US Casinos Hold Record Game, Gross Revenue Exceeds $14.3 Billion in Q1

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Posted on: May 11, 2022 at 11:04 am.

Last updated on: May 11, 2022 11:32 am.

The US commercial casino industry is thriving despite near-unprecedented inflation and a declining economy.

US casinos gaming earnings GGR sports betting
Sightseers line up at the Welcome to Fabulous Las Vegas sign for a photo of the landmark. Las Vegas and the rest of the US casino industry recovered quickly from the COVID-19 pandemic. (Picture: Casino.org)

The American Gaming Association (AGA) reported today that gaming revenue for the first quarter of 2022 was approximately $14.32 billion. Yield includes revenue from brick-and-mortar casinos, iGaming and sports betting.

January to March 2022 exceeded the same three months of the previous year by almost 29%. The first quarter of 2022 also significantly exceeded the three-month period of 2019 by 34%.

Consumers continue to seek gaming entertainment in record numbers,” said Bill Miller, President and CEO of AGA. “The strong first quarter results build on the industry’s record year in 2021, despite continued headwinds from supply chain constraints, labor shortages and the impact of rising inflation.”

Over-the-counter slots won $8.19 billion during the period, while retail table games generated $2.38 billion in gross gaming revenue (GGR). Oddsmakers kept $1.58 billion in player bets and iGaming added another $1.21 billion in gross revenue.

State gaming regulators in Michigan and Louisiana do not separate slot and table game revenue in their reports. As such, the GGR of these two states is combined into the total GGR number and therefore represents the disparity of the total GGR number and the channel split.

Gaming extension for record game

The $14.32 billion won by casinos – which isn’t entirely accurate given that much of the revenue is generated and shared with third-party non-casino players like BetMGM and DraftKings – nearly equaled the best-ever quarter in the US Gaming industry $14.35 billion set in last three months of 2021. However, Q1 in 2022 is a record for January to March.

Gaming expansion is responsible for the ever increasing gaming numbers. Most significant is sports betting, gambling that four years ago this month became a state’s right to decide its legality.

On May 14, 2018, the U.S. Supreme Court delivered its historic decision, concluding that PASPA — the Professional and Amateur Sports Protection Act of 1992 that restricted sports betting to Nevada — violated anti-statutory interpretations of the U.S. Constitution . More than 30 states now offer legal, regulated sports betting.

“Four years after PASPA, the success of legal sports betting proves what we’ve known all along: American consumers are eager to bet within the protection of the regulated marketplace,” Miller said. “It also reinforces the need to root out illegal offshore operators who exploit vulnerable customers.”

goverment aid

US casinos, sportsbooks and iGaming companies provide state and local governments with billions of dollars each year. In 2021, gambling tax revenues reached a record $11.69 billion. That’s 75% more than 2020 and 15% better than 2019.

Our industry’s success extends beyond the bottom line and into communities across the country. Record state and local tax contributions fund vital services from infrastructure and education to health and emergency services.” Mueller added.

The tax numbers exclude federal, state and local income taxes that casinos and gaming establishments pay on top of their net business income. Of the 34 commercial gaming markets in the US, the AGA says 32 saw an increase in GGR in Q1 ’22 over the same quarter last year.

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