Americans need further economic stimulus. So, by extension, do casinos. The rebound occasioned by the CARES Act has petered out and gambling win is drooping everywhere. Also, with Covid-19 on the rampage (300,000 U.S. deaths and climbing), players seem to be staying home in droves. Atlantic City casinos took a shellacking last month, plummeting 35% after what had seemed to be a promising recovery. The nine casinos grossed $146.5 million, a result which two fewer weekend days than last year didn’t help. As an indicator of stay-at-home players, Internet gambling win catapulted 87% to $92 million, while sports betting (87% online) shot up 53%, resulting in $50 million in revenue. As it may just be a matter of time before New Jersey re-closes casinos, make hay on the Web while the sun shines, Big Gaming.
Slot win on the Boardwalk was down 35% and table revenue fell 33%. Borgata was deserted by slot players, with win plunging 47%. Table win was down 35% for a cumulative slippage of 38%. The Caesars Entertainment trio was very unlucky at the tables, tailspinning 60% and slots weren’t much better, -45%. JP Morgan analyst Joseph Greff had projected CZR to be off 27% in the fourth quarter but it’s tracking closer to 50%. The only revenue-positive casino in town was Hard Rock International, up 19% to $28 million (Joe Lupo‘s onto something), while Ocean Casino Resort was ever so slightly off its feed, down 1% to $19 million. Borgata grossed $36.5 million, while Twin River Holdings (now Bally) had an inauspicious first month at Bally’s Atlantic City, falling 53% to $6 million. Caesars Atlantic City was an ignominious -56% at $12.5 million and Harrah’s Resort little better at -51% ($12.5 million), while Tropicana Atlantic City reported $14 million (-42%). The promised, $400 million reinvestment can’t come a moment too soon, it would appear. Resorts Atlantic City managed $9 million (-36%) and the Golden Nugget was close behind, if down 49%.
The mask loopholes for both drinking and smoking literally prove the power that casinos hold, when I read about Nevada residents complaining about the Governor being too stringent with the Covid rules I chuckle. Sisolak worships at the alter of the almighty casino CEO’s, and shame on those CEO’s for compromising the safety of employee’s and guests for addiction. When one takes their mask off they spew virus if they are infected, Nevada has abysmal Covid transmission numbers, every effort should be made to bring those numbers down and ease the stress the hospitals are suffering from. Economic interests are valid, but public safety should come first. I can’t imagine being in an indoor setting with folks taking their masks down, I run away like Jesse Owens when I see inconsiderate people with their masks lower than their nose at the grocery store…
AC: we went to Harrah’s AC on Sunday, “lightly” attended, needed to play some to retain our comps. Still the same dropped ceiling tiles as 40 years ago, a good bet they will be there next year, and the next year after, etc, etc.
Those numbers make Missouri look good. I’m an AC fan but when the weather is poor there just isn’t anything to do but gamble. The day trip trade from NYC is dead. If I ran a casino in AC i’d really look hard at operating from April to November.