Pennsylvania’s Gambling Revenue Climbs with Online Gaming Leading the Surge
Strong Growth in Pennsylvania’s Gambling Revenue
Pennsylvania’s gambling sector continued its upward trajectory in September 2025, as reported by the Pennsylvania Gaming Control Board (PGCB). The total revenue across various gambling channels — including casino operations, sports betting, fantasy contests, and video gaming terminals — reached $535.8 million. This reflects a 5.9% increase compared to the $505.9 million garnered in September 2024, highlighting Pennsylvania as one of the leading gambling markets in the United States.
Slots Continue to Drive Revenue Despite Slight Yearly Decline
While September saw an 8% decrease from the record-breaking $582.3 million earned in August, this decline is considered typical following the busy summer and sports seasons. The PGCB remains optimistic about long-term growth trends, particularly as online gambling experiences steady expansion that offsets minor declines in physical casino wagering.
Traditional retail slot machines brought in $193.9 million, marking a slight 1.5% drop from the prior year. The total number of operational slot machines also fell marginally from 24,558 to 24,331. Nevertheless, slots held their position as the largest single source of gaming revenue, generating close to $97 million in tax revenue for state and local programs. Table games remained consistent with earnings of $73.4 million, almost unchanged from the previous year. Video gaming terminals at 74 licensed truck stops yielded $3.34 million in adjusted revenue, a minor decrease from 2024. Fantasy contests showed strong engagement, increasing revenue by 5.4% to $1.96 million compared to last year.
Online Gambling Drives Exceptional Revenue Growth
The online gambling segment was a standout performer, expanding over 32% year-over-year to $233.4 million in total revenue. Taxes collected from online gaming alone surpassed $106 million, a figure that once equated to the size of Pennsylvania’s entire gambling market a decade ago. This surge has been fueled by an increasing number of casino apps and a significant shift in player preferences towards mobile and internet-based platforms.
Sports betting also experienced growth, with the total amount wagered rising nearly 5% to $850.5 million in September. Despite this, taxable revenue from sports wagers dropped sharply by 44% to $29.7 million, influenced by lower hold percentages and aggressive promotional spending by operators ahead of the NFL season. The tax revenue generated from sports betting totaled $10.7 million for the month.
Continued Importance of Gambling Taxes and Emerging Challenges
In September, tax revenue from all gambling activities reached $227.9 million, reaffirming the gaming industry as a critical source of funding for Pennsylvania’s public budget. However, the sector faces new challenges, including the rise of sports prediction markets. Kevin F. O’Toole, the PGCB executive director, has warned lawmakers about the potential risks these emerging markets pose to the state’s established regulatory framework.
