LAS VEGAS-Las Vegas Strip gaming revenue declined nearly 1% to $437 million and dropped 5% statewide to $810 million in April, the latest month reported by the Nevada Gaming Control Board. An analysis of the April figures by CB Richard Ellis gaming industry specialists Jacob Oberman and Brent Pirosch shows that the industry is “no closer to seeing sustained same-store gaming revenue increases (excluding baccarat) than we were a month ago.”
On a same-store basis, the CBRE analysts estimate Strip gaming revenue decreased 7.5% year-over-year in April and decreased 0.5% April year-to-date. Excluding baccarat and mini baccarat, they estimate same-store gaming revenue declined by 8.3% on a year-to-year basis n April and declined 9.1% in April year-to-date. The gaming revenue decline, except for baccarat and mini baccarat, “as reflected in the earnings for virtually every non-luxury property on the Strip in the first quarter,” Oberman and Pirosch said in their report.
The Gaming Control Board figures showed that revenue declined in Clark, Washoe and Elko counties, as well as in the Downtown, North Las Vegas, Laughlin and Boulder Strip markets, with Mesquite showing a 1.69% increase to $10.9 million.
Year-to-date, the take is down statewide and in Clark County, and up by slightly more than half a percentage point on the Las Vegas Strip, according to the board’s report. “The main reasons for this are that the easy year-over-year comparables for baccarat/mini baccarat will end in the second quarter and a pick-up in convention business will benefit middle-market properties disproportionately,” they state. This will be a change from the first quarter, when net revenue of luxury properties grew by 1.6% while revenue at non-luxury properties declined by 8.7%.
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