Reported gaming revenues at casinos and racetrack casinos increased by 4.4 percent in 2012, reaching almost $38.9 billion. That improves on 2011’s performance, when revenues increased by 2.9 percent over 2010. Total revenues increased in 16 jurisdictions, but sagged in 8. Ohio was new to the casino ranks in 2012, increasing the number of states with casinos (not counting tribal facilities except for the two largest properties in Connecticut) to 25. Massachusetts will eventually join the club with a licensing process underway.
Nevada of course continues to lead the way, with more than $10.8 billion in gaming revenue last year, up 1.5 percent. That’s actually a slowdown from 2011’s 2.8 percent increase, but not surprising since that year marked a significant period of recovery from the recession.
Pennsylvania has claimed the second spot nationally in terms of gross gaming revenue, surpassing the ailing Atlantic City with a 2012 total of more than $3.1 billion. This despite the impact of competition from Ohio – the new casino in Cleveland took its toll primarily on nearby Presque Isle Downs, where total revenues declined by 10 percent in 2012. New York jumped up five spots to rank seventh in total gaming revenue with $1.8 billion.
Revenues at racetrack casinos outpaced those at other casinos in this study, due primarily to the influence of the largest facility, Resorts World Casino New York at Aqueduct Racetrack, which opened in late 2011. Other new racetrack casinos opened in Florida and Ohio, while Maine’s casino added table games in 2012.
Among all other casinos, the most significant jurisdictional growth was triggered by new properties in Kansas, Maine, Maryland, Ohio and Pennsylvania. But a heralded new casino in Atlantic City failed to improve that city’s fortunes, as revenues sagged even further in 2012 than they had in 2011.
The attached chart summarizes gaming revenues for the past three years. The data does not include wide-area network gaming at bars, clubs and other distributed locations in Illinois (new in 2012), Louisiana, New Mexico, Oregon, South Dakota and West Virginia. I have included a line item for the cardrooms at Florida’s pari-mutuel facilities; annual data are not yet available for Minnesota’s two racetrack cardrooms.