Nevada gaming and Las Vegas tourism data largely flat in June as fiscal year draws to a close

The latest sets of gaming, visitation and economic data from June were largely flat in Nevada, as the latest fiscal year has now drawn to a close for Las Vegas and the Silver State overall.

Statewide gross gaming revenue was $1.34 billion last month, essentially flat (+0.8%) year-over-year, according to the Nevada Gaming Control Board. The state’s fiscal year-end total came in at $16 billion, up about 2.5% over the previous period.

On the Las Vegas Strip, June GGR slipped 1% YoY to $754 million — after taking a step back last year, the Strip returned to growth this fiscal year, finishing with a 2% YoY bump to $8.9 billion. As is typically the case, a poor month of baccarat performance was the chief culprit for the decline. The Strip won $102.7 million on the game in June, a 20% drop from last year per the NGCB.

Several other southern Nevada markets saw decent growth this fiscal year. In terms of percentages, Mesquite finished with the biggest increase ($207 million, +6.6%), while North Las Vegas (+4%), the Boulder Strip (+ 3.6%) and downtown Las Vegas (+3%) all finished in the black. Boulder and downtown finished right at the $1 billion GGR mark, while the Las Vegas locals market hovered just under $2 billion, which was flat YoY.

According to the Las Vegas Convention and Visitors Authority, visitation to Las Vegas in June was unchanged YoY at 3 million visitors, though a strong conference schedule boosted that segment to a 25% gain. Total occupancy for the Las Vegas area was also unchanged at 78% but average daily rates and revenue per available room on the Strip were both down 5%.

June passenger data from Harry Reid International Airport was not available as of writing, but the year-to-date total as of May was -6%.

Standout performance in Reno

To the north, Reno was a standout again in June, and for the fiscal year. Its GGR of $81. 6 million for the month was a 20% jump over last year, easily the best of any market tracked by the NGCB. The Biggest Little City finished the fiscal year +7% YoY with GGR of $825.3 million.

The Reno-Tahoe area has seen a record surge in tourism so far this year. Spring air traffic increased 4% over last year, Reno-Tahoe International Airport announced in June, and the passenger counts for April and May were the highest in two decades. In Q1, Reno’s taxable room revenue was $106 million, the highest quarterly mark in the city’s history according to Visit Reno Tahoe.

In the coming years, there will likely be some changes to the market dynamics. Caesars Entertainment, which had been headquartered in Reno following its acquisition by Eldorado Resorts in 2020, will soon be based in Houston under Fertitta Entertainment. Caesars operates three properties in downtown Reno — the Eldorado, Silver Legacy and Circus Circus.

Conversely, other operators are investing big sums into growth projects, including the Grand Sierra Resort, which is embarking on a multi-phase $1 billion expansion, and the J Resort, which completed the $400 million first phase of its renovation and expansion in May.

Employment numbers up YoY for Las Vegas

From an employment perspective, Nevada as a whole saw a 2% increase YoY in nonfarm jobs in June, according to the state’s Department of Employment, Training and Rehabilitation. DETR said that the leisure and hospitality sector added 1,700 jobs statewide, the most of any sector.

Employment in the Las Vegas metro area was flat month-over-month but increased 2% YoY. The Reno metro area saw similar trends — flat MoM while up slightly (1.5%) YoY.

“Over the past year, Nevada has added jobs at a brisk pace, and that trend continued in June with over 2 percent growth in jobs over the past year. The labor force participation rate and unemployment rate both decreased, matching the changes in the national rates this month. Overall, the state’s labor market remained on a solid footing in June.” DETR Chief Economist David Schmidt said in a statement.