Missouri’s sports betting market saw significant activity in December 2025, with over half a billion dollars in wagers during its first full month. Despite the high volume, the state saw minimal tax revenue due to promotional deductions and other factors exceeding operator earnings.
Sports betting began statewide on December 1, 2025, following narrow voter approval of a constitutional amendment in November 2024. The Missouri Gaming Commission’s initial Sports Wagering Revenue Detail Report outlined the market’s performance, detailing wagering volume, payouts, deductions, and tax results from licensed platforms.
Between December 1 and December 31, Missouri bettors placed over $543 million in wagers, with over 99% occurring online. Mobile sportsbooks handled about $538.9 million, while retail locations accounted for just over $4 million. Activity included over 25 million individual bets, highlighting the high level of engagement.
FanDuel was the leading mobile sportsbook during the launch, with approximately $212 million in wagers, capturing nearly 40% of the mobile market. DraftKings followed with about $195 million in bets. Among retail sportsbooks, Ameristar Casino in St. Charles reported the highest handle at around $827,000.
The high level of wagering exceeded some expectations, especially as the market opened late in the year, and many Missouri bettors were already placing legal bets in Kansas or Illinois.
Despite strong betting activity, sportsbooks reported a negative taxable gross revenue for December. Operators paid out nearly $438 million in winnings and spent over $125 million on promotional incentives. Total deductions, including voided or canceled wagers, reached about $564 million.
Consequently, sportsbooks reported a combined negative revenue of around $20.8 million for the month. With no positive net revenue to tax, Missouri collected just $521,220 in sports wagering taxes, far less than one-tenth of one percent of the total wagered.
The Missouri Gaming Commission received nearly $7.5 million from initial license fees for 16 retail and online licenses. Two licenses were for online-only operators, while others were tied to casinos, sports venues, or professional teams.
Mike Leara, executive director of the gaming commission, stated that the license-fee total reflects that most issued licenses are five-year licenses and noted the impact of significant promotional deductions typical during initial rollouts.
The small tax return prompted criticism from some lawmakers, as sports betting was promoted as a funding source for education. State Rep. Dirk Deaton described the early figures as disappointing, while State Sen. Rusty Black questioned the timing of education funding materialization, highlighting constitutional constraints on tax structure adjustments.
The Missouri Constitution earmarks the first $5 million in annual sports betting tax revenue for the Compulsive Gaming Prevention Fund, with the remainder primarily for public education. As December’s tax intake was below this threshold, no funds went to schools during the launch month.
Industry representatives described the early results as typical for a new market. Christopher Boan of BetMissouri.com noted that early performance shows Missouri bettors’ eagerness for a regulated market. Ryan Butler of Covers cautioned against expecting sports betting to significantly alter state finances, highlighting that at best, it’s only a small part of the overall budget.
- SCCG Management. The Gambling Industry’s Global Connector. Access Here.
- Source: SCCGManagement.com