Strip posts another decline in November as state lags behind FY24

Recent trends on the Las Vegas Strip reveal a daunting landscape, as the region experiences its fifth consecutive month of year-on-year revenue decline. Overall, Nevada’s gambling sector registered a 4.2% drop compared to last year.

According to the latest figures released by the Nevada Gaming Control Board (NGCB) on January 9, the state’s gaming industry achieved gross gaming revenue (GGR) of $1.31 billion (£1.07 billion/€1.27 billion) in November. This 4.2% year-on-year decline marks the fourth negative monthly performance in the last five months, although it’s essential to note that the fiscal year 2024 was the strongest on record, creating a comparative basis.

In the current fiscal year 2025, Nevada’s gaming revenues are down 2.8% compared to the same period last year, signaling a potential shift in consumer behavior and market dynamics.

Notably, the Las Vegas Strip accounted for $788.7 million in GGR for November, reflecting a decline of nearly 4% compared to the previous year. This downturn serves as a strong indicator that the second iteration of the Formula One Las Vegas Grand Prix failed to replicate the overwhelming success seen during its inaugural event last November, a fact that local officials have already acknowledged.

A detailed examination of the Strip’s performance indicates declines in both slot and table game revenues, with slots generating $399.7 million and table games $389 million—resulting in declines of 2.7% and 5%, respectively. The baccarat sector, traditionally a strong performer, showed particular weakness, recording a win of $145.6 million, an 18% year-on-year drop. The Strip has now experienced a 27% decrease in baccarat revenue over the last three months, following a 23% downturn in October. This troubling trend marks the first negative total in the past 12 months (-0.4%).

Regional Performance: Southern Markets Fluctuate

The diverse markets of southern Nevada show a mixed bag of results. The Las Vegas locals market, often considered the state’s bright spot, recorded GGR of $154.5 million, achieving a modest year-on-year increase of 2.3%. For the fiscal year to date, this sector is up an impressive 9.6%, significantly outperforming other areas in the Silver State.

Mesquite emerged as the second-best performing market, with GGR reaching $16.4 million, representing a 9% year-on-year growth, bringing its year-to-date performance to +4.9%. However, downtown Las Vegas struggled, reporting GGR of $79 million, down 2.7% from last year, with its yearly total now at +2.8%. North Las Vegas remained flat year-to-date, despite reporting a 6% increase to $24.5 million.

On the other end of the spectrum, the Boulder Strip and Laughlin constituted the weakest performers in November, with revenues of $66.2 million and $34 million, respectively, reflecting declines of 20.5% and 15.5%. Laughlin is currently facing the steepest decline for the year, down 8% year-to-date.

Northern Markets: Reno Pulls Down Performance

In northern Nevada, Reno reported GGR of $51.9 million, marking a significant decline of 10.4% from last year and dragging Washoe County’s overall performance down to a negative -6%. This decline is despite strong performances from Sparks (+8%) and North Lake Tahoe (+8.8%).

Reno’s slot revenue saw a stark drop exceeding 18% in November, with year-to-date figures reflecting a -2% decline. Other northern markets displayed mixed results, with South Lake Tahoe recording a GGR of $14.4 million, down 20%. Conversely, Wendover and Carson Valley reported gains of 8% and 2.7%, respectively. Nevertheless, most northern sectors remain in decline, with the highest year-to-date growth barely surpassing 1.5%.

Spotlight on Sports Betting: A Rays of Hope

Amidst the overall revenue downturn, Nevada’s sports betting sector exhibited remarkable resilience in November, rebounding strongly after a challenging October. State sportsbooks reported an impressive GGR of $67.5 million, marking a staggering increase of 64% year-on-year. Mobile betting contributed significantly to this resurgence, generating $40.4 million, an impressive 90.6% jump compared to the previous year.

The fluctuation in football betting outcomes shifted back into favor in November, leading to $40.6 million in revenue for sportsbooks—more than doubles the previous year’s figure (+127.5%). This recovery comes after an 80% year-on-year drop in October, attributed to notoriously poor results for the books during that month.

The Strip benefited tremendously from this trend, seeing $13 million in GGR from mobile betting (an increase of 181.6% year-on-year) and $18.5 million from football betting (up 133%).

Overall, the trends within Nevada’s gaming landscape underscore the complexities of the gambling sector, with contrasting performances across different markets and gaming segments. As the industry adapts to evolving consumer preferences and external factors, stakeholders must strategically navigate these challenges to foster growth and stability in the months ahead.