Despite a disappointing December last year, both the fourth quarter and the entire year witnessed a rise in revenues for Nevada gaming. [toc]
The most recent report on gambling revenue from the Nevada Gaming Control Board.
The report offered data for December of the previous year, figures for the fourth quarter, and an analysis of the state’s overall performance in 2016.
2016 Nevada gambling revenue
The Silver State recorded $11.25 billion in gambling revenue last year, marking an increase of nearly 1.5 percent from 2015.
Revenue from table games was fairly stable between 2015 and 2016. There was a 2.5 percent increase in revenue from slots. Consequently, approximately 63 percent of the total gambling revenue was attributed to slots.
Last year, the race and sports book area suffered significant losses, with basketball, baseball, and horse racing betting experiencing a decline ranging from seven to 27 percent.
The only sport that was trending upwards was football, with an increase of 11 percent.
The revenue of the Las Vegas Strip remained constant from 2015. In contrast, both Reno and Downtown Las Vegas experienced increases of slightly more than four percent.
It is standard for the state to maintain consistent revenue year after year. The figures have remained unchanged since 2009.
2016 fourth quarter Nevada casino revenue
The financial figures for the fourth quarter resembled the figures for the entire year.
Overall, the gaming revenue increased by 2.2 percent in the quarter compared to 2015. The state as a whole earned slightly more than $2.8 billion by the end of the year.
Table games performed strongly, generating $1 billion in revenue and experiencing a 1.1 percent increase. Slot games, on the other hand, garnered close to $1.8 billion and witnessed a 1.8 percent growth.
Sports betting has once again been relegated to the bottom of the hierarchy. During the peak of the football season, the figures declined by 8.1 percent compared to the fourth quarter of 2015.
Baseball experienced a huge surge in popularity over 2015, with a popular World Series and a historic victory for the Chicago Cubs contributing to an impressive increase of 283 percent.
Football declined by over 15 percent compared to Q4 of 2015.
December 2016 Nevada gaming revenue
The last month of 2016, typically a slower period for the casino industry, was no exception. Nevada’s intake was just under $951 million, marking a decrease of 2.76 percent compared to 2015.
The sports betting market has seen an improvement compared to 2015, thanks to a 67.4 percent increase in football betting activity, which serves as a bright spot.
The revenue of both slots and table games fell by 1.9 percent and 3.4 percent, respectively. Slots produced roughly $407 million while table games raked in $544 million.
The general conclusion from all three reports appears to be that the casino industry in Nevada is maintaining stability.
Remember that these figures represent gambling revenue in an industry where gaming is decreasing in significance. Meanwhile, nightclubs, restaurants, and other entertainment forms are taking up a larger part of casino business models.
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