Sports betting revenue dropped sharply for the state’s sportsbooks in August and handle was flat compared to July, according to figures released Monday by the Tennessee Education Lottery Corporation.
The state agency reported $144.5 million worth of wagers from the state’s seven sportsbooks for the second consecutive month, raising the 10-month total in its first year of operation to slightly more than $1.7 billion.
The notable difference versus July came in both the gross and adjusted gaming revenue. Operator win rate in August slumped to 9.13% — still well above the industry standard of 7%, but also markedly lower than July’s 10.45% hold. That resulted in gross gaming revenue of $13.2 million, down 12.6% from July’s total of $15.1 million.
The spread between gross gaming revenue and adjusted revenue widened from month to month as only $10.1 million, a drop of 24.6% month over month, was considered taxable. Both revenue totals represent all-time monthly lows since the first bets were accepted last November.
With Tennessee’s 20% tax rate on AGR, the state collected just over $2 million in receipts and narrowly extended its streak of collecting at least $2 million in every month since launch.
For the calendar year 2021, the Volunteer State has generated just shy of $1.4 billion in handle. September should bring a rise in handle and revenue from the drawing power of the Tennessee Titans and the rest of pro and college football and from TELC also adding two more sportsbooks to the roster. Both Barstool Sports and Wagr began accepting wagers Sept. 8.
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