Sports wagering in Virginia dipped dramatically for the third consecutive month during February, following a similar pattern from the prior year.
Total wagering was $574.59 million during February 2026, according to a Wednesday report from the Virginia Lottery.
While that represents a 3.2% increase over the $556.83 million wagered during February 2025, it is 16.4% decline from January 2026 totals and 19% below the $710.94 million wagered during December 2025, lottery figures show.
While February was a decline from the prior month, it is less than the 24% drop that occurred from January to February in 2025, when wagering plummeted from $736.66 million to that $556.83 million figure.
“Virginia’s February handle pulled back to $574.6 million, a 16.5% drop from January, which isn’t surprising given the post-football lull. This is a classic seasonal reset for the market,” analyst Christopher Boan of BetVirginia.com said in a written statement.
“Bettors step back after the NFL calendar wraps, but the underlying demand in Virginia remains strong heading into March Madness,” he said.
Mobile wagering remains the overwhelming choice among Virginia players, accounting 99% of all wagering. Casino sportsbooks handled the remaining $3.04 million wagered during the month.
Gross winnings totaled $517.53 million, a 5.5% increase over February 2025, leaving adjusted gaming revenues of $53.8 million. That is a 24% dip from January and a 13% drop from the $61.9 million in February 2025. That amounted to a 9.3% operators winning percentage, or hold, following $3.2 million in allowable deductions, according to the report.
“Revenue falling 28.4% to $53.8 million is a sharper drop than handle, pointing to less favorable sportsbook hold in February. That kind of volatility is normal month-to-month, but it highlights how operator performance, not just betting volume, can significantly impact the state’s bottom line,” Boan said.
Also last year, March wagering bounced back a comparable 24% -- to $689.66 million – largely on the strength of the NCAA men’s basketball championships.
“While February’s slowdown is expected, March is when this market typically roars back to life,” Boan said. “With wall-to-wall betting opportunities throughout March Madness, from the opening rounds through the last bucket, we should see a significant rebound in both handle and revenue as bettors re-engage at scale. It’s one of the most important stretches of the year for sportsbooks and a reliable catalyst for growth in the Commonwealth.”
Ten of the state’s 12 licensed mobile operators and three casinos reported net positive adjusted gaming revenues for February, which generated $8.06 million in taxes, with $7.8 million going to the state’s general fund and $201,541 dedicated to the state’s problem gambling treatment and support fund.
“With sports betting tax revenue falling to just over $8 million in February, down more than 28%, the state is feeling the effects of both lower activity and softer operator margins,” Boan said. “It’s a reminder that sports betting tax contributions can fluctuate widely, especially outside peak sports calendars.”
During the fourth quarter of 2025, FanDuel handled 41.89% of all Virginia sports wagers, followed by Draft Kings at 28.33%, BetMGM at 9.96%, Bet365 at 6.45% and Fanatics at 5.22%. They were followed by Caesars, ESPN, Hard Rock, RSI and Bally's, according to the Virginia Lottery Board’s January 2026 report.
