North Carolina’s sports betting market faced a concerning setback in July 2025 as revenue plummeted to its lowest point since legalization in March 2024. This significant decline underscores key challenges in the local iGaming sector during quieter sports seasons and highlights payouts favoring bettors.
July 2025 Revenue Breakdown
Handle and Gross Revenue Trends
During July 2025, the total betting handle reached $370,385,588, while gross wagering revenue (GWR) slipped to $22,679,993—establishing a new all-time low for the North Carolina market. This represents a month-on-month decline of 14.5% from June ($433.2M) and a substantial 60.9% drop in GWR compared to June’s $58.1M result.
When measured year-on-year, the figures also reflect a 46.2% decline in GWR compared to July 2024’s revenue of $42.2M. Such a significant downturn emphasizes that this is more than a seasonal anomaly but a historical low since legalization.
Payout Trends and Bettor Outcomes
In July, sportsbooks paid out $344.6 million in winnings, leaving operators with slim margins and further illustrating the bettor-friendly nature of the month. The reduced operator hold highlights the notable success rate among bettors, impacting the overall revenue generated.
Comparative Performance Analysis
| Month | Total Handle | Gross Revenue | % Change (Revenue) |
|---|---|---|---|
| May 2025 | $562.2M | $65.2M | — |
| June 2025 | $433.2M | $58.1M | -10.9% (MoM) |
| July 2025 | $370.4M | $22.7M | -60.9% (MoM) |
| July 2024 | $340.4M | $42.2M | -46.2% (YoY) |
The July 2025 outcome is the most significant downturn recorded in North Carolina sports betting history, both in absolute terms and percentage changes month-on-month. This sharp dip in GWR—more than twice the reduction recorded in June—is an indicator of bettor outcomes and market challenges.
Key Factors Behind the Decline
- Seasonality: July coincides with a slower sports calendar, lacking major events between the NBA Finals in June and the NFL preseason in August.
- Bettor Wins: The unusually high payout rate in July 2025 tilted the scales in players’ favor, reducing net operator revenue.
- Market Maturity: As the market ages, promotional spending stabilizes, and betting behaviors normalize. While this leads to less volatility overall, significant bettor wins in quieter months can have outsized impacts.
Impact on Regulatory Oversight
In North Carolina, the sports betting market is managed by the State Lottery Commission, which oversees all reported revenues and wagering data. Tax revenues (set at 18% of GWR) align proportionally with operator performance. Consequently, July 2025 also marked the lowest tax intake since sports betting legalization in the state.
The sharp revenue contraction not only impacts operators but also affects public funding reliant on these tax receipts, emphasizing the interconnected nature of revenue fluctuations and government finances.
Conclusion
July 2025 has set an unmistakable low point for sports betting revenue in North Carolina, highlighting the volatile nature of the industry during quieter sports months. With fewer sports events driving engagement and a payout-heavy month favoring bettors, operators face unique challenges in stabilizing revenue streams. As the market evolves, strategic adjustments will play a critical role in balancing player satisfaction with sustainable operator margins.
