June saw steady statistics in gaming and tourism within Nevada, as the fiscal year concluded both for Las Vegas and the broader state.
According to the Nevada Gaming Control Board, the statewide gross gaming revenue (GGR) reached $1.34 billion last month, representing an increase of 0.8% compared to the same period last year. For the fiscal year, the total GGR stood at $16 billion, up approximately 2.5% over the prior fiscal year.
On the Las Vegas Strip, June's GGR slipped by 1% year-over-year, totaling $754.6 million. Despite this decline in June, the Strip rebounded during the fiscal year, finishing with a 2% growth and a GGR of $8.9 billion. Baccarat performance, which showed a significant drop, was primarily responsible for the June decline, with the Strip winning $102.7 million from the game, reflecting a 20% decrease from the previous year.
Other markets in southern Nevada showed positive growth this fiscal year. Mesquite experienced the largest percentage increase, with a GGR of $207 million, up 6.6%. North Las Vegas saw a 4% increase, the Boulder Strip increased by 3.6%, and downtown Las Vegas rose by 3%. GGR figures for Boulder and downtown reached around $1 billion, while the Las Vegas locals market remained flat at just under $2 billion year-over-year.
The Las Vegas Convention and Visitors Authority reported that visitation in June held steady at 3 million visitors year-over-year. However, conference attendance increased significantly, contributing to a 25% boost in that segment. Hotel occupancy in the area remained unchanged at 78%, though average daily rates and revenue per available room on the Strip decreased by about 5%.
Data on passenger traffic from Harry Reid International Airport for June was unavailable; however, year-to-date figures through May indicated a decline of 6%.
Reno outperformed many markets once again in June and for the entire fiscal year. The city's GGR reached $81.6 million for June, representing a significant 20% increase compared to the previous year, making it the best-performing market tracked by the NGCB. Reno concluded the fiscal year with a 7% increase in GGR, totaling $825.3 million.
Tourism in the Reno-Tahoe area has surged this year, with a reported 4% increase in air traffic compared to last year, according to Reno-Tahoe International Airport. Passenger counts for April and May were the highest recorded in nearly 20 years. Visit Reno Tahoe noted that the taxable room revenue for Q1 was $106 million, marking the highest first-quarter performance in Reno's history.
Looking ahead, changes in the market dynamics may emerge; Caesars Entertainment will relocate its headquarters from Reno to Houston once it transitions under Fertitta Entertainment. The company manages three properties in Reno: the Eldorado, Silver Legacy, and Circus Circus. On the other hand, other operators continue to invest heavily in expansion projects, such as the Grand Sierra Resort's $1 billion multi-phase expansion and J Resort's recently completed $400 million renovation.
In terms of employment, Nevada experienced a 2% increase in nonfarm jobs year-over-year in June, according to the state’s Department of Employment, Training and Rehabilitation. The leisure and hospitality sector contributed significantly, adding 1,700 jobs statewide, the highest among various sectors.
The Las Vegas metro area saw stable employment month-over-month and a 2% year-over-year increase, while Reno's metro area reported similar trends, with no monthly change and a slight year-over-year increase of 1.5%.
David Schmidt, Chief Economist at DETR, stated, "Over the past year, Nevada has added jobs at a brisk pace, and that trend continued in June with over two percent growth in jobs over the past year. The labor force participation and unemployment rates both decreased, aligning with national trends. Overall, the state’s labor market was solid in June."
