By Hank Russell
The New York Knicks’ National Basketball Association (NBA) Finals championship win over the San Antonio Spurs in June had an unintended consequence, as gross gaming revenue for the state during that month dropped year over year.
According to a recent report issued by the New York State Comptroller’s Office, gross gaming revenue dropped precipitously in June by 43.5% to $116.8 million, compared to $206.5 million collected in June 2025. The report attributed the loss in revenue to the Knicks’ NBA Finals win; during the NBA Finals, more than $1 billion in mobile sports wagers were made, but the state lost $14.4 million in gross gaming revenue. At the time, the Knicks were considered heavy underdogs and, after the series, the incoming revenue from the wagers was exceeded by the payouts.
Between April and June 2026 — the first quarter of the state’s 2027 fiscal year (SFY 2027) — gross gaming revenue was $565.1 million, down from the same period the previous fiscal year, when $648.2 million was collected, according to the report. Part of this decline was due to lower growth in wagers in April and May, a decline of $67 million, and, consequently, less revenue.
However, not all the news was bad. Collections from the tax on gross gaming revenue increased by 78.4% between SFY 2023 ($727.4 million) and SFY 2026 ($1.3 billion). Since its implementation in January 2022 through the end of SFY 2026, over $91.2 billion in mobile sports bets have been placed, generating gross gaming revenue of $8.3 billion. Further, in SFY 2026, the state collected over $5.1 billion in gaming revenues, $1.3 billion (33%) higher than in SFY 2016. However, excluding mobile sports wagering, gaming revenues from all other forms declined by 0.8%.
From June 11 to July 19, 2026, the Fédération Internationale de Football Association (FIFA) 2026 Men’s World Cup (World Cup) matches were played. Excluding the week of the NBA finals (week of June 14), the wagering handle during the World Cup totaled $2.5 billion, $775.5 million (45.7%) higher than similar weeks in 2025. Unlike the experience in the two weeks of the NBA finals, gross gaming revenue also increased during this time, by $84.8 million (43.7%).
Comptroller Thomas DiNapoli said he was encouraged by these figures from the previous fiscal year and the World Cup, but he had concerns about the rise in problem gambling, which is being exacerbated by prediction markets such as Kalshi and Polymarket. The report also notes that increased wagering activity led to 8.5% more calls to the state’s problem gambling hotline from 2020 to 2025.
“While the legalization of mobile sports betting in New York has boosted state revenues, the rise in problem gambling, particularly among young people, is a major concern,” DiNapoli said. “The rapid proliferation of the prediction markets, which generate significant revenue based on sports activities, only makes it easier to get hooked on these online platforms.”
DiNapoli said he was “encouraged” by the state doubling funding for problem gambling services from $6 million to $12 million, “but this is a drop in the bucket compared to the billions being wagered. We need to do much more to identify how mobile sports betting is impacting New Yorkers and ensure consumers are protected.”