10 Amazing Stats About Gaming

Depending on where you look, gaming is either booming or in serious trouble. These 10 stats tell a lot about where the casino industry is headed.

Jul 20, 2014 at 10:00AM

Industry-leading gaming stocks have been on a tear over the past five years. Las Vegas Sands (NYSE:LVS), Melco Crown (NASDAQ:MPEL), Wynn Resorts (NASDAQ:WYNN), and MGM Resorts (NYSE:MGM) have all crushed the market over that time on the back of incredible growth in Macau. 

WYNN Chart

WYNN data by YCharts.

But not all gaming stocks have had the same success. Regional gaming operators are struggling and over the weekend it was announced that Trump Plaza in Atlantic City would likely close after the city's gaming revenue fell 45% from its high in 2006. Here are a few statistics that tell you everything you need to know about where your gaming dollars should be headed. 

Lvs Sands Macau Gaming Area Image

Gaming floors like this one in Macau are packed with gamblers. Source: Las Vegas Sands.

Amazing stats about gaming
$47.89 billion: Macau's gaming market generated $47.89 billion in revenue over the past 12 months. To put that into perspective, the Las Vegas Strip generated $6.52 billion in gaming revenue in the 12 months ended May 31 and the entire U.S. commercial gaming market was $37.34 billion in 2012, the most recent nationwide data from the American Gaming Association.

91.3%: The percentage of Macau's gaming revenue that came from baccarat in the first quarter. 63.4% of all revenue came from VIP baccarat. 

$29,457: The gaming revenue per table per day for Wynn Resorts' 492 table games in the first quarter. Las Vegas Sands generated $37,641 per table per day from a smaller 128-table base at Four Seasons Macau, and Melco Crown's City of Dreams generated $28,244 per table per day.

$6,419: Wynn's win per table per day in Las Vegas. If there's any stat that shows where your gaming investments should be going, it's the difference in table game revenue between Macau and Las Vegas. Las Vegas Sands is in a similar position and generated just $3,966 per table per day in revenue last quarter.

1 in 10: Only $1 in every $10 spent in Macau is spent on nongaming activities: 90% of Wynn's revenue, 90.8% of Las Vegas Sands' The Venetian Macau, and 93.4% of Melco Crown's City of Dreams revenue came from gaming. There are a growing number of nongaming offerings in Macau, but for the most part people are there to gamble.

Las Vegas Strip Image

Las Vegas is still a gambling town, but today the parties are a bigger draw than the tables. Image source: Wikipedia Commons.

1 in 2: More than half of all dollars spent in Las Vegas are spent off the casino floor. Wynn generated 59.2% of revenue from nongaming last quarter and 71.3% of Las Vegas Sands' hometown revenue was from nongaming. Today, people go to Las Vegas for restaurants, nightclubs, dayclubs, and other attractions, not just to gamble.

$2.86 billion: Atlantic City's gaming revenue in 2013, down 45% since 2006. That's less than half of what The Strip in Las Vegas generated and less than one-sixteenth of gaming revenue in Macau. It also shows the impact of an increase in gaming offerings in the Northeast. Gaming outside Las Vegas in the U.S. is in very rough shape.  

$20.2 million: CityCenter's net loss last quarter. Nearly five years after opening the $9 billion resort, MGM Resorts' massive development in the middle of the Las Vegas Strip continues to report financial losses. On the bright side, the resort did post $95.1 million in adjusted EBITDA, so there should be a small amount of cash flow from it.

$262: Daily average room rate at MGM Resorts' Bellagio resort in Las Vegas. By comparison, Circus Circus commanded just $63 per night. The higher-end Wynn Las Vegas commands $275 per night and The Venetian charges $241 per night. The high end of Las Vegas is largely recovered from the recession while the low end is still struggling. 

6 and 2: The number of gaming concessions given in Macau and Singapore, respectively. Both regions are incredibly profitable for gaming operators and that's in large part due to the fact that supply is limited to a small number of companies and casinos. By contrast, the U.S. has opened up supply in recent years and seen profits fall. This exclusive club includes U.S.-traded companies Wynn Resorts, Melco Crown, and MGM Resorts in Macau, and Las Vegas Sands, which has casinos in both Macau and Singapore. 

Betting on casino companies
Next time you're looking at gaming stocks, keep these statistics in mind. They may keep you from making a bad bet.  

Is Apple's next smart device a good bet?
Apple recently recruited a secret-development "dream team" to guarantee its newest smart device was kept hidden from the public for as long as possible. But the secret is out, and some early viewers are claiming its everyday impact could trump the iPod, iPhone, and the iPad. In fact, ABI Research predicts 485 million of this type of device will be sold per year. But one small company makes Apple's gadget possible. And its stock price has nearly unlimited room to run for early-in-the-know investors. To be one of them, and see Apple's newest smart gizmo, just click here!

Travis Hoium manages an account that owns shares of Wynn Resorts, Limited. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Money to your ears - A great FREE investing resource for you

The best way to get your regular dose of market and money insights is our suite of free podcasts ... what we like to think of as “binge-worthy finance.”

Feb 1, 2016 at 5:03PM

Whether we're in the midst of earnings season or riding out the market's lulls, you want to know the best strategies for your money.

And you'll want to go beyond the hype of screaming TV personalities, fear-mongering ads, and "analysis" from people who might have your email address ... but no track record of success.

In short, you want a voice of reason you can count on.

A 2015 Business Insider article titled, "11 websites to bookmark if you want to get rich," rated The Motley Fool as the #1 place online to get smarter about investing.

And one of the easiest, most enjoyable, most valuable ways to get your regular dose of market and money insights is our suite of free podcasts ... what we like to think of as "binge-worthy finance."

Whether you make it part of your daily commute or you save up and listen to a handful of episodes for your 50-mile bike rides or long soaks in a bubble bath (or both!), the podcasts make sense of your money.

And unlike so many who want to make the subjects of personal finance and investing complicated and scary, our podcasts are clear, insightful, and (yes, it's true) fun.

Our free suite of podcasts

Motley Fool Money features a team of our analysts discussing the week's top business and investing stories, interviews, and an inside look at the stocks on our radar. The show is also heard weekly on dozens of radio stations across the country.

The hosts of Motley Fool Answers challenge the conventional wisdom on life's biggest financial issues to reveal what you really need to know to make smart money moves.

David Gardner, co-founder of The Motley Fool, is among the most respected and trusted sources on investing. And he's the host of Rule Breaker Investing, in which he shares his insights into today's most innovative and disruptive companies ... and how to profit from them.

Market Foolery is our daily look at stocks in the news, as well as the top business and investing stories.

And Industry Focus offers a deeper dive into a specific industry and the stories making headlines. Healthcare, technology, energy, consumer goods, and other industries take turns in the spotlight.

They're all informative, entertaining, and eminently listenable. Rule Breaker Investing and Answers are timeless, so it's worth going back to and listening from the very start; the other three are focused more on today's events, so listen to the most recent first.

All are available for free at www.fool.com/podcasts.

If you're looking for a friendly voice ... with great advice on how to make the most of your money ... from a business with a lengthy track record of success ... in clear, compelling language ... I encourage you to give a listen to our free podcasts.

Head to www.fool.com/podcasts, give them a spin, and you can subscribe there (at iTunes, Stitcher, or our other partners) if you want to receive them regularly.

It's money to your ears.

 


Compare Brokers