Detroit Casino Revenue Drops 3.1% in 2023
Date: 2024-01-22 Author: Dima Zakharov Categories: CASINO
Detroit Casino Revenue Trends
The year 2023 brought some challenges for Detroit's commercial casinos, as they reported a 3.1% decrease in revenue compared to the previous year. According to the latest data, these casinos collectively generated $1.24 billion in revenue.
Slots Dominate Revenue
Slot machines remained the most significant revenue source for Detroit's land-based casinos, contributing $984.1 million, a slight increase from the prior year's $983.7 million. They accounted for a significant 80.0% of the total revenue for 2023.
Table Games Struggle
Table games, on the other hand, faced a tough year, with a 12.7% drop in revenue, totaling $238.7 million.
Sports Betting Takes a Hit
Retail sports betting also witnessed a decline, with adjusted gross receipts (QAGR) falling by 25.7% to $14.0 million.
Market Share Breakdown
MGM Grand Detroit maintained its dominance in the Detroit casino market with a 46.0% share, although it experienced a 6.0% decline in combined slots and table games revenue. MotorCity Detroit followed with a 31.0% share, while the Hollywood Casino at Greektown held a 23.0% share.
Tax Contributions
In terms of tax contributions, the three Detroit casinos paid $99.0 million in wagering taxes for slots and table games, with an additional $528,314 for retail sports betting.
December Upswing
The final month of the year saw a 5.7% increase in total market revenue, reaching $116.2 million. Both table and slots revenue climbed by 2.9% year-on-year to $111.4 million.
Sports Betting Surges in December
Sports betting QAGR skyrocketed by 200.0% in December compared to the previous year, totaling $4.8 million. Detroit players wagered a total of $30.4 million on sports at retail facilities during the month.
As 2024 unfolds, Detroit's casinos will be closely watched to see if they can reverse the downward trend and regain their footing in the gaming industry.
