Like Taylor Swift, the hits keep coming for the U.S. gaming industry.
For the second consecutive quarter, gaming revenue set a record, generating $15.17 billion. The third quarter total surpasses the $14.81 billion in the second quarter of 2022 by 2%.
“While business challenges remain, high consumer demand continues to fuel our industry’s record success,” said AGA President and CEO Bill Miller in a statement. “Our sustained momentum in the face of broader economic volatility points to gaming’s overall health today and provides confidence as we look to the future.”
Revenue in the first nine months of 2022 is on pace to surpass 2021’s total of $53.0 billion, tracking 14.7% ahead of the same period last year and already more than the $42.65 billion generated for the entire year of 2019.
Commercial gaming’s year-over-year growth rate of 8.8% in the third quarter outperformed the broader U.S. economy’s growth rate of 2.6% in the same period.
Land-based slots and table games dominate the industry’s revenue growth, generating a record $12.27 billion in the third quarter, a year over year increase of 1.8%. Combined year-to-date revenue for the verticals is $35.94 billion, up 8.1% year-over-year.
Sports betting also set a new quarterly revenue record of $1.68 billion, up 80.6% year-over-year, due to a high sportsbook win percentage and solid growth in existing markets. Sports betting revenue through September reached an all-time annual high of $4.78 billion, outpacing 2021’s $4.34 billion, the previous record total.
Revenue from igaming reached $1.21 billion, less than 1% short of a new quarterly record. With $3.62 billion generated through September, the igaming vertical remains on pace to join slots, table games, and sports betting in posting record revenue in 2022.
Of the 33 commercial gaming states operational one year ago, 16 reported quarterly highs in overall commercial gaming revenue in third quarter, including five of the six largest markets: Indiana, Michigan, Nevada, New York and Pennsylvania.
