The Las Vegas Strip Showed Growth in April 2014, Despite Nevada’s Slight Dip Overall
Nevada gambling revenues dipped in April, though the numbers for baccarat stabilized. The drop in overall revenues was only a fraction of a percentage, so officials are not concerned that the statistics show a real decline.
The total gross revenue from gaming activities across the state was $852 million. The number represents a 0.3% decline from the same month in the previous year. The Nevada numbers this year show a trend. Gambling across the state is losing ground, while the Las Vegas Strip is showing growth.
Las Vegas Strip revenues were up from the previous year. In March 2014, the Vegas Strip collected $448.6 million in revenues. In April 2014, the Strip produced $462.9 million.
Baccarat Numbers Increase
Baccarat winnings continue to be closely watched. Baccarat is a favorite of Asian gamblers, and baccarat’s percentage of winnings continues to increase among the Las Vegas megaresorts. Baccarat account for $90.4 million on the Las Vegas Strip, which is a boost of $25.8 million or 40%.
That represents a significant increase, though gaming regulators note that those numbers show the house edge righting itself, after dips in recent months. The house edge all-but-assures that the casino is going to win a certain percentage of the money wagered, over a long period of time. The house edge does not assure winnings at any given time, and the variance can be great over a short period of time–even a month of playing.
If a few high rollers have a lucky month, it can hurt the bottom line of the casino involved–and affect statewide numbers. If those same high rollers have an unlucky streak one month, then the statewide baccarat numbers can increase by a large amount.
Asian High Rollers
More Asian high rollers are visiting Las Vegas every year, as the Asian economies are creating much greater wealth than they were just 10 years ago. Baccarat players wagered $648.7 million across the state, which is an increase of $105.5 million (19.4%) over the previous month. The hold percentage was 14%, up from the 12% hold percentage of the previous month.
The importance of baccarat to the growth of the Nevada gambling industry is underscored when one takes the game from the numbers. Without the boost from baccarat, the numbers in Nevada would have been down 3%.
Downtown Las Vegas Revenues
Downtown Las Vegas collected $44 million in winnings. That represents a 2.5% decline from March to April. The statistics are worse than at first glance, because the downtown section of Las Vegas has one new casino operating since last year at this time.
Northern Nevada’s Numbers
Reno’s numbers were down 1.5% to $44.5 million. Washoe County had a 2.2% decline, down to $58.3 million. South Lake Tahoe had the largest decline of the month. Revenues were down 42% from April 2013, from $15.7 million down to $9 million. The plunge in the numbers are a matter of circumstances, because the last weekend of March last year was reported in April. That caused an increase of 17% last year, so a certain amount of dip was expected.
Taxes Collected
The taxes collected by the State of Nevada for the month of April was $47 million. That total represents a 1.5% increase over the previous year. The turnover (money wagered) across the state was $10.8 billion. Of that money, $8.6 billion was wagered on gaming machines, including slot machines and video poker machines. $2.2 billion was wagered on tables games and card games (like poker). Despite the increasing attention baccarat receives, slot machines are still the major producer for Las Vegas casinos.
Las Vegas’s Future
With increasing frequency, gaming analysts are predicting good things for Las Vegas, especially the Las Vegas Strip. Last month, Steve Wynn had predicted a bright future for Las Vegas. Such a pronouncement means more, because Steve Wynn had expressed doubts in the recent past.
Others are betting on Sin City, too. Last week, Malaysian gaming giant Genting Berhad won a license to build their first casino on the Vegas Strip. Resorts World Las Vegas will cost $4 billion and is expected to be the largest casino in the city.
