AGA Data Shows Commercial Casinos Earned Over $66.5 Billion in 2023

Article by : Erik Gibbs Feb 22, 2024

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In 2023, the American commercial casino industry achieved unprecedented success, securing a record-breaking $66.5 billion in revenue from gamblers—a 10% increase from the previous year, as reported by the American Gaming Association (AGA).

The upcoming release of tribal-owned casino revenue figures is expected to elevate the total casino gambling earnings to nearly $110 billion for US operators in 2023.

This financial triumph occurred against the backdrop of persistent inflation, maintaining elevated costs. Bill Miller, the president and CEO of the AGA, highlighted the surging demand for gaming experiences, from traditional casinos to online platforms.

Despite early challenges, including inflation and uncertainty, the industry thrived as inflation cooled, consumer spending increased, and the Federal Reserve maintained steady rates, culminating in a record-breaking year.

Notably, even amid the bustling pre-holiday shopping frenzy, gamblers continued to propel casinos to exceptional success, contributing to revenues of $6.2 billion in December and a groundbreaking $17.4 billion in the fourth quarter of 2023, both setting new records.

The traditional experience of in-person gambling continues to be the driving force behind the industry’s prosperity.

In 2023, the casino industry witnessed a dynamic performance, with slot machines leading the way by generating $35.51 billion, marking a significant 3.8% increase from the previous year.

Table games also experienced growth, contributing $10.31 billion, reflecting a commendable 3.5% rise. A surge was observed in sports betting, contributing $10.92 billion in revenue—a 44.5% increase.

The legal sports wagering landscape saw active participation from Americans, with a total wager of $119.84 billion, indicating a substantial 27.8% surge from the previous year.

The introduction of five new sports betting markets in 2023—Kentucky, Maine, Massachusetts, Nebraska and Ohio—played a crucial role in this growth, collectively generating a substantial $1.49 billion in revenue.

This expansion highlights the evolving landscape of sports betting and its increasing resonance among diverse markets.

In 2023, Massachusetts and Ohio rose as major contributors among the top 10 sports betting states, boosting sector revenue.

New Jersey and Illinois achieved a milestone, surpassing $1 billion in annual sports betting revenue, while New York claimed the top spot with $1.69 billion. Internet gambling surged to $6.17 billion, a 22.9% increase, with Michigan leading at $1.92 billion, narrowly surpassing New Jersey.

Casinos paid $14.42 billion in taxes, up 9.7%. Nevada led with $15.5 billion, followed by Pennsylvania and Atlantic City. Resorts World in New York regained its title as the leading US casino outside Nevada.

Among 35 states hosting commercial casinos, 31 saw revenue increase, with declines in Florida, Indiana, Mississippi and Washington, D.C. (-17.6%).