The gaming industry faced significant financial challenges during the initial months of the COVID-19 pandemic. With the need to shut down businesses to prevent the spread of the virus, casinos and other gaming establishments suffered major losses. However, a recent report from the American Gaming Association (AGA) shows a promising economic recovery for the gaming marketplace.
The Commercial Gaming Revenue Tracker, launched by the AGA, provides monthly and year-to-date gross gaming revenue data at both state and national levels. Despite an initial glance at the report for July showing a 23.9 percent year-over-year revenue decline, further analysis reveals positive trends for the industry. In July, national commercial gaming revenue continued to rebound from the lows experienced in April and May during the height of the industry’s COVID-19 shutdown.
The industry saw its third consecutive month of significant improvement in revenue conditions, generating $2.83 billion in combined gross gaming revenue in July. This marked a substantial increase from the previous three months combined. The partial reopening of 32 commercial casinos in July, including all properties in Illinois, Maine, Massachusetts, and New Jersey, contributed to the industry’s revenue recovery.
Furthermore, several gaming states reported strong revenue figures for July despite operating with limited capacity, game availability, and amenities. Ohio achieved its highest monthly gaming revenue on record, while Mississippi, Pennsylvania, and South Dakota outperformed their revenue from July of the previous year. Additionally, six other states saw only single-digit percentage declines in gaming revenue.
Although these victories may seem minor in the context of the ongoing pandemic, they provide hope for the future of the gaming industry. The steady recovery in revenue for commercial gaming indicates a positive trend that could lead to further economic improvement in the coming months. Overall, the recent report from the AGA paints a more optimistic picture for the gaming marketplace as it continues to navigate the challenges brought on by the COVID-19 pandemic.