“It was embarrassing, humiliating and unbearable,” but when the Super Bowl was over, Nevada sports books had cleaned up … except for that safety on the first play from scrimmage, costly for the Denver Broncos and the books alike. Heavy betting in the Broncos’ favor was a boon to the bookies, who very well may have set a record for amounts wagered on (to use a ridiculous Vegas euphemism) “The Big Game.” Betting handle last year nearly hit $99 million and this year’s was 3%-5% higher. Whoever laid 300 grand on the Seattle Seahawks will go home a happy camper, but most of the heavy action was laid in the Broncos’ favor.
Las Vegas‘ equivocal recovery had good news last year, as gambling revenue totaled over $11 billion (well below 2007 levels but impressive none the less), up 3%. The Strip, where winnings rose 5%, came close
to matching its all-time high but not quite. Baccarat drove much of the earnings bonanza, 24% of all winnings — which isn’t great news unless you’re Wynn Resorts, Las Vegas Sands or MGM Resorts International. Those three led the charge, as baccarat recorded an all-time record. Bread-and-butter action, slot play, represented a scarily low percent (61%) of revenue overall.
Supply-and-demand dynamics didn’t work in Vegas’ favor, as hotel bookings didn’t reach Las Vegas Convention & Visitors Authority projections, despite many rooms being out of circulation, due to construction or renovation. Occupancy was slightly up on weekends, a gain negated by soft midweek numbers. ADRs gained 2%, though. Conventions and attendance, however, were at best-since-2008 levels. Recovery is coming, at least to the Las Vegas Strip, but much of it is creeping in on little cat feet.
* In a bit of good news for Caesars Entertainment, the criteria for applying for a casino in South Korea will be loosened. President Park Guen-hye proposes to lower the mandatory bond rating to below ‘BBB.’ Caesars’ chances instantly look better. Analysts speculate, meanwhile, what the dickens CEO Gary Loveman wants with Revel Resort.
* Bally Technologies is the big winner and Aristocrat Technologies the loser in a massive ($34 million) slot-systems deal. Boyd has 27,100 slots spread across 18 states.
* Howard Stutz has an interesting, contrarian narrative about the recent National Finals Rodeo kerfuffle. He contends that Vegas was never in serious danger of losing.
