Despite experiencing its third consecutive month of revenue decline on the Las Vegas Strip, Nevada’s overall gaming revenue saw a slight increase in September. According to data from the Nevada Gaming Control Board, statewide casino earnings reached $1.31 billion, up from $1.27 billion in the same month last year. This increment comes amidst a 1.8% drop on the Strip, where revenues fell from $741.2 million to $727.6 million.
Revenue trends across Nevada:
The Strip’s downturn contrasts sharply with significant gains in other parts of Las Vegas and across Nevada. Downtown Las Vegas, for instance, enjoyed a 33% surge in revenue, jumping from $68.3 million to $91 million. Local casinos also reported robust growth, with revenues climbing 15.2% to $259.6 million.
The Boulder Strip in particular noted a marked increase of 19.3%, rising to $80.4 million from $67.4 million. Meanwhile, North Las Vegas remained relatively stable, with revenues slightly down from $23.4 million to $23.1 million, as the Board reported (pdf).
Michael Lawton, a senior economic analyst for the Gaming Control Board, attributes some of the regional revenue spikes to the timing of slot revenue. He explained that due to the end of August falling on a Saturday, some revenue rolled over into September, skewing the figures slightly. “In order to get a more accurate sense of the totals, combining August and September presents a clearer picture,” Lawton stated. He also noted that the downturn on the Strip was largely due to declines in baccarat revenue, which were not sufficient to offset gains in other areas such as downtown and the Boulder Strip.
Statewide, baccarat winnings dropped dramatically by 37%, with the baccarat hold percentage also decreasing to 17.1% from 21.8% the previous year. Conversely, the total gaming win excluding baccarat across the state rose by 8.7%.
The Strip’s varied performance:
On the Strip, the decline in baccarat was particularly stark, with winnings down almost 40%. Overall games win also fell by 16%, although slot winnings bucked the trend, increasing by 11.4%. The increase in slot revenue, alongside a rise in coin-in, suggests some resilience in this segment.
The varied gaming revenue figures come in a month bustling with major events which drew nearly 3.4 million visitors to Las Vegas, a 1.6% increase over last year. Significant events included the Canelo Alvarez/Edgar Berlanga boxing match, major college football games, the P!nk Summer Carnival concert, the iHeartRadio music festival, and two Raiders home games, not to mention the first-ever sporting event at the MSG Sphere with UFC 306.
The spike in visitors also translated into improved hotel and convention metrics. Hotel occupancy reached 83.9%, up from last year, with notable increases during weekends and midweeks. Convention attendance saw a robust 29% rise, bolstered by major events like the Workday Rising and MINExpo trade shows.
While the Strip faces challenges, other regions within Nevada like Reno and Mesquite showed positive revenue trends, indicating a diverse and resilient state gaming industry. However, areas like South Lake Tahoe and Sparks experienced declines, reflecting the variable nature of gaming economics across different markets.