Ontario Online Gaming Handles $11.5 Billion In Q3 For $457 Million In Revenue

Written By Dave Briggs on January 26, 2023 - Last Updated on January 27, 2023
Gaming revenue in Ontario grew from $267 million in Q2 to $457 million in Q3. Since launching on April 4, revenue is $886 million.

The Ontario online casino and online sports betting industry continued to grow significantly in the third fiscal quarter that ended Dec. 31, 2022. This according to numbers released today by iGaming Ontario.

Since launching on April 4 2022, the industry has already surpassed $21.6 billion in total wagers in its first nine months. And total gaming revenue was $886 million.

From October through December, total online gaming revenue was up 71% in Ontario from $267 million in the second quarter (July through September) and up 182% from the Q1 (April through June) total of $162 million.

ontario online gambling revenue fiscal year quarter 1-quarter 3 infographic

Additionally, total handle grew by 91% from $6.04 billion in Q2. Handle in Q3 was up 182% from Q1’s handle of $4.076 billion. It is important to note that the numbers do not include figures from the Ontario Lottery and Gaming Corp.’s online operations. Nor do they include promotional wagers (bonuses).

ontario online sports betting fiscal year quarter 1-quarter 3 infographic

The number of active player accounts grew 45% from 628,000 in Q2 to 910,000 in Q3. The number of active player accounts is up 85% from Q1’s total of 492,000. iGO defines active player accounts as: accounts with cash and/or promotional wagering activity and do not represent unique players as individuals may have accounts with multiple operators.

Finally, the average monthly spend per active player account was up 18% from $142 from July through September to $167 in the period between October and December. The average monthly spend is up 48% from Q1’s total of $113.

What’s not included in Ontario’s numbers

There are some important caveats about Ontario’s numbers that need to be stated off the top:

  1. The revenue numbers do not include figures from the Ontario Lottery and Gaming Corp’s online operations which had a record handle of $511 million in FY 2021-22 and is expected to smash that record when FY 2022-23 concludes.
  2. The combined numbers do not include revenue from a few well-established grey-market operators that were still doing business in the non-legal market in Ontario through the end of October.
  3. Ontario’s market is still in its infancy at the nine-month mark.

Also, unlike comparable US jurisdictions, Ontario’s regulator also does not allow the advertisement of bonuses, inducements and credits. One could make an argument that this has a negative impact on customer acquisition and thus, handle and revenue. But since operators are otherwise freely permitted to advertise — and there has been a glut of advertising in Ontario — the jury is still out how much this really impacts the total bottom line. And operators can — and do — offer bonuses, credits and inducements to their customers. They just can’t advertise them. Customers must seek out the operators to find out what they are.

Steady improvement, but still well behind comparable US jurisdictions

That said, compared to the six US jurisdictions that — like Ontario — have both online casinos and sportsbooks, Ontario is still well behind most of them. This despite Ontario having the highest population of the seven jurisdictions and the most live gaming operators.

Though, Ontario is doing better than when both its second quarter and first quarter results were compared to the US.

Converting to US dollars using the Bank of Canada exchange rate listed on Jan. 26, in the first three quarters of operation, Ontario has produced:

  • Total handle: $16 billion (does not include promotional wagers (bonuses)).
  • Total gaming revenue: $661.5 million.
  • Average monthly spend per active player account (average of $105.50 Canadian over nine months): $78.78

That means Ontario still ranks a very distant fourth on the list, despite having the highest population (approx. 15 million) of any of the jurisdictions and the highest number of gaming operators.

Here’s how Ontario’s April-December revenue compares to that of the more established gaming jurisdictions in 2022:

  1. New Jersey: $1.86 billion
  2. Pennsylvania: $1.74 billion
  3. Michigan: $1.53 billion
  4. Ontario: $661.5 million (USD)
  5. Connecticut: $332 million
  6. West Virginia: $129 million
  7. Delaware: $21 million

Combining all three quarters:

  • New Jersey’s revenue was nearly three times higher than Ontario’s.
  • Pennsylvania’s revenue was more than 2.5 times higher than Ontario’s.
  • Michigan’s revenue was more than double Ontario’s.

Ontario’s Q3 numbers were closer to comparable states

In US dollars, Ontario’s fiscal Q3 numbers were:

  • Handle: $8.6 billion.
  • Gaming revenue: $341 million.

Here’s how Ontario’s October-December revenue compares to those six US jurisdictions over just those same three months:

  1. New Jersey: $691 million
  2. Pennsylvania: $677 million
  3. Michigan: $584 million
  4. Ontario: $341 million (USD)
  5. Connecticut: $135 million
  6. West Virginia: $53 million
  7. Delaware: $9 million

In Q2, the numbers were:

  1. New Jersey: $612 million
  2. Pennsylvania: $545 million
  3. Michigan: $485 million
  4. Ontario: $196 million (USD)
  5. Connecticut: $105 million
  6. West Virginia: $43 million
  7. Delaware: $7.5 million

In Q2 the gap between Ontario and the three biggest of the six US states was:

  • $416 million behind New Jersey
  • $349 million behind Pennsylvania
  • $289 million behind Michigan

The Q3 gap between Ontario and the three biggest of the six US states was:

  • $350 million behind New Jersey
  • $336 million behind Pennsylvania
  • $243 million behind Michigan

That shows Ontario closed the gap, slightly, on the other three in the period from October through December.

Yet, while Ontario (pop. 14.5 million) is doing better, it still has a very long way to go to match the output of New Jersey (9.3 million), Pennsylvania (13 million) and Michigan (10 million).

Number of live online gaming operators by region

Breaking it down, the number of live online gaming operators by region, as of today, is:

  • Ontario: 42
  • New Jersey: 33
  • Michigan: 15
  • Pennsylvania: 14
  • West Virginia: 6
  • Connecticut: 3
  • Delaware: 3

In the first quarter, Ontario had 18 operators and 31 total gaming sites. Some operators have multiple sites. In Q2 there were 24 live gaming operators in the province operating 42 total sites. At the end of Q3, there were 36 live operators offering 68 total gaming sites. As of today, there are 42 live operators in Ontario.

The following gaming operators (listed in alphabetical order) are officially regulated and taking bets in Ontario as of Jan, 25, 2023:

NumberOperatorLaunch Date
1.888April 4, 2022
2.Amazon SlotsLate 2023
3.Apollo Entertainment
(Captain Cooks, Casino Classic, Golden Tiger Casino, Grand Mondial Casino, Luxury Casino, Yukon Gold Casino, Zodiac Casino sites)
Oct. 28, 2022
4.Bally BetJuly 20, 2022
5.Bet99Oct. 31, 2022
6.Bet365April 4, 2022
7.BetanoOct. 17, 2022
8.BetMGM Casino OntarioApril 4, 2022
9.BetRivers Casino OntarioApril 4, 2022
10.BetsafeMarch 2, 2023
11.BettyMarch 10, 2023
12.BetVictorSept. 27, 2022
13.BetwayAug. 1, 2022
14.bwinApril 12, 2022
15.Cadtree
(Jackpot City, Royal Vegas, Jackpot City, Ruby Fortune, Spin Casino sites)
Aug. 10, 2022
16.Caesars Palace Casino OntarioApril 4, 2022
17.CanPlay CasinoOct. 28, 2022
18.Casino DaysJan. 24, 2023
19.CasumoOct. 28, 2022
20.ComeOn!June 13, 2022
21.ConquestadorJan. 10, 2023
22Deal Or No Deal CasinoFeb. 17, 2023
23.Delta BingoEarly 2023
24.DraftKings Casino OntarioMay 18, 2022
25.FallsviewAug. 4, 2022
26.FanDuelApril 4, 2022
27.FitzdaresFeb. 6, 2023
28.High Flyer CasinoDec. 8, 2022
29.LeoVegasApril 4, 2022
30.Lucky CasinoNov. 24, 2023
31.Lucky DaysNov. 2, 2022
32.Mansion Casino
(Play-ON casino.com, Play-ON mansioncasino.com sites)
Nov. 2, 2022
33.NorthStar BetsMay 9, 2022
34.PartyApril 12, 2022
35.PinnacleOct. 25, 2022
36.PointsBetApril 4, 2022
37.PokerStars Casino OntarioJune 28, 2022
38.PowerPlay Casino OntarioApril 2023
39.Proline (OLG)*August, 2021
40.RivalryApril 4, 2022
41.Rootz
(Wildz Casino Ontario, Caxino, Spinz,Wheelz Casino Ontario)
Feb. 2, 2023
42.Royal PandaApril 4, 2022
43.SkillOnNet
(PlayOJO Casino Ontario, Slots Magic Casino Ontario, SpinGenie, KnightSlots sites)
June 13, 2022
44.Spin AwayNov. 2, 2022
45.Sports InteractionAug. 29, 2022
46.Stardust CasinoLatter half of 2023
47.STXJuly 26, 2023
48.theScore BetApril 4, 2022
49.TonyBetApril 2023
50.TWHG
(Casigo, Casimba, DreamVegas, FireVegas, Gate 777, Hello Casino, Jackpot Village, Playzee sites)
April 4, 2022
51.UnibetApril 4, 2022
52.Video Slots Ltd. (Video Slots, Mr. Vegas)June 19, 2023
53.WSOPSept. 30, 2022
Photo by Shutterstock
Dave Briggs Avatar
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Dave Briggs

Dave Briggs is a managing editor and writer for Catena Media. His expertise is covering the gambling industry in Canada with emphasis on the casino, sports betting and horse racing sectors. He is currently reporting on the gaming industries in Canada and Michigan.

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