In August, both Nevada and Mississippi released their monthly gambling revenue reports, showing varying trends in their respective markets. While Nevada experienced a dip in overall gambling revenue due to a decline in slot machine activity, Mississippi saw growth in its retail sports betting market. These results offer insight into the shifting dynamics of gambling revenue across the United States, particularly in two of the country’s most significant gambling states.
Nevada Sees Decline in Gambling Revenue Due to Drop in Slots
According to the Nevada Gaming Control Board’s official revenue report (pdf), the state saw its total gambling revenue decrease by 3.8% year-on-year, totaling $1.16 billion in August. This drop was largely attributed to a decline in in-person slot machine revenue, which fell by 3.8% to $798.3 million. The decrease in slot machine activity significantly impacted Nevada’s overall gambling revenue, as slots represent the largest share of the state’s gaming market.
Several types of slot machines saw double-digit percentage declines, including one-cent, five-cent, 25-cent, one-dollar, and five-dollar slots. However, multi-denomination slots, which are a key contributor to the state’s gambling revenue, saw an increase of 15.7%, generating $555 million.
Table games, including sports and racing pools, also saw a year-on-year revenue decline of 3.8%, amounting to $365.5 million in August. Despite this drop, there were some positive trends within individual games.
Blackjack, which remains the most popular table game, brought in $105.9 million, a 6.9% increase compared to the previous year. Roulette revenue also surged by 22.9% to $49 million, with additional growth in games like three-card poker and Ultimate Texas Hold’em.
However, these gains were offset by declines in baccarat, which fell by 34.3% to $76.3 million, and craps, which dipped 7.8% to $33.4 million. Keno and Pai Gow also saw declines, contributing to the overall downturn in table game revenue.
Mobile Sports Betting Growth in Nevada
On the positive side, Nevada’s sports betting sector continued to grow, particularly in the mobile betting segment. The Nevada Gaming Control Board reported a 13% increase in mobile sports betting revenue, which totaled $14.8 million in August. Baseball was the highest-grossing sport, generating $9.7 million in revenue, while American football, buoyed by an early start to the college football season, contributed $8.7 million. Other sports, including tennis, golf, and MMA, added another $7.6 million in revenue.
The overall revenue from sports betting pools, which is classified under table games, jumped by 38.9% year-on-year to reach $25 million in August. However, the state does not disclose specific handle details for sports betting.
Mississippi’s Retail Sports Betting Market Sees Growth
While Nevada experienced a slight decline in total revenue, Mississippi’s retail sports betting market showed strong growth in August. According to the Mississippi Gaming Commission, taxable sports betting revenue reached $3.2 million, marking an 18.5% increase compared to August 2023 and a substantial 68.4% rise from July 2024. The total amount wagered on sports in Mississippi reached $22.6 million, reflecting a 5.6% year-on-year increase. The state reported an overall hold of 14.1%, indicating a healthy profit margin for operators.
Casinos along Mississippi’s coast were the primary drivers of sports betting revenue, generating $2.1 million in August, which was up by 31.3% year-on-year. Coastal casinos also handled the most sports wagers, with a total of $13.7 million placed, leading to a 15.2% hold.
In contrast, central Mississippi casinos saw a year-on-year decline in revenue, which dropped by 22.4% to $566,774, despite handling $5.3 million in wagers. Northern casinos, on the other hand, experienced a 42.8% increase in revenue, totaling $530,735 on a $3.6 million handle.
Source:
“Slots Decline in Nevada as Mississippi Reports Sports Betting Growth“, igamingbusiness.com, September 27, 2024.