The New Jersey Division of Gaming Enforcement reported on Thursday $87.6 million in sports betting revenue for March as operators had a strong year-over-year bounce back.
Revenue was up 22.8% from 2025, when all four No. 1 seeds reached the NCAA men’s basketball tournament Final Four. Only two top seeds advanced to Indianapolis this year, with perennial betting favorite and No. 1 regional seed Duke not among them. That contributed to basketball revenue increasing 4.1% despite a 20.1% plunge in handle on pro and college hoops to $422.1 million.
That drop in handle was steeper than the overall 8.6% decline to $1.01 billion, but that furthered a trend for Garden State sportsbooks. The $2.89 billion worth of wagers accepted in the first quarter of 2026 was down 10.9% compared to the same period last year, raising the possibility that prediction markets could be taking away business.
The state collected $16.9 million in tax revenue for the month as the first fiscal year with a 19.75% rate on digital operator winnings continues to reap dividends. The $179.3 million in total receipts is running nearly $78 million ahead of the 2024-25 fiscal year when the online sports betting tax rate was 13%.
Operators avoid another chalky parlay bath
That 50% reduction in No. 1 seeds reaching the Final Four gave Garden State sportsbooks a huge boost in parlay bets this year. Though the 14.3% hold for March is more than 3.3 percentage points lower than the year-to-date 17.7% win rate, it was still a 4.4-point increase from last year.
That contributed to a 40.5% increase in revenue to $46.3 million. Handle, meanwhile, slid 2.5% to $323.6 million. The house had a positive year-over-year revenue swing of nearly $2.7 million in baseball, going from $713,000 in the red to claiming close to $2 million in winnings. The house was likely boosted by the U.S. losing to Venezuela in the final of the World Baseball Classic as handle increased 39.2% to $45.9 million.
The catch-all “other” sports category, which includes hockey, tennis, golf, table tennis, soccer, and MMA in New Jersey, provided another $11 million in operator winnings with a 5.1% hold against $217 million worth of wagers.
The race for No. 3 in revenue heats up
FanDuel and DraftKings remain the standards for digital operators to follow, ranking 1-2 in March revenue with $32.2 million and $22.3 million, respectively. The real battle in 2026, however, will be below them with Fanatics, BetMGM, and bet365 all vying for the final podium spot.
Fanatics currently holds that spot with $21.4 million through the first three months but gave up ground to its rivals with only $6 million in revenue for March. BetMGM narrowed the three-month gap between them to less than $800,000 after claiming $8.2 million in winnings.
Bet365 collected just shy of $7 million for the month and is less than $10,000 from $19 million for the year.
Prime Sportsbook snapped a four-month run of losses, claiming $227,802 in revenue to reduce its year-to-date deficit to $35,921. The $84.4 million in digital sportsbook revenue for March was an increase of 24.1% from 12 months prior.
