US Commercial Casino Revenue Tops $16B in 2Q, Industry Tracking for Banner Year
Posted on: August 16, 2023, 08:50h.
Last updated on: August 16, 2023, 09:53h.
The US commercial casino industry has never been more vigorous as gaming revenue continues to reach new highs.
The American Gaming Association (AGA) released numbers for the second quarter on Wednesday that reveal the industry is operating at record levels. Gross gaming revenue (GGR) totaled $16.07 billion, an all-time high for any April through June in the history of the commercial gaming industry.
The second quarter of 2023 was also the commercial casino industry’s second-best quarter ever, with only the first quarter of 2023 generating more revenue at $16.6 billion. Through the first six months of the year, GGR stands at $32.71 billion, which is almost 12% ahead of where the market stood during the same period last year.
2022 was a record campaign for the commercial gaming industry, as casinos won $60.4 billion off gamblers. 2023 is tracking to be another banner year and could mark the industry’s third year in a row where GGR hit new heights.
While commercial gaming is on track for an unprecedented third consecutive year of record revenue, the lasting impact we’re making on our communities through this record growth is even more impressive,” said AGA President and CEO Bill Miller. “These results are a clear indication that our post-pandemic recovery wasn’t a fluke: the gaming sector continues to thrive, and when we do well, our communities do well.”
The AGA’s Commercial Gaming Revenue Tracker keeps tabs on commercial gaming operations in the 34 states plus the District of Columbia where such gambling is legal in some form. The tracker includes revenue from commercial brick-and-mortar and online operations. The report doesn’t include lottery revenue or gaming revenue from tribal-owned casinos.
Slots Still King
Legacy gaming, or retail slot machines and table games, continue to generate the bulk of the GGR in commercial gaming.
The AGA said slot win, sometimes referred to as “hold,” totaled $8.89 billion during the three-month period. That marked a 2.2% year-over-year gain. Table games added $2.46 billion, representing a 2.1% decline from the second quarter of 2022.
Oddsmakers fared significantly better in the second quarter of 2023 than in 2022. Books generated GGR of $2.3 billion, a 57% surge from the previous year.
iGaming, which encompasses interactive slots and table games, added $1.48 billion. Online casino revenue jumped 22.5%, as the internet platforms in the six states where such gambling is permitted continue to attract new players and increase revenue.
Nevada topped the commercial market with second quarter GGR of about $3.7 billion. Pennsylvania was second at $1.42 billion and New Jersey was third at $1.39 billion.
Community Benefits
Miller’s references to making an impact on communities where commercial casinos operate primarily deal with the tax benefits that gaming generates.
The AGA estimates that commercial casinos paid nearly $7.3 billion in direct gaming taxes to state and local governments through the first six months of 2023. But for the industry’s ongoing success, Miller believes more must be done to infiltrate the illegal market.
“To sustain this momentum, the AGA will continue enlisting more allies in our fight against the illegal market, bolstering responsible gaming, and building a business environment that allows our innovative industry to bring world-class entertainment to adults across America,” Miller concluded.
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Source: casino.org
