North Carolina’s sports betting market faced its most challenging month to date, recording a revenue slump in July 2025. Seasonal trends, a low operator win rate, and elevated bettor activity shaped a historic low in sports betting revenue.
- North Carolina Sports Betting Revenue Breakdown for July 2025
- Comparing Year-Over-Year and Month-to-Month Trends
- Factors Behind the Record-Low Revenue
- Seasonal Trends and Limited Betting Options
- Low Operator Win Rate (Hold)
- Economic Impact on North Carolina
- Tax Revenue Declines
- Long-term Market Outlook
- Conclusion: A Temporary Setback
North Carolina Sports Betting Revenue Breakdown for July 2025
North Carolina posted its all-time lowest monthly sports betting revenue in July 2025, with gross revenues hitting just $22.7 million. This came from a total betting handle of $370.4 million, reflecting increased bettor activity compared to July 2024’s handle of $340.4 million. However, revenue plummeted 46.2% year-over-year and 60.9% month-over-month against June 2025’s $58.1 million in revenue.
Comparing Year-Over-Year and Month-to-Month Trends
- Year-over-Year Growth: The July 2025 betting handle grew by 8.8% compared to July 2024, but gross revenue fell sharply from $42.2 million to $22.7 million.
- Month-to-Month Decline: Compared to June 2025, July saw a 14.4% drop in handle and a significant 60.9% drop in revenue.
- Historical Context: The previous revenue low was in August 2024, with $33.5 million, making this the weakest month for the state since launching sports betting in March 2024.
Factors Behind the Record-Low Revenue
Seasonal Trends and Limited Betting Options
The summer months, particularly July, are typically slow for U.S. sports betting markets. Key factors include:
- Limited Events: With the NFL and NBA offseason, betting options were limited to MLB games, the Open golf tournament, and a single NFL preseason game.
- Seasonality Patterns: Historically, sports betting markets experience lower handle and revenue during summer, with activity ramping up in the fall as major American sports leagues kick off.
Low Operator Win Rate (Hold)
Another key contributor to the revenue drop was the unusually low operator win rate:
- Hold Rate: Sportsbooks reported a hold of only 6.1% in July 2025, compared to June 2025’s much higher 13.4%.
- Bettor Success: Bettors performed exceptionally well during this period, claiming a larger share of winnings and leaving operators with lower profits despite robust betting activity.
Economic Impact on North Carolina
Tax Revenue Declines
North Carolina imposes an 18% tax on sports betting gross revenue, and the state’s tax collections felt the repercussions of the revenue slump. Here’s the impact:
- July 2025’s tax revenue reached just $4.1 million, down significantly from June 2025’s collections.
- Compared to July 2024’s $7.6 million in taxes, this year’s contribution showcases the economic strain caused by unfavorable market trends.
Long-term Market Outlook
Despite the troubling July results, North Carolina’s sports betting market remains fundamentally strong:
- Annual Handle: The state’s cumulative handle reached $6.4 billion for the fiscal year ending in June 2025, ranking among the top U.S. states for sports betting.
- Robust Regulatory Framework: Tax revenues continue to support public funds, including education, youth sports, and problem gambling programs, ensuring stability.
Experts predict a rebound in fall 2025, fueled by the NFL season and a broader sports calendar.
Conclusion: A Temporary Setback
North Carolina’s July 2025 sports betting revenue slump highlights the volatile nature of this growing market. Seasonal trends and bettor success contributed to this temporary setback. However, with strong annual growth and sound regulation, the state’s sports betting industry remains poised for recovery as the major sports season returns this autumn.
