Sports Betting Appears Headed to Missouri Ballot
The Missouri Secretary of State Aug. 13 announced that it approved a retail and digital sports betting measure to be on the November ballot. The initiative is backed by the state’s professional sports teams, and operators DraftKings and FanDuel, but not its casinos.
The proposal would require digital wagering platforms to be tethered to professional sports venues, and would allow casinos companies and pro sports venues a single betting skin. Attempts at legalization through the state legislature would have allotted casinos companies one skin per location, up to three.
Missouri’s ballot will also have a highly charged abortion issue on it. An initiative that would allow for abortion up to the point at which a fetus is viable outside the womb also got approval. That initiative question is expected to drive higher than usual voter turnout.
Intralot to be Subject of DC Investigation?
Per a Washington City Paper report from late last week, Washington, D.C. attorney general Brian Schwalb has requested documents from lottery and former sports betting partner Intralot. The request could be the start of a larger investigation into a company that has been oft-criticized in the District.
Intralot has long been the city’s lottery partner, but in 2019, its contract was expanded to include digital sports betting. No other entities were considered, and Intralot went on to launch GamBetDC as the only digital betting platform available throughout the city. The platform underperformed from the start, and it was riddled by interface and technology issues.
Schwalb’s office is looking into the idea that Intralot violated state code, including making “false claims” about subcontractors. The report points to a specific part of the DC Code that reads that violations may “include contractors and grantees who seek to have the District pay for work that was not fully or properly performed.”
The attorney general’s office filed court papers demanding the documents in late July, but the request and the documents are under seal.
Oops! DraftKings Email Miscue Causes Concern
On the same day it announced it would back off of its proposed winners’ tax, DraftKings mistakenly sent out an email that caused consumers to worry their accounts had been hacked, reports Sports Handle. The email was sent under the Jackpocket logo and explained the “dead heat” rule in golf. Bettors were offered a one-time promotion due to the dead-heat reduction. But only those who had a bet affected by the reduction will get the bonus.
DraftKings followed up the email with a social media post explaining the error, and an apology email. DraftKings representatives told Sports Handle that the issue was e-mail related, not security related.
Flutter Beats Analysts’ Expectations, Raises Projections
FanDuel owner Flutter late Aug. 13 reported second-quarter results that exceeded analyst expectations and raised earnings guidance for FY2024.
Company CEO Peter Jackson and new CFO Rob Coldrake focused on strong earnings, increased projections and how growth continues to move the company forward. Coldrake, who was elevated to CFO around the time the company moved its primary market listing to the NYSE and relocated its corporate offices to New York City, said he was “delighted” to share such good news on his first earnings call.
Flutter raised its FY2024 projections after beating expectations. According to the report, the company adjusted EBITDA up $70m for the remainder of the fiscal year. Flutter reported net income of $297 million, an increase of $94 million over the same quarter in 2023.FanDuel is the No. 1 sports betting company in the U.S. in terms of market share.
Revenue Reports a Mixed Bag
Illinois operators broke their $1 billion handle streak in June while New York digital platforms had high enough hold that they saw increased revenue in July. In Illinois, the $848 million handle represented a 27.4 percent increase against last year. The report is the last one prior to a tax increase that went into effect July 1.
In New York, handle was at a low for the year at $1.26 billion. That was a 31.2 percent increase against July 2023, but was 14.7% behind June’s $1.47 billion handle.
Among other states reporting, North Carolina operators continued to see declining handle, although a 12.9 percent hold allowed them increased revenue.
Fanatics Launches in Louisiana
Fanatics Sportsbook added its 22nd state Aug. 15 when the platform went live in Louisiana. Fanatics is partnered with the Boomtown Casino & Hotel in suburban New Orleans. Those in Louisiana can download the Fanatics Sportsbook app via iOS or Android. Among the other platforms available in Louisiana are bet365, BetMGM, BetRivers, Caesars Sportsbook, DraftKings, ESPN Bet and FanDuel.
Fanatics Betting and Gaming launched in 2021, and is now available to 95 percent of the “addressable market,” according to a company press release. Fanatics Sportsbook users can earn FanCash to be redeemed bonus bets, team merchandise, and more.
In Other News …
Nebraska lawmakers Aug. 13 moved a constitutional amendment that sends the issue of allowing digital betting to the voters. But they did not advance a framework bill that would have ensured the measure would be on the 2024 ballot.
ESPN hired former Yahoo! Sports wagering analyst Pamela Moldando, it shared in a press release Aug. 14. Details of the contract were not announced. “Maldonado will be a key addition to ESPN’s sports betting coverage this college football season, leveraging advanced analytics and a deep understanding of the game to provide sharp, insightful commentary for fans looking to place bets,” according to the release.
