Daniel Purvis waved the flame while celebrating one of his team’s goals during the match on April 14.
The 25-year-old Nissan worker then threw it to the floor, causing red smoke to billow out.
He appeared at Newcastle Magistrates’ Court yesterday and pleaded guilty to possessing a flare at a sporting event.
The court heard Purvis, of Fieldway, Hedworth Estate, South Tyneside, had been sitting in the away crowd at the match on Tyneside.
Sarah Robinson, prosecuting, said: “This incident occurred during the Newcastle v Sunderland match on April 4, 2013.
“At around 12.15pm, a steward, Mr Frost, was on duty at St James’ Park. There is a section of the ground that houses the Sunderland away fans and Mr Frost witnessed the defendant in the away stand holding a lit flare in his right hand and waving it around.”
The court heard he then threw the flare and it landed on some steps in the crowd. It is not thought it hit anyone.
After he was arrested, Purvis, who represented himself, admitted it was a stupid thing to do and said he wished he had waited until the end of the match to light the flare so he could watch the rest of Sunderland’s win.
District Judge Stephen Earl handed him a three-year banning order which prevents him from attending any home or away matches featuring Sunderland or England.
Judge Earl told him: “It is a shame because I’m sure you enjoy going to watch your team, but now you won’t be able to do that.”
Purvis was also fined £238, with £85 costs and a £20 victim surcharge.
l Craig Lee Stanworth, who was arrested for disorderly conduct on the day of the derby, was given an interim banning order while his case is ongoing.
Stanworth, 21, of Dean Park in Ferryhill, County Durham, made no pleas to the offence at Newcastle Magistrates’ Court on May 9. His case was adjourned.