U.S. handle dipped slightly in 2022
Total wagering on U.S. races in 2022 was down slightly, by 0.9 percent, compared to 2021, according to year-end figures released on Thursday by Equibase.
The decline in total wagering occurred in the midst of a complex and rapidly changing economic environment in the U.S., where inflation has been running at the highest rate in decades, eating into disposable income. In addition, racing is increasingly facing more and more competition from sports gambling and does not appear to be reaping gains from the rapid expansion of the practice in dozens of states, despite efforts to align with sports-gambling companies.
The year-end figures were hurt by a weak fourth quarter for racing, with total betting down 5.5 percent in the last three months of the year when compared to the same quarter in 2021. In December, total betting on U.S. races fell 7.5 percent, according to the figures.
For the year, total betting was $12.11 billion, down from $12.21 billion in 2021. The number of races held at U.S. tracks was down 0.3 percent, and average betting per race was $361,965, compared to average betting last year of $363,939, a decline of 0.5 percent.
Still, U.S. purses were up 10.9 percent for the year, at $1.31 billion, leading to a record in average purse per race, at $39,155. Purses at U.S. tracks are heavily subsidized by casinos, and the figure this year was boosted significantly by large gains in gambling figures posted by Kentucky casinos. In Kentucky, racetracks are the only businesses that can operate casinos, and a small portion of the proceeds go directly into purses.
Racing maintained a surprising resilience during the COVID pandemic, in large part because many other sports were sidelined early in the outbreak. But that momentum clearly eased in 2022. Still, racing handle in 2022 was up 9.7 percent when compared to the 2019 total wagering number, according to the figures.
Average field size continued to decline in 2022, with an average of 7.30 horses per race during the year, compared to 7.37 horses per race in 2021, a drop of 1.0 percent. The 7.30 figure is the lowest on record, according to statistics maintained by The Jockey Club.
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