Last month, the State of Nevada Gaming Control Board released gaming revenues for October 2014. The gaming revenues were for Nevada and Las Vegas. Revenues declined for the third month in a row. Revenues declined to $913.6 million. They declined by 4.3% on a year-over-year, or YoY, basis.
The above chart shows that revenues on the Las Vegas Strip fell 5.6% YoY to $520 million. Revenues on the Boulder Strip fell by 24.2% YoY to $58 million. However, gambling revenues in Reno were $46.8 million—up 7.9% YoY.
The revenues were negatively impacted by a significant decline in Baccarat gambling. Baccarat winnings on the Las Vegas Strip fell 36% to $97 million in October. Baccarat gambling accounted for 16% of all gambling revenues in October 2013. This year, Baccarat gambling only accounted for 11% of all gambling revenues. Its amounts wagered fell 15%. It went down two points to 10.2%.
The cautious Chinese demographic is concerned about the anti-corruption campaign in China. The anti-corruption campaign had a negative impact on Baccarat gambling. To learn more, read Why China’s anti-corruption campaign hurts Macau.
Major casino players in Nevada include Las Vegas Sands (LVS), Caesars Entertainment (CZR), Wynn Resorts (WYNN), and MGM Resorts (MGM). A better way to invest in leisure companies is through an ETF—like the Consumer Discretionary Select Sector SPDR Fund (XLY).
Nevada collected $66.8 million in taxes—based on the taxable revenues generated in October 2014. This represents a 9.5% increase—compared to the same period last year.