The drop in visitation to Las Vegas and decline in hotel occupancy show no signs of slowing down over the summer, considering the reports that came out last week.
The 3.41 million visitors who came to Las Vegas in May represented a drop of 6.5% from May 2024 when 3.65 million visited. For the year, visitation at 16.45 million is down 6.5%, or more than 1.1 million people. Airport passenger counts in May were down 3.9%, while vehicle traffic at the Nevada and California border fell 5%.
That’s likely the trend going forward, according to the latest analysis from Truist Securities.
“Our latest Las Vegas Strip room survey looks similar to our last note showing a choppy summer though some sequential improvements,” said Truist analyst Barry Jonas. “Second quarter rates finished down year-over-year, while July looks flattish and our early August read is lower.”
Jonas added that rates are starting to improve somewhat week-over-week for such operators as MGM Resorts International, potentially a function of shorter booking windows.
“While we think company valuations are factoring continued weakness, improving week-over-week rates could help and commentary from our recent Vegas trip suggests a return to growth starting the fourth quarter,” Jonas said.
Jonas said July rates are flat year-over-year for MGM and other properties on the Strip, while Caesars Entertainment is showing rates down 9%.
In August, MGM is down 3%, while Caesars was down 35%. Other Strip properties are down double digits.
Hotel occupancy at 83% was down from 86.1% in May 2024. Strip occupancy at 85.3% was down from 88.5%. Weekend occupancy of 89.9% was down from 93.4%. Midweek occupancy was 79.3%, down from 82.5% despite convention business up nearly 11% in May to more than 511,000.
In a note to investors Friday afternoon, Jonas said Strip gaming revenue fell 4% in May, with baccarat win down 10%. Total casino win, excluding baccarat, a measure Jonas said they use to gauge the health of the mass market, was down 3%. Las Vegas tourism officials cited economic uncertainty among consumers for the drop in visitation; occupancy is down 14% in 2025.
“Visitation metrics and Strip revenue per room were down 7% and 5%, respectively, though convention attendance was up 11%,” Jonas said. “We think the summer softness is well understood, with the question being if improvements will be seen by the fourth quarter, which operators discussed on our recent Vegas trip.”
Locals casinos, meanwhile, continued to outperform the market, but were flat year-over-year.
“Normalized locals gaming revenue was up 11%, reflecting the locals consumer resiliency, strong handle growth, and backing out the Nevada slot accounting impact on hold,” Jonas said.
May 2025 had one more Saturday than May 2024. For Nevada slot accounting, the month had a net one-day negative impact to slot revenue (not handle). May 2025 had a Friday/Saturday pushed into June 2025, while May 2024 had just a Friday pushed into June 2024. Jonas said.
Shelley Newell, a senior economic analyst for the Gaming Control Board, released a report Friday with May revenue numbers.
Total win of $713.8 million on the Strip decreased 3.9% ($28.7 million) versus May 2024. The Las Vegas Strip’s games win of $332.6 million decreased 2.1% or $7 million and drop totaled $2.2 billion and increased 0.7% or $1.6 million, Newell said. Games hold percentage was 15.5% versus 15.8% last year. Baccarat win totaled $109.9 million and was down $12.2 million or 10%. Volume totaled $682.6 million is down 9.9% or $75.4 million and hold was 16.1% versus 16.1%. The Strip’s slot win totaled $381.2 million and decreased 5.4% or $21.8 million with a 1.6% or $81.8 million increase to coin-in. Slot win percentage was 7.4% versus 8% last year.
Total win of $66.4 million in downtown Las Vegas decreased 11.4% or $8.5 million. Slot win totaled $40.1 million and decreased 24.6% ($13.1 million). Slot coin-in was up 4.5% ($27.5 million). Slot win percentage was 6.3% versus 8.7% last year.
Downtown game and table win totaled $26.2 million, up 21.2% ($4.6 million). Games drop increased 1.3% or $3 million on a hold of 11.4% versus 9.6% last year.
Total win of $90.1 million in Washoe County increased 0.2% ($179,000). Slot win decreased 4% ($3.2 million). Slot coin-in totaled $1.5 billion and was up 7.4% ($105.6 million) versus May 2024 and hold was 5.1% versus 5.6% last year. Game and table win totaled $15.1 million up 28.1% ($3.3 million). Games volume up 2.7% ($2.4 million), hold was 16.7% versus 13.6%.
Nevada sportsbooks won $46.7 million, up 29.7% or $10.7 million compared to May 2024, on a hold percentage of 8.1% versus 7% last year. Sportsbook wagers totaled $576.8 million, up 12% or $61.7 million compared to last May when $515.1 million was wagered statewide. Mobile wagers totaled $422.9 million up 20.4% or $71.6 million and accounted for 73.3% of all wagers, Newell said.
