Colorado sees 50.7% surge in January sports betting revenue despite modest increase in handle

In January, Colorado witnessed an uptick in gross gaming revenue from sports betting, soaring by 50.7% to $53.5 million compared to the same period last year. This surge came despite only a modest increase in the total handle for the month.

According to official figures, spending on sports betting in Colorado for January reached $596.7 million, marking a 9.1% increase from the $547.2 million recorded in January 2023. However, this figure fell short of December’s record-breaking spend of $716.4 million by 16.6%.

Of the total amount wagered in January, $592.2 million was placed through online sportsbooks, while retail facilities across the state accounted for just $4.5 million.

Although the year-on-year handle rise was relatively modest, operators experienced substantial success in revenue terms. Gross gaming revenue surged to $53.5 million, surpassing the $35.5 million recorded in January 2023. Additionally, January’s revenue total was 32.1% higher than December’s $40.5 million, despite a decrease in month-on-month wagers by approximately $120.0 million.

Online wagering again dominated the revenue landscape, contributing $53.3 million to the total revenue for the month, while retail sportsbooks brought in a mere $190,394.

In January, basketball emerged as the most popular sport among bettors in Colorado, outshining anticipation for the NFL’s Super Bowl. A total of $135.3 million was wagered on basketball, followed by American football with $86.1 million and college basketball with $24.6 million.

Notable contributions also came from tennis, football, and ice hockey, with bets totaling $21.2 million, $14.0 million, and $11.9 million, respectively.

Colorado players reaped rewards from their wagers, winning a total of $543.2 million from sports betting in January. The majority of these winnings, $538.9 million, came from online wagering, while retail sportsbooks contributed $4.3 million.

The increased revenue from sports betting translated into a rise in tax contributions to the state. Operators paid a total of $4.1 million in sports wagering tax, marking the highest monthly total on record.