The regulated iGaming market in Ontario saw a notable decline in February 2026, deviating from its usual trend of month-over-month growth. Both total wagering and operator revenues dropped significantly compared to the previous month, though the market’s long-term performance still remains strong, showing substantial year-over-year growth.
Wagering and Revenue Drop
February marked a low point for Ontario’s iGaming market, with total cash wagers falling by 8% from January’s record-breaking $9.52 billion to $8.74 billion. Non-adjusted gross gaming revenue (NAGGR) also saw a sharp decrease of nearly 15%, dropping from $401.5 million in January to $342.4 million in February. These figures represented the lowest totals recorded since September 2025, a sharp contrast to the consistent upward momentum seen in the final months of 2025.
Despite these setbacks, February’s figures were still about 22% higher than the same period in 2025, continuing Ontario’s strong growth trajectory year-over-year.
A Closer Look at Player Activity and Sports Betting
In February 2026, around 1.3 million player accounts were active in Ontario’s regulated iGaming market. However, the average revenue per player decreased by 13%, falling to $264, marking the lowest total since February 2025. These declines are partly attributed to the seasonal nature of the industry, with sports betting typically peaking around major events like the Super Bowl.
Indeed, sports betting revenue experienced a sharp 29% drop, falling to $61.3 million in February. The Super Bowl, traditionally a high point for sports wagering, had contributed to January’s record-breaking figures, but the February dip was to be expected in the aftermath of such a major event. The monthly total for sports betting wagers in February reached $946 million, a slight increase of 1.6% from the previous year, but the lowest recorded since August 2025.
Strong Performance in iCasino
On a more positive note, Ontario’s online casinos showed continued growth, with a 26% increase in iCasino handle from February 2025, amounting to $7.65 billion. iCasino non-adjusted gross gaming revenue also rose by 29%, reaching $275.7 million. While these totals represented the smallest figures since September 2025, they still highlight the sector’s continued strength and its dominant position within Ontario’s iGaming market, as online casino games consistently account for over 80% of operator revenue.
Meanwhile, peer-to-peer poker maintained a small presence in the market, with wagering activity and revenue showing a slight decrease from the previous year. The province continues to face challenges in expanding the peer-to-peer poker vertical, with international liquidity being a key issue. This ongoing matter is currently under review by the Supreme Court of Canada after an appeal from provincial lottery corporations.
Looking Ahead
Despite the February downturn, Ontario’s iGaming market remains on track for strong annual growth, with a 22.5% increase in total cash wagers compared to February 2025. The seasonality of sports betting, as seen with the post-Super Bowl dip, reflects the volatility of the sector. However, with the potential for new market entrants and the ongoing expansion of existing platforms, Ontario’s iGaming sector is expected to recover and continue growing in the coming months.
Operators and regulators will be keeping a close eye on the competitive landscape, especially as new sportsbooks and platforms, such as DAZN Bet, are set to enter the market. With more competition on the horizon, the future of Ontario’s iGaming market remains dynamic, with plenty of opportunities and challenges ahead.
Source:
Ontario iGaming Market Dips to Five-Month Low in February, canadiangamingbusiness.com, March 26, 2026
