Published on: October 29, 2024, 04:04h.
Last updated on: October 29, 2024, 04:04h.
Las Vegas Strip casino revenue is down by 0.2% for the year so far, with September marking the third consecutive monthly decrease.
The Nevada Gaming Control Board reported that statewide gaming revenue increased by over 3.3% to $1.31 billion in September, but Las Vegas Strip revenue dropped by 1.8% to $727.6 million.
Baccarat continues to be the main factor behind the decline.
In September, baccarat players on the Strip had a 40% decrease in luck compared to the previous year, resulting in a GGR of $88.5 million, which is nearly $59 million lower than September 2023. The hold percentage for baccarat dropped from 22% to 17% year-over-year.
Michael Lawton, an analyst at the NGCB, attributed the Strip’s struggles to challenging hold comparisons.
While the Strip experienced losses, downtown Las Vegas and other areas in Clark County saw revenue increases, with downtown GGR rising by 33% to $91 million, Boulder revenue up by 19% to $80.4 million, Mesquite win climbing by 2% to $14.1 million, and the rest of Clark County up by almost 16% to $156 million.
Slot machines drove the statewide revenue growth with a 10% increase to $896.9 million, while table games saw a decline of about 15% to $335.1 million.
Nevada sportsbooks kept $80.9 million of the $764.6 million wagered, leading to a 30% increase in sports betting revenue.
Baccarat Blunders
The consecutive months of revenue decline on the Las Vegas Strip due to baccarat mark the first time since March-May 2019. Baccarat is identified as the sole reason for the Strip’s revenue downturn.
Excluding baccarat from the totals would show a 3.4% increase on the Strip, equivalent to $60.8 million, and a 3.3% rise statewide, or $114.2 million,” Lawton stated.
Even with baccarat included, statewide gaming revenue showed a year-over-year improvement of 1.2%, reaching approximately $11.54 billion, an increase of about $140 million.
Visitor Volume Improves
According to the Las Vegas Convention and Visitors Authority (LVCVA) executive summary for September, nearly 3.39 million people visited Las Vegas last month, representing a 1.6% increase from September 2023.
This rise was driven by a 29% increase in convention attendance to 527,200 attendees. Hotel occupancy increased by 1.3 points to 83.9%, despite fewer rooms available due to the Mirage’s closure in July.
Despite the higher visitor numbers, the average nightly room rate on the Strip and across Las Vegas decreased by approximately 3%. Strip rooms averaged $210, while other rooms were priced at $196, before resort fees and taxes.
At Harry Reid International Airport, passenger traffic declined by 0.8% in September, serving around 4.75 million travelers.