Revenues Up in Vegas Thanks to Downtown Properties
The revenue totals have increased in Las Vegas thanks to players visiting downtown casinos and other properties.
Being a gambling town, Las Vegas has suffered economic losses for over a year now due to the onset of the COVID-19 pandemic. Casinos shut down, then reopened at a lower capacity, unable to pull in large revenues due to low visitor totals. Well, now it seems that people are traveling once again. The month of June played a major role in the recovery process, with larger travel numbers to downtown Las Vegas casinos and other venues. The state has been able to see $1 billion in gaming earnings for four consecutive months, something that has not happened in over a decade.
Booming Once Again
Casinos returned to 100% capacity in May and it seems once June hit, everyone was traveling to the area. The gaming win for June came in at $1.19 billion, which was a bit lower than May’s totals, but more than the June 2019 earnings. Casinos did bring in money last June, but it was far less at $566 million due to lowered operations and travel restrictions.
For the Strip, June earnings were a decline from June 2019, at $610.5 million. Clark County showed a huge win of over $1 billion, which was a 12% increase from the same month two yeas ago. It was of course, a large increase from last year’s June totals.
It was the locals casinos and downtown venues that did the best last month. Revenues came in at $79 million which as more than 50% higher than June 2019. Of course, the region is also home to the new Circa Resort & Casino, which helped to bring in more revenues in general. The June total actually beat a record set last April for the most monthly earnings for the region.
For local casinos, over $147 million was reported in earnings. This was a jump of more than 48% from June 2019. It was also more than double the June 2020 totals. Locals are visiting the casinos more, which helped to increase the overall visitation totals and revenues earned.
Will It Continue?
The month of June was a great one for Las Vegas and shows that recovery is possible. However, Nevada is currently seeing an increase in COVID-19 infections and a mask mandate is back for indoor activities starting yesterday.
It seems that region is taking a step back when it comes to recovery. Yet, if the casinos are able to stay open for business, then they can still bring in revenues. However, some players might not want to travel to Las Vegas for fear of contracting the virus or not wanting to wear a mask.
Some states in the US are asking residents not to travel to Las Vegas or to quarantine after coming home due to the high infection rate. Things are getting bad and casinos are trying to do their best to keep employees and guests safe.
Bill Hornbuckle, the MGM Resorts International CEO and President, stated that he would like to see everyone within his company be vaccinated. The company recently enacted a new mandate, that employees must be vaccinated or pay a fee for regular COVID testing.
Unvaccinated employees must take a test that costs $15 on-site or provide a PCR test before they come to work. Employees of MGM who test positive for the virus or have been close to someone that is sick with the virus must quarantine.
We shall see in the coming weeks just how bad the virus is spreading again in Nevada as well as other states in the US. Casinos may have to bring back COVID-19 measures in the hopes of staying open and avoiding another major closure like in 2020.