US commercial gaming revenue hits record $13.89bn in Q3
AGA reports betting industry on pace to break annual record of $43.65bn
The US gaming industry reached new heights in the third quarter of 2021, amassing a record $13.89bn in total commercial gaming revenue, according to the latest report from the American Gaming Association (AGA).
The AGA’s Commercial Gaming Revenue Tracker, which aggregates individual state revenue reports, documented the record pace of commercial gaming revenue in 2021, with $38.67bn generated through the first three quarters of the year. If that rate holds through Q4, total revenue will easily eclipse the annual record of $43.65bn set in 2019.
“Two straight quarters of record gaming revenue is an incredible accomplishment in any context, let alone after the most challenging year in industry history,” said AGA president and CEO Bill Miller. “Our recovery is not a flash in the pan, but rather a sustained result of our leadership in responsible reopening, world-class entertainment offerings, and widespread favorability.”
After a return to pre-pandemic operational activity, casinos represented a primary driver of the revenue surge, as combined slots and table game performance beat its quarterly revenue record by more than 10% in Q3. Gross gaming revenue (GGR) for slots was up 15.2% over Q3 2019 and 43.5% over Q3 2020, while GGR for table games was up 10.2% and 58.3%, respectively, for those periods.
Of the 25 states with commercial casinos, 10 saw quarterly revenue records – including Nevada, New Jersey, Pennsylvania, and New York – while gaming revenue on the Las Vegas Strip reached an all-time high of $2.06bn. Also notching a record was igaming, which totaled $938.6m in commercial gaming revenue.
“With brick-and-mortar gaming setting records, the expansion into new verticals, and domestic and international tourism recovering, the industry is in a strong position for a full recovery,” said Miller.
The only piece of the gaming-revenue pie that didn’t establish an all-time high was sports betting, which generated $886.5m, a quarterly-low number for 2021. The dip was primarily attributable to a limited end-of-summer sporting calendar. Individual Q4 numbers have already begun to bear that out, with New Jersey notably becoming the first state to eclipse $1bn in monthly sports betting handle in September.