The Indiana Gaming Commission reported that Indiana’s 12 casinos generated $191.7 million in Adjusted Gross Revenue in May. This represents a decrease of $15.6 million compared to the same month last year, reflecting a 7.6% year-over-year decline. May marks the third consecutive month of year-over-year revenue declines for Indiana casinos, following two months of increases earlier in the year. In the previous month, Indiana casinos surpassed $200 million in revenue. Although this figure is significantly higher than May’s revenue, it fell short of April’s revenue from last year, indicating a 6.5% year-over-year decline.
Challenging Rock along with the northern internet casinos lead typically the charge
Four licensees accounted for over 41% of Indiana’s Adjusted Gross Revenue (AGR) in May. The northern licensees, primarily located in the southwest corner of the state and serving the Chicagoland area, generated a total of $79.4 million in revenue. The breakdown of their individual revenues is as follows:
- Hard Rock Casino Northern Indiana: $32.2 million
- Horseshoe Hammond: $23.2 million
- Ameristar Casino: $14.9 million
- Blue Chip Casino: $9.1 million
The six southern licensees combined for $65.2 million in revenue in May, representing 34% of the total. Their revenues are as follows:
- Caesars Southern Indiana: $22.2 million
- Bally’s Evansville: $13.2 million
- Hollywood Lawrenceburg: $12.6 million
- Belterra Casino: $6.6 million
- French Lick Resort: $6.9 million
- Rising Star Casino: $3.6 million
The final two properties are racinos, located in the greater Indianapolis area. Racinos feature horse racing and a full casino. These two facilities were among the top five highest-earning Indiana casinos in May, contributing to 24.6% of the total revenue.
- Horseshoe Indianapolis: $27.9 million
- Harrah’s Hoosier Park: $19.3 million
Indiana internet casinos falling short involving last year’ s standard
Indiana’s casinos generated over $2.4 billion in revenue last year, contributing nearly $700 million in taxes. While the casinos started the year strong, it is unlikely that they will catch up to last year’s total revenue at the current rate. However, there are still several months left in the year, and there is a possibility for a turnaround.
If the casinos fail to catch up, it could indicate a slight slowdown in the Indiana casino industry overall. The state’s casinos will face new competition in the coming years. The upcoming Bally’s Chicago, planned to open in 2026 (with a temporary site opening sooner), will provide residents of the city with a convenient alternative to Indiana’s northern properties. Bally’s Chicago is planned to be the largest casino in Illinois.
Additionally, residents of western Ohio no longer need to cross the Indiana border to place sports wagers, as Ohio has legalized sports betting. Kentucky has also recently legalized wagering, which may have a small impact on casinos near the state’s border when retail and online sportsbooks open there later this year.
However, new competition does not necessarily mean doom and gloom for the industry in the Hoosier State. Indiana’s casinos are not solely dependent on neighboring states, and new casinos may open within Indiana. Furthermore, the overall gambling industry continues to grow.
Indiana sportsbooks already emotion the scam of new opposition
Sports gamblers in Indiana placed $283.5 million in bets last month, which was 8.1% lower than May of last year. However, the revenue generated by sportsbook operators actually grew. The $33.4 million in May revenue was 5% higher year-over-year, thanks to an impressive hold of 13.8%. This means that Indiana bettors did not fare as well as last year. The hold percentage in the sports betting market is typically around 8%.
Indiana was undoubtedly benefiting from Ohio gamblers before the Buckeye State launched legal sports betting this year. It was fully expected that Indiana’s sports betting handle would take a hit in 2023. Since Ohio’s sports betting rollout, Indiana has seen year-over-year handle decreases every month.
According to PlayIndiana predictions, Ohio will generate twice the betting volume that Indiana will this year. Indiana’s May handle was in line with projections, but the high hold percentage resulted in better-than-expected revenue.
