For the first month in 2019, Las Vegas revenue has finally increased. Reports indicate that June finally brought an increase in casino revenue for Las Vegas casinos. It’s great news for this city, which is facing stiff competition from several East Coast states.
Things are looking great for this major gambling hub. Today, we’re going to look at exactly how much gambling revenue increased last month. We’ll also discuss what this means for Las Vegas over the rest of 2019. There’s a lot of information to unpack!
Vegas Struggled Through First Five Months of 2019
It hasn’t been a great year for Las Vegas. Over the past five months, gambling revenue in this city has decreased. Many feel this is due to a major increase in competition around the country. A number of states have begun to expand their land-based and online gambling operations.
Most agree that New Jersey is the biggest competitor to Las Vegas right now. This state was instrumental in changing US laws towards the sports betting industry. It was the first state outside of Nevada to officially legalize sports gambling.
New Jersey also has a thriving online casino gambling industry. All of the casinos in Atlantic City now operate internet casinos. Most of these offer a wide range of different gambling options including slots and table games.
Gambling revenue in New Jersey has increased every single month. It’s one of the most successful gambling markets in the country. Many people on the East Coast are now choosing to gamble here instead of making the trip to Las Vegas.
Las Vegas Revenue in June Finally Increases
Las Vegas’ five-month losing streak in 2019 has finally come to an end. Overall, Nevada’s gaming revenue increased by 11.6% to $1.041 billion. On the Vegas Strip, gambling revenue increased by 17.7% to $616.6 million. It’s a huge win for casino operators in this city.
Some analysts are quick to point out the three-month trend here. Combining April, May, and June, gambling revenue here has increased by just 0.7%. It’s still a promising sign to see gambling earnings rise by so much last month.
Baccarat contributed massively to this revenue increase. Michael Lawton, senior research analyst for the Vegas Control Board commented on how Baccarat helped to boost the city’s gambling industry last month.
“The baccarat increase was the result of volume ($762.5 million) being up 19.5 percent and most importantly, baccarat’s hold percentage was significantly higher than normal coming in at 20.71 percent vs.11.55 percent last year,” Lawton said. “If you recall, last month the hold was just 7.55 percent.”
Slots also helped to boost gaming revenue in Vegas last month. Slot machine revenue was up by 3.9% to $6.4 billion on the Strip. The Las Vegas Strip’s total slot handle increased by 7.7% year-on-year. Things are definitely looking good here.
Will Vegas Revenue Increase for the Rest of 2019?
Las Vegas and Atlantic City are battling it out as the country’s top gaming destination. The sports betting industry, in particular, is extremely competitive right now. Late last month, news came out that New Jersey has surpassed Nevada in total sports betting volume.
Not everyone is convinced that New Jersey is taking over the sports betting industry. Michael Lawton recently commented on this to the media.
“Volumes were $321.8 million, an all-time record for the month of June, which was an increase of $34.5 million or 12 percent. Baseball and basketball wagering led the way with increases of $19.8 million and $18.7 million, respectively. I believe New Jersey recorded $273.2 million in handle in June which is $48.6 million less than Nevada or 17.8 percent for the same period.”
Las Vegas isn’t going anywhere. This city remains the hottest gambling hub in the country with the best-rated casinos and best entertainment options. We’ll need to wait and see whether or not gambling revenue continues to increase here for the rest of 2019.