Louisiana Casinos Suffer Ninth Consecutive Month of Declining Revenue
The Louisiana Gaming Control Board recently reported that the gross gaming revenue (GGR) from the state’s 13 riverboats and two brick-and-mortar casinos totaled approximately $174.5 million in the month of October. This represents a 2.5% year-over-year decline from October 2022, marking the ninth consecutive month where gaming revenue fell from the previous year.
The Lake Charles market, with its three riverboat casinos – Golden Nugget, L’Auberge, and Horseshoe, led the way in October with GGR of roughly $63.4 million. This represented a decline of 4.2% from October 2022. The Shreveport/Bossier market also experienced a slight increase of 3.6% in year-over-year GGR, with combined winnings of $44.8 million.
The New Orleans market, however, experienced a 12.2% year-over-year decline in revenue, with Harrah’s New Orleans accounting for the bulk of the market win at $19.6 million, representing a 5.1% decline from October 2022.
Baton Rouge gaming win saw a surge of 13%, totaling $20.6 million. This market growth was fueled by the recent opening of the reimagined Queen of Baton Rouge, which is now a land-based casino following an $85 million investment. The state’s four racetracks saw a 13% loss in revenue from slot machines, and oddsmakers kept about $3.25 million of the $32.8 million in retail bets, a 28% year-over-year drop.
Matt Roob, senior vice president of analysis for Spectrum Gaming Group, believes that the popularity of video poker among gamblers might be a reason for the struggling gaming industry in Louisiana. Video poker, which isn’t counted in the monthly gaming tally, has seen an increase in revenue from $623.8 million in 2019 to $839.2 million in 2021. However, this figure experienced a slight drop to about $810 million in 2022.
The American Gaming Association reported that commercial gaming revenue in the third quarter has topped $16.1 billion, making the industry on pace to report its third consecutive year of record gaming revenue. However, Louisiana is an exception to this trend, as the state continues to struggle with declining gaming revenue.