Nevada Gambling Revenues Continue to Rebound

Nevada casinos posted another excellent month in October, continuing a pattern of growth that may signal a rebound from years of struggles for the state’s gambling industry. Nevada’s casinos posted a total of $888.6 million in gambling winnings in October, an 11% increase over October 2009.

The new was even better for the state’s coffers. Taxes on gambling revenue surpassed the $60 million mark – a 22% increase over last year.

The biggest increases were seen on the Las Vegas Strip, where casino winnings were up by a robust 16%. However, the downtown Las Vegas casinos also saw an increase of over 10%, while Washoe County (including Reno) saw an increase of around 4.3%. Elko County also saw an increase of nearly 9%.

However, not all areas of the state saw the same increase. In South Lake Tahoe, winnings were down 4.5%, while Carson Valley saw a drop of 5.6% in revenues.

Still, the overall news was good, particularly in Nevada’s biggest markets. In addition, growth was strong even without accounting for baccarat; some had doubted the long-term recovery potential in Las Vegas, as much of the previous recovery in revenues had been based around the game, which is popular among high-rollers and Asian gamblers. However, the October revenues were up 8.5% even without accounting for baccarat wins.

After years of falling revenues and declining room rates, the Las Vegas gambling and resort industry had seemed to stabilize in the past year. In the last few months, these sectors have been showing strong growth locally, which could prove to be critical in a state that heavily depends on gambling revenues for its economy, and tax on those revenues for its state budget.

The news is especially welcome in Las Vegas because of the fact that not all gambling destinations are seeing similar growth. In Atlantic City, for instance, gambling revenues continue to plummet, leading the state of New Jersey to consider a variety of measures to aid the city’s beleaguered casinos.