Nevada’s nonrestricted gaming licensees reported a total “gaming win” of $1,040,994,041 for the month of June 2019, according to the state’s Gaming Control Board. This amounts to an 11.57% increase compared to June 2018, when licensees reported a gaming win of $933,019,638. For the fiscal year (July 1, 2018 through June 30, 2019), gaming win has increased 0.80% and June’s big jump helped mitigate months of lackluster performance over the FY.
As the Strip goes, so goes the state, and the area saw a 17.69% increase in gaming win for June. The driver – baccarat, baby! But also strong slots. Downtown saw Southern Nevada’s highest percentage change for the month at 18.55%, and for the fiscal year with 5.87% growth.
In Northern Nevada, Reno saw a major drop of 14.05% from the previous June, leaving the city with a slight contraction in gaming win for the FY. Lake Tahoe also saw declines. But over in the east, West Wendover continues to be the little engine that could, posting another month of decent growth and ending the fiscal year stronger than any other study region, up 6.21%.
The State collected $55,050,705 in percentage fees during the month of July 2019, based upon the taxable revenues generated in June 2019. This represents a 15.91% (or $7,558,194) increase compared to the prior year’s July, when percentage fee collections were $47,492,511.
From our friends at Deutsche Bank, a look at the underlying details behind this month’s gaming win:
June LV Strip Revs: +17.7% y/y vs DB Estimate -3.8%2
June LV Locals Revs: +6.5% y/y
June Reno Revs: -14.1% y/y
Slot Revs: +10.2%
Slot Handle: +7.7%
Slot Hold: +18 bps
Baccarat Revs: +116.8%
Baccarat Drop: +20.3%
Baccarat Hold: +930 bps (20.9% versus hold of 11.6% in June, 2018 and an LTM average of ~12.0%)
Strip Non-Baccarat Tables:
Non-Baccarat Table Revs: -9.0%
Non-Baccarat Table Drop: -7.4%
Non-Baccarat Table Hold: -30 bps
Strip Total Tables:
Total Table Revs: +25.7%
Total Table Drop:+2.3%
Total Table Hold: +329 bps