Detroit Casino Revenues Rise 6.6% To $113 In October
November 13, 2014 1:39 pmThe Michigan Gaming Control Board has released its casino figures for October, revealing a nearly 10% improvement in revenues over the month before to $113.4 million, and a 6.6% rise year-over-year. A total of $9.2 million was then collected as gambling taxes, up slightly on the $8.6 million added to Detroit’s finances for the same month in 2013.
Partly helping to explain the uptick in Detroit’s casino industry was the fact October had nine weekend days, instead of the eight for May 2013. Commenting on the latest results, CDC gaming report analyst Jeffrey Compton, explained:
“October is generally a good month for home-related entertainment. People are back from their travels. The weather has been good. Before I get excited, I’d like to see a trend of several months.”
Breaking the figures down further, Greektown Casino-Hotel saw its revenues soar by 15% to $28.7 million in October, and MotorCity Casino Hotel improve by 7.4% to $37.7 million last month, while MGM Grand Detroit reported a slight 1.6% fall in revenues to $47 million. Overall, MGM accounted for 42% of Detroit’s casino market in October, while MotorCity had a 33% share, and Greektown 25% .
Although Detroit’s gambling revenues were up Y-O-Y, the city’s three casinos are still continuing to experience decline, and for the first 10 months of 2014 revenues are currently lower by 2% compared to the same time frame a year earlier. In fact, October’s results were only the second time this year monthly revenues have outpaced 2013’s figures, the other positive growth month coming in June, when Detroit casinos generated $109 million in revenues, compared to $104 million in the same month a year earlier.
Local gaming revenues are now on pace to decline for a third straight year, adding to a trend which has seen Detroit’s casino market shrink by around 16% since 2001. This has even lead to speculation that one of Detroit’s casino could eventually be forced to shut shop unless sustained growth is achieved in the near future.