Baccarat Boost Drives August Revenue Growth at Nevada Casinos Despite Visitor Decline

Strong Revenue Performance in Nevada Casinos Amid Visitor Decline

Nevada’s casino industry saw impressive financial growth in August, with the Las Vegas Strip continuing its streak of increased earnings for the second consecutive month. According to data released by the Nevada Gaming Control Board, the state generated $1.22 billion in gambling revenue, marking a 5.5% rise compared to the same month last year.

Baccarat Enhances Strip Casino Earnings Despite Reduced Betting Volume

The Las Vegas Strip contributed $679.4 million to the total revenue, reflecting a 5.5% year-over-year increase largely fueled by baccarat games. Although total baccarat wagers declined significantly, casinos retained nearly 20% of those bets, about double the retention rate from the previous year. This resulted in baccarat revenues reaching $114.1 million, an increase of more than 50% over the prior year. Industry analysts noted that without baccarat’s strong performance, both table games and slot machines would have experienced minimal to no growth.

Financial expert Daniel Politzer from JP Morgan highlighted baccarat’s positive impact on overall results while pointing to mixed trends in other gaming sectors. Deutsche Bank analysts observed stable slot machine activity but a slight dip in table game earnings excluding baccarat.

Elsewhere in Nevada, gambling revenue declined in areas like Clark County’s outskirts and North Lake Tahoe. However, downtown Las Vegas experienced an 8.4% revenue increase, reaching $63.2 million. Other regions such as Laughlin and Reno posted gains of nearly 11% and 4.9%, respectively. Elko County witnessed some of its strongest growth of the year, surpassing 15%.

Casino Tax Revenue Climbs Sharply Despite Tourism Challenges

The robust gambling income occurred even as tourism faced headwinds. The Las Vegas Convention and Visitors Authority reported a 6.7% decline in visitors for August, with 3.17 million guests coming to the city. Although the drop was less severe than those seen in June and July, the total visitor count remains down nearly 8% year-to-date compared to 2024. Hotel performance reflected these trends, with average room rates on the Las Vegas Strip decreasing by 7% to $172.81 and downtown hotel rates holding steady at just above $90 per night. Convention attendance also fell by 8%.

Air travel figures further highlighted the challenges, with Harry Reid International Airport recording 4.5 million travelers in August—a 6% year-over-year decline and the seventh consecutive month of reduced passenger volume. The bankruptcy of Spirit Airlines, once the airport’s second-largest carrier, contributed to a nearly 50% reduction in passenger numbers. Additionally, Canadian carriers reduced flights, leading to a downturn in international arrivals.

Despite these obstacles, the increase in casino revenue translated into higher gaming tax collections. In August, the state collected $77.1 million in percentage fees, an impressive 34% increase compared to last year. For the first quarter of the fiscal year, tax revenue is up by more than 16%, underscoring the casinos’ financial resilience amid ongoing tourism declines.