcare, tourism, non-profit organizations, and most recently casino and sportsbetting news. To check out more of his work, visit: playonlinemichigan.com