DraftKings & FanDuel Top Pennsylvania August Fantasy Sports Revenue Report

After the August Fantasy Sports Contests Revenue Report was released by the Pennsylvania Gaming Control Board (PGCB) this week, there is little doubt as to which operators are dominating the industry in the Keystone State.

According to the report…

Seven of the nine fantasy sports providers operating in Pennsylvania in August brought in $943,620 in adjusted revenue for the month. The figure is the amount equal to the total entry fees collected from all participants entering a fantasy contest less prizes/awards paid to the participants in the contest, multiplied by the resident percentage, according to the PGCB.

August’s fantasy sports contest adjusted revenue represents a 7.2 percent increase compared to July 2018 at $878,184, however, it is less than May 2018 at $1,331,706 and June 2018 $1,017,862, the first two months of oversight by the PGCB.

Monthly revenue breakdown

Seven of the nine Fantasy Sports Contest operators reported tax revenue for the month. The two others offer specific seasonal games and either had no collected fees or aren’t able to calculate an adjusted revenue until payouts are made.

Leader comparisons

FanDuel and DraftKings, the two largest companies in the daily fantasy sports industry are leading the industry.

Based in Boston and founded in 2012, DraftKings is the younger of the two companies but has become the largest daily fantasy sports company in of s as guaranteed prize pools. FanDuel, which was founded in Scotland in 2009, is the second-largest.

In May, European online and retail sportsbetting and gaming operator Paddy Power Betfair announced that it was buying a controlling stake FanDuel.

That being said, unexpectedly, FanDuel took the lead in May, but its rival has since taken over the number one spot.

In of operator comparison, DraftKings offers late player swap, which is huge and one of the most important features that differentiate the two sites. Late player swap means that you can swap out a player for another one as long as their respective games have not yet started.

Seasonal revenue expectations

Now that the NFL’s regular season is underway, it is likely that revenue for September, up until Super Bowl LIII scheduled for February 3, 2019, will see a sizeable increase. Football is DFS’ busiest time of the year and with an abundance of U.S. states looking to capitalize on the May 14, 2018, PASPA reversal, that will also most likely intensify.

In the four months since the landmark decision, Delaware, New Jersey, West Virginia and Mississippi have all launched regulated sports betting.

Regulated DFS in PA

On April 28 this year, the PGCB initiated overseeing the daily fantasy (DFS) market in Pennsylvania; the first new gambling vertical courtesy of Governor Tom Wolf’s signature on the gambling expansion bill in October 2017.

At the time, there were a total of 10 DFS operators, but that number decreased by one when FastPick.com decided to exit the Keystone State’s market.

Since the first month [May 2018] of oversight by the PGCB, the DFS providers operating in the state have earned nearly $4.2 million, a figure that has benefitted the state’s General Fund by $625,706 in taxes (15 percent).