Key Moments:
- August casino visitation in the U.S. dropped 5.4% year-over-year, staying 17.5% under August 2019 levels.
- Gross gaming revenue has stayed steady as per-visit spending increases and operators enhance efficiency.
- Pennsylvania exceeded 2019 visitation figures, while Illinois and New Jersey saw sharper declines.
Continued Slump in Casino Visits Offsets by Steady Revenue
The number of patrons at U.S. casinos decreased further in August, following the ongoing trend of reduced foot traffic since the pandemic. According to Jefferies Equity Research, this decline has not affected overall revenues, as gamblers continued to spend more per visit.
Analyst David Katz reported that casino visitation for August was down 5.4% compared to the previous year and stood 17.5% below August 2019. These figures aligned with established trends, despite an unusual 10.1% drop that occurred in July.
“[The data] supports our view that the greater step back in July was more outlier than trend,” Katz wrote.
Regional Markets Outperform Las Vegas
Although total visitor numbers have not rebounded to pre-pandemic levels, gross gaming revenue has held up due to increased individual spending and operational advances. Regional markets are currently faring better than Las Vegas, with notable differences evident across states.
Pennsylvania surpassed its 2019 visitor count, while Illinois and New Jersey posted steeper declines. Black Hawk, Colorado, experienced a 5% uptick in traffic, which Katz suggested could be influenced by Monarch Casino Resorts’ 2022 property launch.
| Market | August 2023 Visitation vs. 2019 |
|---|---|
| Pennsylvania | Above 2019 levels |
| Illinois | Declined |
| New Jersey | Declined |
| Black Hawk, Colorado | Up 5% |
Vegas is in severe decline, with revenue and visitors falling nearly 20%.
People who want to gamble can do it closer to home as gambling has been legalized in more locations nationwide. Also there are numerous options on phone apps to meet that demand.pic.twitter.com/P2X4CNr8hx
— Wall Street Mav (@WallStreetMav) August 1, 2025
Operators Poised for Growth Amid Ongoing Adjustment
“We continue to believe regional gaming is better positioned for growth in the near term compared to Las Vegas, where expectations for the Strip are confirmed to be low until the group slate accelerates in the final trimester of 2025,” Katz said.
Among operators, Katz highlighted Penn Entertainment and Churchill Downs for their strong positioning. Penn’s redevelopment initiatives in Illinois and Ohio, along with Churchill Downs’ property expansion in Kentucky, Virginia, and New Hampshire, were noted as key growth drivers.
Katz described the current environment in the U.S. casino sector as a post-pandemic transition, with visitation numbers stabilizing below pre-pandemic levels. However, sector revenue remains resilient, supported by higher-yield activities, new property openings, and evolving consumer behavior.
- Author
Daniel Williams
