Nevada sets gaming revenue record in first-half 2023

July 28, 2023 5:52 PM
Photo: Shutterstock
  • Buck Wargo, CDC Gaming Reports
July 28, 2023 5:52 PM
  • Buck Wargo, CDC Gaming Reports

Nevada gaming revenue hit a wall in year-over-year comparisons by dropping 2.4% in June, but that didn’t stop the state from setting a record by running 3.2% ahead of last year’s blistering pace during the state’s fiscal year that ended June 30th. Year to date through the first six months of 2023, the state is up 3.6%.

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The Nevada Gaming Control Board reported Friday that the state took in $1.24 billion in revenue last month, down from $1.27 billion in June 2022. June still represented the 28th consecutive month that the state has recorded $1 billion in monthly gaming win.

For the fiscal year from July 1, 2022 through June 30th, Nevada casinos have generated $15.1 billion in revenue, up from $14.6 billion for the fiscal year that ended June 30th, 2022. This year’s total was an increase of 3.2% or $475.4 million over fiscal year 2022, which increased 37.4% over fiscal year 2021.

Visitor volume in Las Vegas during the first six months of 2023 was 20.3 million, a 9.4% increase over 18.5 million in 2022, according to the Las Vegas Convention and Visitors Authority. It’s aided by convention attendance of 3.2 million, up 30.7% from 2.46 million during the first six months of 2022.

For 2023, exactly half of the state’s 18 major submarkets set all-time records for gaming win during the 2023 fiscal year. Those include Clark County, downtown Las Vegas, the Strip, Mesquite, the balance of Clark County, Sparks, Elko, Wendover, and the balance of Elko County.

During June, the Strip fell 1% to $727 million. Downtown Las Vegas took one of the biggest hits by falling 10.4% from $69.8 million to $62.5 million. The Boulder Strip fell 16.7% from $86 million to $71.6 million.

Deutsche Bank reported locals’ casinos declined 10.1% in revenue in June compared to June 2022.

Michael Lawton, senior economic analyst for the Nevada Gaming Control Board, said the June comparison was a tough one. June 2022 represented the all-time high for the month and was the 10th highest monthly total in state history.

The state has recorded decreases in three of the last four months, but Lawton said Nevada continued to record win amounts in excess of pre-pandemic levels in June. Statewide, total win was 19.7% or $204.9 million over June 2019.

During the 2023 fiscal year, the Strip’s gaming win of $8.5 billion increased 4.8% or $393.9 million after increasing 65.2% in 2022. This year’s total also represents an all-time record for the Strip, beating the previous record of $8.1 billion set last fiscal year.

The Strip accounted for 56.5% of total statewide win, up from 55.6% last year. Excluding the Strip, statewide gaming win increased $81.5 million or 1.3%. The Strip accounted for 82.9% of the statewide increase in the 2023 fiscal year.

During the 2023 fiscal year, downtown Las Vegas was up 2%. The only decline in Clark County was the Boulder Strip, falling 1.5%. Deutsche Bank reported revenue for locals casinos fell 2.8% in fiscal year 2023.

Las Vegas visitation in June surpassed last year as the destination hosted 3.42 million visitors, a year-over-year increase of 3.1% from 3.32 million. Overall hotel occupancy reached 85.5% for the month (+2.8 points year-over-year). Weekend occupancy matched last June, reaching 90.2% (+0.2 points year-over-year), and midweek occupancy reached 83.5%, surpassing last June by 3.5 points. Overall the average daily room rate exceeded $165, +5.3% from June 2022 while revenue per available room reached $141, +8.8% year-over-year, according to the LVCVA.

Convention attendance of 455,500 fell 2.9% from 469,100 a year ago in June.

Lawton said June was aided by Garth Brook’s “Plus ONE” residency at the Colosseum at Caesars Palace, James Taylor at the Chelsea at Cosmopolitan, and the CONCACAF Nations League Finals at Allegiant Stadium, featuring the semifinals, third place, and championship games of the series. “Weekends with Adele” returned to the Colosseum and Carrie Underwood returned to Resorts World Theatre.

Elsewhere in Nevada, Laughlin had a 3.8% revenue increase in June and is up 1.2% for the fiscal year. North Las Vegas rose 2.8% in June and 1.5% for the fiscal year. Mesquite fell 0.55% in June, but is up 3.5% for the fiscal year. Reno went up by 12.5% in June, but is down 0.4% for the fiscal year. Sparks rose 20.7% in June and is up 9.7% for the fiscal year. North Lake Tahoe fell 28.1% and is down 7.1% for the fiscal year, while South Lake Tahoe fell 0.73% in June, but is up 7.1% for the fiscal year.

Statewide slot win in June of $836.2 million decreased 0.3% or $2.6 million and coin-in of $11.8 billion was up $672.7 million or 6.0%. Slot win percentage was 7.07% versus 7.52% in June 2022. This is 2023’s first decrease in slot win; the last decrease was in July of 2022, Lawton said.

Statewide, table, counter, and card games win of $409.6 million in June decreased 6.5% or $28.6 million and games drop of $2.7 billion decreased 3.0% or $84.6 million from June 2022. Games hold was 15.15% versus 15.73% last year, Lawton said.

Twenty-one win in June was up $14.4 million or 16%, volume down 16.4% or $137.8 million, and hold was 14.79% versus 10.66%.

Baccarat win in June of $100.5 million decreased 29.8% or $42.7 million and baccarat drop of $673.9 million increased 2.7% or $17.4 million. Baccarat’s hold percentage was 14.91% versus 21.81% last year.