The American Gaming Association, the United States gambling industry association, revealed that 2023 is bound to become a record year for the U.S. gambling industry when it comes to revenue.
In the third quarter of the year the United States commercial gambling sector managed to generate revenue of 16.17 billion dollars, a figure which represents an increase of 6.1 percent compared to the same quarter of last year. Moreover, this was the eleventh consecutive quarter of revenue growth and also the best third quarter in the history of the American gambling industry.
All verticals within the gaming industry registered growth during the quarter, with land-based casinos and iGaming registering all-time records for a single quarter. However, the pace of growth did slow for a second consecutive quarter due to the difficulty of surpassing the already solid figures that were registered last year.
The report released by the American Gaming Association took into account results registered in 33 commercial gaming jurisdictions that were operational one year ago. Seventeen of the 33 jurisdictions registered increases in revenue during the third quarter compared to 2022. Moreover, five states managed to set new records for a single quarter, including the two biggest commercial gaming markets in the country: Nevada and New Jersey.
In Nevada, gaming revenue registered an increase of 2.9 percent year-on-year, reaching a total amount of 3.88 billion dollars. The increase was driven by a record-breaking quarter for the famous casinos on the Las Vegas Strip, which managed to generate 741.2 million dollars during the quarter. The period also saw the highest baccarat win in state history: 458.4 million dollars.
Strong Economic Contributions
Bill Miller, the President and Chief Executive Officer of the American Gaming Association, welcomed the record figures registered by the association’s Commercial Gaming Revenue Tracker. This tool provides state-by-state insight into the American gaming industry and its financial performance. At the end of the third quarter there were 35 states that had operational commercial gaming markets with legal casino gaming, sports betting or online gaming. The District of Columbia also has an operational commercial gaming market.
Speaking about the sector’s importance in the American economy, Bill Miller underlined that the gaming industry provides “strong economic contributions” that help communities all around the country as it provides increased tax revenue and jobs for “millions of Americans.”
State and local governments in states that have operational commercial gaming markets gaming received an estimated 3.43 billion dollars in taxes tied directly to gaming revenue, a figure which represents an increase of 4.7 percent compared to last year.
Bill Miller also revealed that players in America “continue to migrate” towards legal and regulated sports betting and gaming options. “This sustained demand only reinforces the need for federal and state enforcement against illegal, offshore operators,” the American Gaming Association CEO concluded.
Source: “AGA: US gambling revenue set for record year after lucrative Q3“. iGaming Business. November 17, 2023.