Pennsylvania Casino Revenue Hits $3.1bn In 2012July 18, 2013 12:54 pm
Pennsylvania has released its casino results for the fiscal year 2012-13, showing the state’s revenue remained largely flat at $3.1 billion compared to the previous year. Breaking the figures down further, slots revenue fell by around 2% to $2.4 billion, while table games revenue was up by 7.4% to $713 million from $663.8 million the year before.
The 2% decline in slot machine revenue represents the first time that Pennsylvania has experienced a decrease in revenues since it opened its first casino back in 2006. Being blamed for the worrying figure are various factors including a sluggish US economy, but of particularly relevance, however, is the increased level of competition coming from casinos in neighboring states, such as Maryland, Ohio and New York.
In terms of the 7.4% increase in table games revenue, seven out of the state’s 11 casinos actually reported declines, including the Hollywood Casino down $1 million to $37.8 million, and the Presque Isle Downs and Casino down $21.5 million to $14.9 million from the year before. However, impressive growth at the Sands Casino Resort Bethlehem and the Valley Forge Casino Resort helped to raise the overall figure during the 2012-13 fiscal year, with Sands recording a 29% improvement in gross table revenues to $165.3 million, and the Valley Forge Casino up by 77%.
Commenting on the latest annual results, Richard McGarvey from the state Gaming Control Board expressed Pennsylvania’s determination to weather the challenging situation faced by its casino industry, explaining:
“Gaming Revenue continues to be strong, bringing in over $1.4 billion in tax revenue for the second consecutive year. With many challenges presented during the past year, including increased competition and a weak economy, the casino operators in Pennsylvania continue to work hard to maintain their existing customers and to attract new customers.”