The American Gaming Association has celebrated the US gaming industry marking an eighth successive quarter of record-breaking figures as March’s monthly record tipped revenue over $16.6bn for Q1.
According to the AGA’s Commercial Gaming Tracker for Q1, the industry’s GGR grew by 15.5% year-over-year with every vertical improving compared to Q1 of 2022.
It wasn’t just Q1 that delivered a record-breaking performance; March’s GGR also hit a new single-month revenue record of $5.9bn, up over 10% YoY.
“After two full years of successive growth post-COVID, the US gaming industry has never been stronger,” said AGA President and CEO Bill Miller.
“With record growth across every gaming vertical—from brick-and-mortar casinos to mobile gaming—American adults continue to choose gaming as one of their top entertainment options.”
Sports betting delivers records as Ohio joins party
The AGA noted that sports bettors wagered a record $31.1bn in Q1, yielding $2.79bn in revenue for operators, marking a 70.1% hike YoY. Primarily this was driven by launches in Kansas, Massachusetts, and Ohio, although Maryland’s online launch would have had a part to play too.
Sports betting handle grew in over half (15 from 26) of the betting markets that were operating in Q1 2022 and Q1 of 2023 in addition to the three new markets.
Meanwhile, on the online casino side of the industry, operators generated GGR of $1.48bn during the quarter, up 22.7% YoY, with no new state launches during this period, showing the strong growth that the online casino industry is still experiencing.
Online share increasing but land-based still king
The AGA noted that online sports betting and online casino now accounts for 24.7% of all gaming revenue in the US, a record share of revenues, as total GGR reached $4bn for the verticals. Meanwhile, land-based and retail venues made up 75.3% of all gaming revenues during the quarter.
Despite a decreasing share of commercial gaming revenue, it was detailed that land-based casinos yielded a quarterly record revenue of $12.3bn, showing the strong health of the industry despite tough economic conditions with interest rates harming consumers’ spending power.
Meanwhile, the AGA simultaneously published its State of the States report for last year, detailing operators’ tax payments to state and local governments hit $13.48bn, up 15.3% from 2021 comparatives.
“As one of the biggest taxpayers in states across the country, we know that when gaming is successful, so are our communities,” Miller concluded.
“Beyond our significant tax contributions, our industry is engrained in local communities, bolstering economic development through job creation, supporting local charities and nonprofits, and setting the standard on corporate responsibility.”
