Vegas Strip Revenue Plunges 16.3% In June

With revenue in the world’s largest gaming destination, Macau, China, recently falling to its lowest level since November 2010, casino investors have been looking to the state of Nevada for some much-needed good news this year. The state's Gaming Control Board recently released its report on gaming revenue for the month of June. Here’s a summary of the report.

The Numbers

Nevada’s non-restricted gaming licensees reported a total “gaming win” of $830,940,221 in June, an 8.37 percent year-over-year decrease. The updated fiscal year picture continues to look soft for the state of Nevada. Total win from July 1, 2014, through the end of June is down 1.5 percent from the previous year.

Related Link: Bank Of America Upgrades Boyd Gaming

Las Vegas Strip

More than $445 million (more than 53 percent) of Nevada’s total gaming win in June came from the Las Vegas Strip. Shareholders of strip mega-resort operators Wynn Resorts, Limited WYNN, Las Vegas Sands Corp. LVS, MGM Resorts International MGM and Caesars Entertainment Corp CZR are watching Strip numbers closely.

Win numbers for the Vegas Strip were the absolute weakest in the state, as the June number represented only a 16.31 percent year-over-year decline. The current fiscal year totals for the Strip also remain the worst of any gaming area in the state, lagging Nevada’s overall numbers and trailing the previous fiscal year’s total by 4.30 percent.

Downtown Vegas

While the Vegas Strip is struggling, historic Downtown Las Vegas’ numbers continue to be relatively strong. Fiscal year numbers for Downtown Vegas are slightly ahead of last year’s numbers by 3.09 percent, and the June total gaming win for downtown was $42,116,814 – a 2.25 percent increase from last June’s numbers.

Shares of Boyd Gaming Corporation BYD, which operates three downtown casinos, are up 3.5 percent on Tuesday following the latest numbers out of Vegas and an upgrade by Bank of America.