Multiple sportsbooks reported substantial financial losses during the NBA playoffs, particularly on games involving the New York Knicks, ending a streak of 241 consecutive profitable weeks for operators in the state. DraftKings alone incurred a loss exceeding $14 million on a handle of $195.6 million in New York state for the week ending June 14.
These losses extended beyond individual games, with significant payouts made on futures bets related to the Knicks' playoff run. "The futures were certainly a loss. We paid out the bettors for the Knicks. On the games themselves, they were a loser too. We won maybe one of the five games," admitted Johnny Avello, DraftKings head trader. "Overall it was not good. The bettors were on the right side."
In New York state alone, $587.6 million was wagered in the week ending June 14, marking one of the highest betting volumes in the state's history. According to Avello, the losses were not confined to New York, with sportsbooks experiencing a difficult period nationwide.
Previously, sports betting operators in New York had maintained a consistent profit for 231 consecutive weeks. Avello noted that the odds offered for the Knicks, who were priced as underdogs against teams like the Spurs and Thunder, may have been misjudged. "We’re not disrespecting the Knicks," Avello had previously told The Post on May 28 when the Spurs became the opponent. "The Knicks had a pretty incredible run, the Spurs had their chances, they were leading by double digits in almost every game."
Avello suggested that inexperience may have played a role in the Spurs' performance, leading to unexpected outcomes. He also floated the possibility of adjusting betting numbers based on specific state locations, acknowledging that the numbers posted in New York may not have been ideal. "In the New York area, this was not the right number for betting. We took a hit on a lot of the games and the futures book."
Despite the recent financial setbacks, Avello indicated that the focus will soon shift with the upcoming NFL season, and betting interest in NBA futures will likely decrease. DraftKings had previously adjusted odds for the Eastern Conference, with the Knicks opening as second favorites behind the Celtics. However, they remained behind the Thunder and Spurs as favorites in other markets. The upcoming NBA draft and player movement will continue to influence betting lines in the coming months.