Pennsylvania’s online casinos brought in more money than its slot machines for the first time ever in the fiscal year that just closed, part of a record $7 billion year for the state’s gaming industry overall.
The numbers
The Pennsylvania Gaming Control Board reported combined gaming revenue of $7,005,987,435 for fiscal year 2025/26, covering slots, table games, iGaming, sports wagering, video gaming terminals, and fantasy contests. It’s the first time the state has crossed $7 billion in a single fiscal year, and it sent a record $3,098,193,583 back to the Commonwealth in taxes and fees.
iGaming revenue reached $2,933,453,989, up 18.42% from the prior fiscal year. That’s now bigger than retail slot machine revenue, which came in at $2,440,995,939, essentially flat year over year at just 0.02% growth. It’s the first fiscal year on record where Pennsylvania’s online casinos have out-earned its physical slot floors across all 18 licensed casinos combined.
Table games revenue actually slipped 2.15% to $908,941,135. Sports wagering revenue climbed 35.95% to $662,947,631, but the total amount bet statewide (the handle) actually fell, from $8.72 billion to $8.45 billion. Sportsbooks made more money on less total betting, which points to a higher hold rate rather than more people wagering.
Who’s driving it
Three operators accounted for most of Pennsylvania’s iGaming growth: Hollywood Casino at Penn National Race Course led the state with $1.13 billion in iGaming revenue for the year, followed by Valley Forge Casino Resort at $811.8 million and Rivers Casino Philadelphia at $464.3 million. iGaming alone generated more than $1.3 billion in tax revenue for the Commonwealth, more than any other single category the Board regulates.
Why this is a bigger deal than one good year
Pennsylvania legalized iGaming in 2017 and launched it in 2019, and it’s grown every fiscal year since. What changed this year isn’t just the growth rate, it’s that iGaming has now structurally overtaken the state’s slot floors as its single biggest gaming-revenue category. Slots have essentially flatlined while online casino play keeps climbing by double digits, which says a lot about where Pennsylvania players are actually choosing to spend.
Pennsylvania isn’t alone in that shift. Michigan’s online casinos have been posting their own steady tax-revenue milestones, and New Jersey has been setting fresh monthly online casino records of its own this year. Every major regulated iGaming state is now telling some version of the same story: the online casino side of the business is growing faster than the physical casino floor it sits next to.
