The Pennsylvania Gaming Control has just released the October revenue numbers for the gambling industry and it does not look so good – there has been a significant drop in the earnings recorded for table games and slot machines. While this is certainly not a sign that the state is headed downhill as far as sports betting is concerned, it is definitely a nudge for the stakeholders.
Total gaming revenues in the Keystone State came in as at just a little over $252.7 million which is a 3.49 percent year on year decline from the same period last year. Slot machine revenue went down only 1.7 percent to $186 million while table game revenue dropped by 8.12 percent to only $66 million. Even though the decline in slot machine revenue is quite noticeable it was anticipated since over the past year, slot revenue has been unable to stabilize – there have been lots of highs and an almost equal number of lows in this regard.
How the Casinos Performed
Out of the Commonwealth’s 12 operational casinos, only four of them were able to record an increase in revenues for the month of October. The largest gain was recorded by Valley Forge Casino whose revenue went up 10 percent in October. This did not come as much of a surprise since the casino has been a dominating venue in the state for the past year or so. Other than in April when Valley Forge saw a 5.6 percent decline in revenue, it has continually seen increases in revenue since November 2017 – this is when compared to the same month from the previous year.
The other winners were Rivers Casino, Parx Casino, and The Presque Isle Downs Casino which recorded 5 percent, 4.16 percent and 3.16 percent increase in revenue respectively. All the remaining casino recorded significant revenue decline with the most significant being Lady Luck Casino Nemacolin whose revenue dropped by 11.56 percent and Sands Casino Resort Bethlehem which was not far behind with an 11.30 percent decline in earnings when compared to October 2012.
Are New Gaming Revenue Sources the Solution?
As mentioned earlier, the decline in revenues is perhaps a sign that the state should be taking its recently launched sports betting and upcoming online and mobile betting industries even more seriously. These options should be able to increase the bottom line of the Keystone State’s gaming industry as a whole. In fact, they are likely to be the best shot at stabilizing the market thanks to the entry of new players – a good number of the operators have already been approved for online gambling and are now inking some very lucrative partnership deals.
Several new aspects of the gaming industry should be in full swing by next year and with all these options available, Pennsylvania is definitely going to see a significant bump in gaming revenue. Considering the size of the state and the huge demand for online and sports betting services, it should be long before we see steady revenue streaming in.
