Author: David Mckee

Nevada gambling winning catapulted 18% last month—yes, almost a 20% increase over post-Covid numbers (although January 2022 was dampened by Omicron). The good times just keep on rolling, to the tune of $1.2 billion. The Las Vegas Strip led the charge with a 26% vault, grossing $713 million. Strip slot revenue grew 24% on 24.5% more coin-in. Table games were good for the house, with winnings up 23% on only 5% more wagering. Baccarat saw players take a hiding, as the house won 42.5% more on 22% bigger betting.

Downtown kept pace, leaping 25.5% to $85 million. Laughlin (+1%, $42 million) missed out on the party. The Boulder Strip was up 13% to $96 million, North Las Vegas gained 8% to $24 million and miscellaneous Clark County jumped 17.5% to $152.5 million. Utah-fed Mesquite was up 8.5% to $16 million. But favored Mormon getaway Wendover slipped 2% to $21 million. A harbinger of things to come? As Wendover goes, so goes Nevada. Indeed, Reno was down 19% to $42 million, while Lake Tahoe nudged 2% higher to $17 million. Sparks continues on the comeback trail, up 17% to $14 million.

Continue reading Vegas booming; Churchill Downs “messy”; Mega-Jottings

Pity poor fellow Kelsey Grammer. The superb actor (Boss) and Shakespearean leading man has been reduced to tending bar at an Atlantic City casino. And not some prestigious Boardwalk gambling hall but last-place Golden Nugget. As our East Coast correspondent, who adeptly spotted this ad, puts it: “Guess he didn’t save enough money for retirement, and/or he has a really bad agent that can’t get him better gigs at casinos.” True that.

Continue reading How the mighty have fallen; Pennsylvania saturated

Good going, MGM Springfield. It has become the third Massachusetts casino to ‘fess up to taking illegal wagers in the opening days of lawful sports betting. Did the Bay State go live too soon? It’s looking that way, as regulators say they’ll be learning to “set the goalposts” on what is and isn’t permitted, a tacit admission that they got caught with their pants down. Look, this isn’t rocket science and none of three bungling companies is a novice to sports wagering, making this all the more inexcusable. Putting a ‘pause’ on the March 10 launch of mobile betting seems only sensible while the Massachusetts Gaming Commission gets its act together.

Continue reading Sports betting bungle; Smoke gets in their ears

Back on Jan. 25, we wrote that Bally’s Corp. CEO Lee Fenton was “possibly laying the groundwork for his own exit,” when he said, The pandemic boosted our business and we continued to hire at full pelt. I now can see that we may have over-hired in some areas and I take full responsibility for that.” This coincided with the sacking of 15% of Bally’s staff, followed today by Fenton falling on his sword. Although he’s technically CEO until March 31, Fenton wasn’t even allowed a voice in the official press release, his role being usurped by CEO-to-be Robeson Reeves. The latter comes from the company’s interactive side, which is where the problems are concentrated. Brick-and-mortar prexy George Papanier‘s job is safe.

Continue reading Big Bally’s shakeup; Smoking swatted; Mega-Jottings

Station Casinos posted impressive 4Q22 numbers—if not as impressive to Deutsche Bank analyst Carlo Santarelli as Boyd Gaming‘s. Still, net revenues were up 2% and cash flow improved 3.5% (Boyd did 7% and 13%, respectively.) Santarelli liked Station’s improved margins “as non-gaming revenue growth offset the modest casino revenue contraction in the period.” (Higher ADRs and food prices didn’t hurt.) He continued, “While the results could be perceived as being below recent expectations, we see limited signs of headwinds in the Las Vegas locals market, continued promotional disciplines across the market, and we believe the [Station] development pipeline remains a compelling attribute to the story.” He ratcheted his price target upward from $51/share to $53, applauding the company for having “the strongest organic growth pipeline in gaming.”

Continue reading Wall Street lauds Station, Wynn, MGM