Madison Square Garden Benefiting Financially From NY Online Sports Betting

Madison Square Garden is reaping the financial rewards of legal online NY sports betting.

“Mobile sports betting now represents our largest revenue category and marketing partnerships on a run rate basis,” MSG president Andy Lustgarten said on the company’s latest earnings call last week.

For Q3 2024, Madison Square Garden generated revenues of nearly $338 million.

Madison Square Garden piling up NY sports betting deals

The New York Rangers, New York Knicks and MSG already own multi-year sportsbook partnership deals with Caesars Sportsbook NY and BetMGM NY Sportsbook.

Lustgarten also said that MSG has a multi-year deal with DraftKings New York, continuing the long-standing partnership between the sides. DraftKings has stood as a sponsor in various sports betting shows on MSG Network.

“It starts with mobile sports gaming where, during this quarter, we welcomed DraftKings as our third major partner in a multi-year agreement done in partnership with MSG,” Lustgarten said.

“… And as we move into fiscal 2024, we will see the full impact of these three new partnerships in our results. We’ve spoken before about the significant exposure we offer our partners. And with BetMGM, Caesar Sportsbook, and DraftKings representing over 50% of the mobile sports wagering handle in New York in March, we are excited to continue helping them reach new audiences.”

Madison Square Garden sports betting? It’s possible

MSG could be the next NY arena to add a New York sports betting lounge. Caesars will open a sportsbook lounge at Citi Field later this season. There’s a VIP DraftKings Sportsbook lounge at Yankee Stadium.

As of now, stadiums and arenas in NY cannot convert to retail sportsbooks. A bill to add kiosks at sports venues in the state doesn’t appear to have gained any traction.

For now, Sen. Joe Addabbo’s focus has been to get fixed-odds horse racing on the NY betting apps before post-budget session ends June 2. Addabbo will also continue to have conversations on other topics like online casino gaming, which is expected to be the featured gaming item for next year’s budget.