19 years of S&G experience comes in handy in the most unpredictable ways. This week it helped us take a deep dive into General Manager Peter Gelb‘s criminal mismanagement of the finances of that august institution, the Metropolitan Opera (above). Casinos would love to see Gelb coming, as he has the personality of a degenerate gambler, forever “chasing losses”—using other people’s money. Of course, you can’t wreck a company without the connivance of a Pet Rock board of directors, which the Met definitely has. (Shades of the Caesars Entertainment bankruptcy.) We promise you will find our analysis both lively and depressing. Now to more-traditional S&G fare …
While not as exuberant as in Illinois, gamblers in Indiana were feeling their oats last month. Casino revenues rose 2.5% overall. No surprise, Hard Rock Northern Indiana was way out in front with $35.5 million, up 3%. Nearby Horseshoe Hammond took a wallop, falling 10% to $18 million, while Ameristar East Chicago slumped 8.5% to $12 million. Between Hard Rock’s superior brand appeal and the incursion of Wind Creek Southland, across the state line, the older casinos continue to have a rough time of it. Blue Chip rounded out the northern tier with $9.5 million, up 4.5%.
If we may digress, Full House Resorts received a royal screwing this month from the Indiana Lege and Gov. Mike Braun (R). What began as a legislative initiative to move the Rising Star license to Fort Wayne or somewhere proximate ended up quite differently. As finally approved and signed, the bill throws a Fort Wayne-area license open to everyone, setting off a bidding war (minimum entry: $650 million). Not only does this price Full House out of the market, it sets the stage for a result in which them that has gets, since the license is open to all comers. This wouldn’t have happened under Mike Pence, if only because it is the “net expansion of gambling” he always opposed. Somebody like Caesars Entertainment is likely to get the gold mine while Full House (which sounds unlikely to bid) is certain to get the shaft. For shame.
In the meantime, Rising Star continues to limp along with $3 million in February revenue, which at least represented an 18% boost. Fortunately for Full House, it’s an inexpensive casino to run. The other coffee achiever was tribal-owned Caesars Southern Indiana, erupting 21% to $19.5 million. Horseshoe Indianapolis was flat at $24 million, while Harrah’s Hoosier Park hopped 4% to $17.5 million. Belterra Resort was flat at $7 million, Bally’s Evansville jumped 12% to $14.5 million and Hollywood Lawrenceburg dipped a point to $12 million. French Lick Resort was up 3.5% to $5.5 million and Terre Haute Casino was up 2.5% to $11.5 million.
Sports betting revenue was down 13%, which is no surprise since the Super Bowl was a dead game, with almost everyone betting the favorite. Handle was flat at $431 million. Books won $42 million, a respectable hold. DraftKings edged FanDuel $15 million to $14 million. The remainder was chicken feed, spread almost evenly between five other operators.
Even greater exuberance at the casinos was on evidence in Missouri. Despite visitation falling 7.5%, revenue was up 7.5%. That was also the percentage of gain for Ameristar St. Charles, which booked $25 million. River City gained a point to edge sister property Hollywood St. Louis (despite a 9% gain) with $21.5 million to Hollywood’s $21 million. Horseshoe St. Louis was up 5.5% to $13 million. Kansas City was led by Ameristar Kansas City‘s $16 million (7%). Flat at $10 million, Bally’s Kansas City was the closest thing Missouri had to a revenue-negative casino all month. Harrah’s North Kansas City brought in $14 million (8%) and Argosy Riverside garnered $14 million (16.5%).
Outstate, Century Caruthersville had an outstanding month, vaulting 17.5% to $5 million. Century Cape Girardeau gained 7% to $6 million whilst Isle of Capri Boonville leapt 15% to $8 million. St. Jo Frontier jumped 10% to $4 million and slots-only Mark Twain Casino was way up, 18% to $3 million. Don’t say there isn’t any action out in the sticks.
Godzilla vs. Megalon. Trying to take the (very relative) high road, Kalshi is capitalizing on the infamy currently attaching itself—and justifiably so—to Polymarket. It has vowed to engage in no insider trading. Its new ad campaign also promises “We Don’t Offer Death Markets.” To accentuate the positive, it’s about time somebody drew the line. Taking wagers on the sad fate of Nancy Guthrie or the prospect of nuclear war in the Middle East (both of which Polymarket has done) is a complete abdication of human decency. As for insider trading, the market has been rife with suspiciously timed and informed trades on U.S. military activity, suggesting that the Pentagon is leaking like a sieve. We applaud Kalshi’s actions, although preferring Kalshi to Polymarket is like saying syphillis is better than gonorrhea. Best to contract neither.