Exciting news for the US casino industry as Q1 revenue results became public. Total revenue for the quarter was $11.1 billion, matching the best result ever achieved in Q3 2019 before the pandemic hit.
The American Gaming Association (AGA), the casinos’ national trade group, released the numbers on May 11th, of which only AGA members’ revenues were taken into account.
Casinos regulated by the National Indian Gaming Commission and/or state gaming compacts are not included. Still, some tribal casinos, such as the Seminole Gaming, are members of the AGA and part of the revenue numbers.
Q1 2021 was up by 18% from Q1 2020, up 4% from Q1 2019, and 21.1% up from Q4 2020. Twelve states reported record revenues in March alone, marking one of the most successful months in recent years.
When you think of how horrendous 2020 was for the US gambling — Nevada, in particular, was down in revenue by 34.6% — this news is very encouraging. Thirty states ran either casino gaming, sports betting, or iGaming, with 25 having commercial casinos.
What makes these numbers stand out even more is that most states operated at a limited capacity. 14 out of the 25 states with commercial casinos worked at below 50% capacity. Those 14 states account for 75% of all casinos.
When we break down the segments of the gambling industry, we see that sports betting and online casinos did exceptionally well.
Sports betting set the record for a quarter with $961 million, up 270% from 2020 and surpassing 2019’s total of $909 million. These numbers are no surprise when you think that 50% of US adults bet on sports.
Also, online casinos brought in $784 million in Q1, up by more than 300% from 2020.
As mentioned, twelve states marked record revenues in March. Those states are Arkansas, Colorado, Iowa, Maryland, Michigan, Missouri, Montana, Ohio, Oklahoma, Pennsylvania, South Dakota, and Virginia.
Overall, we can say that gambling in the US is very much on an upward trajectory. As states return to full capacity, we will surely see even more positive results in the future.