In a testament to the resilience and growing appeal of the U.S. commercial gaming industry, nationwide revenue surged to an unprecedented $17.63 billion in the second quarter of 2024. This impressive figure, reported by the American Gaming Association (AGA) in its latest Commercial Gaming Revenue Tracker, marks the 14th consecutive quarter of annual revenue growth. This achievement underscores the industry’s robust recovery and continuing expansion across various gaming verticals.

Record-Breaking Quarter Amidst Nationwide Growth

The performance in Q2 2024 reflects a nationwide trend, with 24 jurisdictions experiencing year-over-year revenue increases. This broad-based growth is contributing to a significant influx of state taxes, amounting to $3.73 billion generated directly from gaming activities.

The growth was driven by both land-based and online gaming sectors. Traditional land-based gaming, which includes brick-and-mortar casinos and sportsbooks, maintained its dominance, accounting for 71.4% of total revenue.

However, online gaming continued to make significant inroads, contributing 28.6% of the overall revenue. Although the growth rate of online gaming has slowed compared to the previous year, it remains a critical driver of the industry’s overall success.

Key Performance Insights by Gaming Vertical

Traditional Casino Gaming:

Traditional brick-and-mortar casinos generated $12.49 billion in revenue during Q2 2024, representing a modest yet steady year-over-year growth of 1.8%. The revenue gains in May and June helped offset a slower start to the quarter in April, demonstrating the sector’s resilience despite broader economic challenges.

Sports Betting:

The legal sports betting sector saw a remarkable increase, with Americans wagering $31.75 billion on sports in Q2 2024. This generated $3.16 billion in quarterly revenue, marking a substantial 35.3% year-over-year growth. The expansion of sports betting was bolstered by new market launches in Kentucky, Maine, North Carolina, and Vermont since last spring.

iGaming:

The iGaming sector achieved an all-time high, grossing $1.97 billion in Q2 2024, a 25.2% year-over-year increase. This growth was supported by the launch of Rhode Island’s iGaming market in March, further cementing iGaming’s role as a significant contributor to the industry’s overall revenue.

“While sports betting and iGaming continued to drive overall industry revenue growth in the second quarter, new brick-and-mortar property openings in Illinois, Nebraska, and Virginia also led to rising traditional commercial gaming revenue,” said AGA Vice President of Research David Forman. “Across the country, land-based gaming markets are seeing mixed year-over-year comparisons due to slower consumer spending economy-wide, which may continue to be a factor through the remainder of 2024.”

Background

AGA’s Commercial Gaming Revenue Tracker provides state-by-state and cumulative insight into the U.S. commercial gaming industry’s financial performance based on state revenue reports. This issue highlights Q2 2024 results.

37 states and the District of Columbia featured operational commercial gaming markets in Q2 2024, including casino gaming, sports betting, and iGaming. AGA’s State of Play Map charts gaming’s economic impact, industry regulations, and casino locations on a state-by-state basis for both the commercial and tribal gaming sectors.

Source:

Commercial Gaming Revenue Reaches $17.63B in Q2 2024, Marking Industry’s 14th Consecutive Quarter of Growth, americangaming.org, August 15, 2024.

The post U.S. Commercial Gaming Revenue Hits Record $17.63B in Q2 2024 appeared first on Keno Wizard.