Online Casino Revenue Rises Sharply in the US as States Collect $175 Million in Taxes

Online casino activity across seven U.S. states continued to climb in May 2025, with both gross revenue and tax collections setting new benchmarks. According to Casino Reports, the combined adjusted gross revenue (AGR) from these states reached $815.5 million, which led to $175.1 million in state tax revenue for the month.

Good to know

• Online casinos brought in $4.25 billion in gross revenue from January to May 2025.
• States collected over $824 million in taxes so far this year.
• Pennsylvania remains the top iCasino market in the U.S.

Pennsylvania once again topped the chart, pulling in $289 million in gross revenue for May. That figure is just shy of the state’s record of $291.6 million set in March. With over $1 billion in iCasino revenue so far this year, Pennsylvania is the only state to cross that milestone in 2025.

Michigan followed with $251.5 million in gross revenue, reflecting a 26.6% increase year-over-year. Its adjusted gross revenue rose to $236.2 million as nearly all operators are now taxed on 94% of their gross revenue—up from 90%.

New Jersey also posted strong results, with $246.8 million in May gross revenue. FanDuel Casino continued its hot streak, setting a new monthly revenue record in the state with $54.4 million, its third consecutive record-breaking month.

Other states post record highs

Connecticut reached a new monthly high with $61.3 million, up 32.2% compared to May 2024. While FanDuel passed the $30 million monthly revenue mark for the first time in the state, DraftKings still held the lead by a narrow $606,700 margin.

In Delaware, BetRivers generated $10.4 million, breaking its March record by nearly $128,000. So far in 2025, BetRivers has brought in $23.1 million, more than twice its total from the same period last year.

West Virginia reported $34.3 million in May, more than double its revenue from a year ago and just behind its March peak of $36.4 million.

Rhode Island’s Bally’s operation generated $4.8 million, based on a reported “drop” of $129.1 million. That figure represents a 110% increase from May 2024. Between March and May, Bally’s reported $14.7 million in total revenue—up 164.7% from its first three months in 2024.

Billions wagered across the market

In five of the seven states (excluding Michigan and New Jersey), online casino wagers hit $10.48 billion for May alone. Meanwhile, sports betting continues to hold strong as well. Reports from 30 of 33 legal sports betting states showed a combined handle of $10.83 billion for the month. Illinois, Arizona, and South Dakota had not yet published their numbers.

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