AGA Publishes State of the States Report, Reveals Growth
The American Gaming Association has posted the latest financials, revealing the land-based commercial sector in the United States can be more than pleased with the last year’s results.
According to numbers published by the AGA, 2018 saw the country’s land-based sector generate record-breaking revenue, with 22 out of 24 states ending the year with growth.
An Excellent Year for the Sector
The AGA State of the States report is published on an annual basis, and its goal is to keep track of the performance of the commercial casinos operating across the United States. A total of 465 of them recorded a total casino gaming revenue of $41.68 billion in 2018, which represents an improvement of 3.5% when compared to 2017.
2018 is also the fourth year in a row which the country’s commercial sector ends with positive figures.
A total of 24 states had land-based operations in the United States during 2018, with half of them ending the year with record-breaking yearly revenue. Only two states saw their revenue decline – Illinois and West Virginia – which ended the year with a drop of 2.4% and 0.1% respectively.
State governments made the most out of these results, as their benefits reaching record-breaking amounts with a total of $9.71 billion – a year-on-year increase of 31%.
2018 will be remembered as the year when the U.S. Supreme Court decided to overturn the controversial Professional and Amateur Sports Protection Act of 1992, effectively ending the federal ban on sports betting which had been in effect for more than quarter of a century.
Following the court’s ruling, which authorized the states to individually choose whether to make wagering on sports legal or not, 7 more states opted to allow sports betting. This significantly boosted combined annual revenue to $430.2 million, a rise of around 65% when compared to $261.3 million from 2017.
Nevada Leads the Way
Nevada was the highest earning state in 2018, with its revenue increasing by 3% to $11.9 billion, followed by Pennsylvania, which recorded a slight increase of 0.75% to end the year with $3.25 billion in revenue.
New Jersey generated $2.9 billion in 2018, 9.2% more than in 2017, with New York and Louisiana close behind with $2.59 billion and $2.56 billion respectively. Massachusetts had the biggest year-on-year improvement of 65.7%, with the opening of MGM Springfield in August last year cited as the biggest driving force behind such a staggering improvement.
Pennsylvania took the largest percentage of state take, with local government takin around $1.5 billion. New York came second, with $1.1 billion, while Nevada’s tax system brought $850 million to the state coffers.
Las Vegas Strip led the way when it comes to commercial casino outlets with a $6.6 billion take. Atlantic City followed at $2.5 billion, Chicagoland was third-placed at $1.95, followed by Baltimore-Washington and New York City with $1.88 billion and $1.45 billion respectively.
Commenting on the reports, American Gaming Association president and CEO, Bill Miller pointed outgrowth in the commercial gaming sector enabled the industry to continue to reinvest in communities, enhance partnerships with small businesses and nonprofits and provide career opportunities for nearly two million American workers.