Casinos in the United States have hit the jackpot, taking $66.5 billion from gamblers in 2023 – the industry’s best year ever.
When revenue figures from tribally owned casinos are released separately later this year, they are expected to show that total casino gambling will bring in nearly $110 billion for U.S. casino operators by 2023.
The numbers were 10 percent higher than in 2022, which was a record year in itself.
Nevada casinos alone will rake in more than $15 billion from hapless gamblers by 2023. Game controller board in the month of December alone, a profit of $1.43 billion was recorded.
All of this happened in a year in which inflation, while falling, still kept things like groceries and energy costs higher than before.
Much of the increase is due to renewed enthusiasm following the closure of casinos due to COVID-19, while high-profile events such as the Formula 1 Grand Prix at the end of November, the opening of the $2.3 billion Sphere and the December 13 opening of the Fontainebleau Hotel and Casino also boosted results.
Casinos in the United States hit the jackpot, winning $66.5 billion from gamblers in 2023, the industry’s best year ever, up 10 percent from 2022, which was itself a record year
‘From the traditional casino experience to online options, US adults’ ask about gaming is at an all-time high,” said Bill Miller, president and CEO of the American Gaming Association.
Early last year, when the group provided its annual statistical assessment, “inflation was high and uncertainty was in the air. Forecasters could not agree on the impact of these challenges on discretionary income,” Miller said.
As the year went on, “inflation started to cool, consumers started spending and the Federal Reserve kept interest rates steady,” he added. ‘The result was a record year for our industry.’
Even the pre-holiday shopping crisis didn’t stop gamblers from putting down their money, with casinos winning $6.2 billion in December and $17.4 billion in the fourth quarter of 2023, both of which set records.
Jane Bokunewicz, director of the Lloyd Levenson Institute at Stockton University in New Jersey, which studies the gambling industry, said sports betting is still new enough that it could be attractive even to those watching their budgets.
“As a form of entertainment, legal sports betting can be a new and novel experience for many customers, and with the relatively low cost of entry, attractive to them even if their discretionary spending budget is limited,” she said.
Personal gambling remains the industry’s bread and butter. Slot machines generated $35.51 billion in 2023, up 3.8 percent from the previous year. Table games grossed $10.31 billion, up 3.5 percent.
Sports betting generated revenue of $10.92 billion, an increase of 44.5 percent. Americans have legally wagered $119.84 billion on sports, a 27.8 percent increase from the previous year.
Nevada casinos alone raked in more than $15 billion from hapless gamblers in 2023, with the state’s Gaming Control Board recording winnings of $1.43 billion in the month of December alone
Much of the increase is due to renewed enthusiasm following the closure of casinos due to COVID-19, while high-profile events such as the Formula 1 Grand Prix in late November, the opening of the $2.3 billion Sphere (pictured) and the opening on December 13 of the Fontainebleau Hotel and Casino also led to an increase in results
Five new sports betting markets that became operational in 2023 – Kentucky, Maine, Massachusetts, Nebraska and Ohio – contributed, generating a combined $1.49 billion in revenue.
By the end of the year, Massachusetts and Ohio were among the top 10 sports betting states by revenue, New Jersey and Illinois surpassed $1 billion in annual sports betting revenue for the first time, and New York led all states with $1 ,69. billion.
Internet gambling generated $6.17 billion, an increase of 22.9 percent. While Michigan and New Jersey each generated $1.92 billion in annual Internet gambling revenue, Michigan outperformed New Jersey by only $115,500 to become the nation’s largest Internet gambling market.
Pennsylvania ranked third with annual revenue of $1.74 billion.
Other states that offer Internet gambling include Connecticut, West Virginia and Delaware; Nevada only offers online poker.
Casinos paid an estimated $14.42 billion in gambling taxes last year, a 9.7 percent increase from the previous year.
Nevada remains the nation’s largest gambling market, with $15.5 billion in revenue. Pennsylvania comes in second with $5.86 billion, followed closely by Atlantic City with $5.77 billion.
New York ranks fourth with $4.71 billion, followed by Michigan with $3.58 billion; Ohio at $3.31 billion; Indiana at $2.82 billion; Louisiana at $2.69 billion and Illinois at $2.52 billion.
Gamblers play slot machines at the Ocean Casino Resort in Atlantic City. The city earned $5.77 billion in gambling revenue in 2023
The Resorts World casino in New York claimed the title as the best performing US casino outside Nevada. It was followed by MGM National Harbor near Washington, DC, Encore Boston Harbor and Borgata in Atlantic City.
Of the 35 states that have commercial casinos, 31 saw revenue increase last year.
Jurisdictions where revenues declined were Florida (-0.4 percent); Indiana (-2.3 percent) and Mississippi (-3.5 percent).
The Washington, D.C., sports-betting-only market saw a more significant decline, with 2022 revenues down 17.6 percent, the largest drop in the country.