Shortly after the conclusion of 2022, which marked a tremendous year for the Ontario gambling industry, iGaming Ontario issued its Q3 report for fiscal 2022-2023. In its quarterly report, the agency reveals the market performance from October 1, 2022, through December 31, 2022, for the province’s online gambling and sports betting market for private operators.
iGaming Ontario is a subsidiary of the Alcohol and Gaming Commission of Ontario as they both oversee the launched in April 2022 regulated market for online gambling. The iGaming model was introduced as a protection for bettors who wager billions every year on offshore websites, as well as to keep some of the revenue for the province and reinvest it into its coffers.
Quarterly Report Now Available
Results from Q3 of the 2022-2023 fiscal year for the iGaming market are a major improvement on the already impressive results from the previous quarter. For Q3 the province recorded a stunning CA$11.53 billion in a total betting handle, which was a 91% increase on the Q2 volume of just above CA$6.04. It must be mentioned that the handle does not include promotional wagers.
The staggering total betting volume translated to gaming revenue of CA$457 million, which was a 71% bump over Q2’s numbers. The total revenue includes total cash wagers, rake fees, tournament fees and other fees for all operators during the quarter. However, the number excludes player winnings accumulated via cash wagers and does not feature operating costs and other liabilities.
Additionally, during the quarter the province’s iGaming model had 36 operators, or 50% more than the numbers of Q2 up and running. Meanwhile, websites increased by 62% to 68 in total. The market had approximately 910,000 active user accounts or 45% more than the previous quarter. These accounts with cash or promotional wagering activity and do not include unique players.
According to the financial report, an almost-million of active players in the market had an average monthly spend of CA$167. This was an 18% boost from Q2. iGaming Ontario notes that the report on the market includes all online operators that operated pursuant to an operating agreement with it from October 1 to December 31, 2022. Also, the numbers do not include OLG’s online gambling activities.
In comparison to the previous quarter of fiscal 2022-2023, the Ontario online market recorded a total wagering handle of CA$6.04 billion and over CA$267 million in gaming revenue. At the time the province had 24 operators and 42 gaming websites online. They reported 628,000 active user accounts which had an average monthly spend of CA$142 per customer.
End of Transitional Period
Q3 of fiscal 2022-2023 also marked the end of the transitional period for operators which was introduced for an easier switch by the Alcohol and Gaming Commission. The deadline for gaming companies was set to October 31, 2022, and the regulator warned that operators which have not yet debuted in the sector, will be required to cease unregulated activities after the deadline.
Source: “iGaming Ontario’s FY 2022-23 Q3 Market Performance Report” iGaming Ontario, January 26, 2023