Staring down a seemingly inevitable strike on July 1 by Unite-Here, casinos in Atlantic City could at least take solace in a May that saw gaming revenues leapfrog 9% over last year. The total gross was $233 million, as slot revenues ($174 million) jumped 10.5% on 13% higher coin-in. Table revenue climbed 6.5% on 5.5% larger wagering. Zooming 30% ahead, Borgata banked $63.5 million to Hard Rock Atlantic City‘s $41.5 million (+19%). Hard Rock, incidentally, has been given a two-day reprieve from labor unrest. Ocean Casino Resort—pictured—was third with $25.5 million, gaining only 3% traction. Over at the Caesars Entertainment triumvirate, only Tropicana Atlantic City ($22 million) was revenue-positive, up 8.5%. Harrah’s Resort ceded 1.5% to $21 million and Caesars Atlantic City was down 9.5% to $20 million.
Ongoing improvements at Bally’s Atlantic City helped eke out a 2.5% increase to $13 million, while Resorts Atlantic City slipped 8% to $14 million. Golden Nugget was microscopically ahead of Bally’s at $13 million, a gain of 3%. I-gaming was a boon, good for $136 million, led by Borgata’s 31% market share and Golden Nugget’s 25.5%. Then came Resorts Digital‘s 22%, then way down to Caesars’ 7%, Tropicana’s 6%, Hard Rock’s 4%, Bally’s 2.5% and Ocean’s 1.5%. Internet gambling is great if you’re MGM Resorts International, lagniappe if you’re Bally’s Corp. As for sports betting, it engendered $61.5 million in revenue on $766.5 million in handle.
Across the river in Pennsylvania, casino revenue hopped 8.5% over last year, for a haul of $294 million. Hollywood Penn National continues its hot streak, flat at $63 million, followed by Parx Casino‘s $57.5 million (-7%, that smoking ban is hurting a bit) and Valley Forge Casino Resort‘s awe-inspiring $53 million (+25%). Although down 1.5%, Rivers Philadelphia hung tough with $47.5 million, contrasted with Philadelphia Live‘s $23 million (+13.5%, so there’s hope yet) and Harrah’s Philadelphia’s $18.5 million (-1%). Across the state, Rivers Pittsburgh banked $31.5 million, up 7%, contrasted with newly relicensed Hollywood Meadows‘ $23.5 million (+14.5%) and Pittsburgh Live‘s $9.5 million (+12%).
Champ of the rural casinos was Wind Creek Bethlehem with $49 million, vaulting 31.5%, while Mohegan Sun Pocono Downs was up 2% to $21 million. Despite a 15.5% falloff, Mount Airy did almost as well with $20.5 million. Presque Isle Downs was flat at $11 million, Hollywood York (above) grossed $7 million, Hollywood Morgantown rocketed 2,000% to $5.5 million and then there was Lady Luck Nemacolin, up 4% to $2 million. Sports betting brought in another $47 million, minus $12 million in promotional giveaways, on handle of $493.5 million. Most of the grosses were too puny to report but FanDuel made $25 million, DraftKings $8 million and BetMGM $4.5 million. If anybody else cracks the top three it will be on the order of a miracle.
Brick-and-mortar casino gambling slipped a bit in Michigan (from whence we write this), down 1.5% to $106 million. Deutsche Bank‘s Carlo Santarelli did not break out numbers but it is safe to assume that MGM Grand Detroit came in first and Hollywood Detroit last. As for sports betting, it brought home $36 million, of which $11 million went right back out in the form of promotions. I-gaming far outpaced it at $127.5 million. With regard to sports wagering, FanDuel ran away from the pack with $15 million, pursued by BetMGM’s $9 million, DraftKings’ $5 million, Barstool Sports‘ $2 million and Hollywood’s $1.5 million. 12 other competitors—including Caesars Sportsbook—failed to crack the $1 million mark and should probably pack it in.
Louisiana is America’s hard-luck state for casino gambling, down 9% last month to $207 million on 10% lower visitation. At least sports betting is beginning to look respectable, with $142.5 million of handle boiling down to $22.5 million of revenue. Boyd Gaming actually outperformed Caesars statewide, $37 million to $36.5 million, despite Caesars having trophy properties in two of the four markets. Speaking of Caesars, Belle of Baton Rouge has finally been delivered from CEO Tom Reeg‘s malign neglect, although it grossed a mere $1 million, down 19%. CQ Holdings, the new owner, has its work cut out for it. Hollywood Baton Rouge slipped 6.5% to $5.5 million whilst L’Auberge Baton Rouge fell 14% to $15.5 million. Caesars continues to be non-competitive in Lake Charles, where the nip-and-tuck battle for supremacy went to L’Auberge du Lac (above), up 12% to $30.5 million. Arch rival Golden Nugget was flat with $29 million. Delta Downs rounded out the picture with $15 million, 8% off the pace.
In New Orleans, it was a rough month for Harrah’s New Orleans, down 22.5% to $21 million. Its nearest rival was Boomtown New Orleans, off 6% to $12 million, while Treasure Chest bagged $8.5 million (-6%) and Fair Grounds racino did $4 million, down 3.5%. Upriver in Shreveport/Bossier City it hardly need be said by this point that Margaritaville owned the market with $18.5 million, only 2% off. Horseshoe Bossier City put up a game fight, with $15.5 million despite an 11.5% decline. Boomtown Bossier held its own, flat at $5 million, but no one else was remotely so fortunate. Carnage included -45% at Sam’s Town ($3.5 million), -32% at Bally’s Shreveport ($8.5 million) and -15.5% at Louisiana Downs ($4 million). Boyd’s two rural properties, Amelia Belle and Evangeline Downs, did $3 million and $6 million, down 13.5% and 19.5% respectively.
Jottings: Downtown Vegas’ Plaza Hotel has announced a major revamp of its façade, including the first non-smoking gambling area in Downtown, a new carousel restaurant and a roof garden for Oscar’s steakhouse. Rarely seen arms manufacturer (and Plaza owner) Poju Zobludowicz got a shot-out for backing CEO Jonathan Jossel‘s play … Speaking of shout-outs, Bally’s Atlantic City gets one for its recent makeover. Having seen photos of the re-do, we’d say the jury is still out … California‘s Tejon Tribe is joining the casino fraternity. Gov. Gavin Newsom (D) has signed off on a compact for the Tejon, one which will put a $600 million casino project in motion for the Bakersfield area. Hard Rock International is the developer …
No such luck for the Little River Band of Ottawa Indians, nixed after 14 years of trying for off-reservation gaming. Michigan Gov. Gretchen Whitmer (D, pictured) turned the Ottawa down because of a recognition bid by a rival Ottawa band although she left the door slightly ajar for reconsideration of the issue … A new broom, in the form of Blackstone Group, has formally arrived at Crown Resorts. An Australian court approved the private equity firm‘s $6.3 billion takeover bid … Sports betting firms don’t seem to be too quick on the uptick. Hurting financially and facing political backlash, they spent $282 million in advertising over the last nine months. Network TV is the best vehicle for gaining “impressions” (60%) while streaming services are basically a waste. FanDuel was the sugar daddy, buying 34% of all ads, segued by Caesars Sportsbook (22%), DraftKings (18.5%), BetMGM (13.5%) and FoxBet (7.5%). Based on market share, MGM is getting the biggest bang for its buck, Fox the least … If Louisiana sports betting is improving, it may have fugitive punters from Texas to thank. According to GeoComply, “from April 27 to May 25, there were around 225,000 mobile sportsbook check-ins from the Lake Charles area, and about twice as many from Shreveport-Bossier City.” Fortunately, Gov. Greg Abbott (R) has finally seen the light and come out in favor of sports wagering in the Lone Star State.
Quote of the Day: “Only those who will risk going too far will find out how far one can possibly go.”—poet and playwright T.S. Eliot.
I still can not believe the little Valley Forge’s performance! To think that BYD picked up that hotel with all relatively small fraction of the proceeds from their sale of Borgata is outstanding (ie. I thought they were nuts for selling Borgata)
On Ballys; I like what they are doing in AC; but still a long way to go!