Gaming revenue statewide topped the $1 billion mark in May ? Nevada?s first billion-dollar month since December 2013 ? thanks to regular table game players and slot machine customers attracted to the Strip by a slew of special events and conventions during the month.
Statewide, casinos collected $1.003 billion from gamblers, a 3.3 percent increase over May 2014. On the Strip, casinos collected almost $601.2 million during the month, an increase of 1.4 percent.
The figures were released Friday by the Gaming Control Board.
Analysts dismissed the percentage increase, saying the state and the Strip were up against a tough comparison. In May 2014, gaming revenue jumped 8.2 percent statewide and 17.3 percent on the Strip.
?The results were much stronger than the headline number would suggest given an extremely tough hold related comparison in Strip baccarat,? Well Fargo Securities gaming analyst Cameron McKnight told investors. ?We were encouraged by strong slot and non-baccarat table growth.?
The gaming revenue increase on the Strip was the result of table games and slot machine activity, and not high-end baccarat revenue. Slot machine revenue increased 11.9 percent while the amount wagered on games grew 6.2 percent. Table games excluding baccarat saw revenue grow 22.9 percent and wagering increase 22.7 percent.
As for baccarat, revenue from the game declined 36.1 percent in May and wagering fell 7.4 percent. A year ago, baccarat revenue on the Strip increased more than 85 percent.
?The high-end baccarat comparison was very challenging,? McKnight said. ?All in, we think the results were encouraging given the growth in slots and non-baccarat tables.?
Convention attendance in Las Vegas was up significantly in May, fueled by both large and small trade shows.
Meanwhile, the championship fight between Floyd Mayweather Jr. and Manny Pacquiao at the MGM Grand on May 2, plus the two-weekend Rock in Rio concert series, brought thousands of visitors to the market. An Ultimate Fighting Championship card was in late May at the MGM Grand.
?We believe the second quarter is off to an encouraging start for Strip operators, particularly those less dependent on the high-end internationally-sourced baccarat segment,? said Stifel Nicolaus Capital Markets gaming analyst Steven Wieczynski.
?Additionally, we would note strength in traditionally domestically-sourced games often produces healthier returns across the various non-gaming segments, including lodging and food and beverage, which should benefit Strip operators? second quarter results,? he added.
Three Clark County markets ? downtown, North Las Vegas and the Boulder Strip ? all experienced double-digit gaming revenue increases during May.
Gaming taxes collected by the state in June that were generated in May grew 14.3 percent from a year ago to $62.8 million.
For the fiscal year, gaming tax collections are up 2 percent.
