Gambling

Arizona Sports Betting Surges to $2.45B Handle in Q1 2025

Published: Jul 9, 2025, 7:00 AM
3 min read
Updated: Jul 9, 2025, 7:00 AM

Q1 Revenue Insights

PHOENIX, Ariz. - July 1, 2025
Arizona’s sports betting market kicked off 2025 with record-setting activity, as total wagering hit $2.45 billion in Q1, a 19% increase over the same period last year. But as the betting volume surged, sportsbook margins dipped, resulting in $117.9 million in gross gaming revenue (GGR) and $11.79 million in taxes collected for the state.

Despite the narrowing hold percentage, Arizona continues to demonstrate strong momentum, driven by expanding mobile usage and steady operator performance.

📊 Q1 2025 Arizona Sports Betting Performance

MonthHandleGGRHold %Tax Revenue
Jan 2025$864.2M$53.18M6.15%$5.32M
Feb 2025$699.7M$39.81M5.69%$3.98M
Mar 2025$887.4M$24.92M2.81%$2.49M
Total$2.45B$117.9M4.81% avg$11.79M

📈 How Q1 2025 Compares to Previous Years

Arizona’s market has grown steadily since its 2021 launch. Here’s how Q1 performance stacks up year over year:

YearQ1 HandleQ1 GGRAvg Hold %Q1 Tax Revenue
2022$1.75B$44.88M2.51%$4.49M
2023$1.85B$81.99M4.43%$8.20M
2024$2.10B$111.83M5.32%$11.18M
2025$2.45B$117.9M4.81%$11.79M

While 2025 saw the highest-ever Q1 handle, the average hold percentage decreased slightly from 2024. March’s particularly low hold (2.81%) pulled down the quarterly average.

Compare All U.S. States Sports Betting Revenue

Operators in The Grand Canyon State

Arizona’s top-tier sports betting market features 12 licensed operators, split among national giants and tribal-licensed platforms:

  1. Bally Bet
  2. Bet365
  3. betMGM
  4. BetRivers
  5. Caesars Sportsbook
  6. DraftKings
  7. ESPN BET
  8. Fanatics Sportsbook
  9. FanDuel
  10. Golden Nugget
  11. Hard Rock
  12. TwinSpires

These operators compete fiercely with diverse promotions, sophisticated mobile offerings, and smooth retail options—keeping Arizona among the most dynamic betting scenes in the U.S.

Arizona legalized sports betting in April 2021, with operators launching on September 9, 2021, just in time for the NFL regular season. The state authorized up to 20 sportsbook licenses, split between professional sports teams/venues and tribal entities.

Since then, Arizona has become a top-10 U.S. betting market, with mobile wagering accounting for over 98% of bets placed. Tax revenue from sports betting contributes to the Arizona General Fund, which supports public education, emergency services, and state-level infrastructure initiatives.

As of Q1 2025, Arizona continues to strike a balance between revenue generation and competitive bettor experience—though March’s slim margins highlight the volatility built into the business.

<p><strong>Sol Fayerman-Hansen</strong> is Editor-in-Chief at RG.org with 20+ years of experience in sports journalism, gambling regulation, and tech. His work has appeared in <i>Forbes</i>, <i>ESPN</i>, and <i>NFL.com</i>, covering U.S. and Canadian gambling laws, major sports events, and wagering trends. Since 2023, Sol has led RG.org’s global editorial efforts, focusing on transparency, data accuracy, and regulatory insight. He works closely with researchers and legal experts to uphold E-E-A-T and Trust Project standards.</p><p>📍 Israel/Canada 🌐 English, Hebrew 🎯 Gambling law, responsible gaming, tech in betting</p>
Interests:
NFL
CFL
NBA
MLB
NHL
ATP
UEFA
NCAA Baseball
PGA
Wimbledon
UFC

Industry News Experts

Sergey Demidov
Sergey Demidov
Head of News Department

Sergey Demidov is a veteran sports journalist with over 18 years of experience covering international sports. Since beginning his career in 2007, he has reported on the Olympic Games (Sochi 2014), FIFA World Cup (2014), UEFA Euro (2012), World Cup of Hockey (2016), and Stanley Cup Finals (since 2017).

Before joining RG, Sergey was an independent senior editor at NHL.com/ru (2016–present) and contributed to Gazeta.ru and TASS News Agency. Currently, he leads RG’s global news desk, overseeing correspondents across North America, Europe, Africa, Asia, and South America.

He has conducted one-on-one interviews with elite athletes, including Jaromir Jagr and Alex Ovechkin, former WADA and FIFA presidents Craig Reedie and Sepp Blatter, and soccer coaches like Fabio Capello.

Sergey’s editorial work emphasizes accuracy, sourcing transparency, and a neutral voice, aligned with the Trust Project and Google Publisher Center principles.

He is bilingual in English and Russian, specializing in NHL hockey.

📍 Based in: Pafos, Cyprus

🌐 Languages: English, Russian, Greek

Meet All Our Experts
This website uses cookies to ensure you get the best experience on our website. Read our
Privacy Policy
.