AGA Reports Record-Breaking Q1 2024 Revenue for US Gaming Industry

Utilizing data from its Commercial Gaming Revenue Tracker, the American Gaming Association revealed on Thursday that its first-quarter revenue for 2024 was $17.67 billion.

This is the second-highest quarterly revenue in the industry’s history, as the amount surpassed the previous high of $17.64 billion, which was established in Q3 2023, and marks a 5.6% rise from Q1 2023.

“While gaming’s momentum remains strong, 2024 will be the new baseline for future growth after several years of sports betting legalization and post-pandemic consumer shifts. Gaming’s continued growth relies on maintaining our commitment to innovation and responsibility,” AGA President and Chief Executive Officer Bill Miller commented.

Meanwhile, another milestone remains: this is the industry’s thirteenth consecutive quarter of growth. 11 state gaming markets throughout the nation, including the biggest commercial gaming markets in the nation, New York and Pennsylvania, also achieved new quarterly revenue records.

Highlights of Q1 2024 Revenue for US Gaming Industry

• First-quarter revenue for 2024 reached $17.67 billion, the second-highest quarterly revenue in the industry’s history.
• 11 state gaming markets, including Pennsylvania and New York, set new quarterly revenue records.
• Retail gaming accounted for 70.7% of total revenue, while online gaming reached its largest share ever at 29.3%.
• iGaming revenue reached an all-time high of $1.98 billion, a 26.1% increase year-over-year.
• Growth driven by new market launches in Vermont, North Carolina, Maine, Rhode Island, and Kentucky.

Retail and Online Gaming Show Steady Growth in Q1 2024

In Q1 2024, a yearly increase was seen in both retail and online gaming, but at slower rates than in prior quarters. While online gaming had the largest share ever, at 29.3% of total income, retail gaming accounted for 70.7% of the total.

When examining each sector more extensively, traditional land-based casino gaming had a rise in quarterly revenue in Q1. The combined revenue from slot machines and table games was $12.34 billion, a slight rise of 0.3% over the previous year. If not for January’s slowdown brought on by harsh weather that affected local gaming markets around the country, this rise may have been greater.

Revenue from table games increased overall, offsetting a little dip from slot machines, which drove the gain in traditional casino gaming overall. Table games pulled in $2.58 billion in Q1, up 3% from the previous year, while casino slot machines raked in $8.86 billion nationwide in Q1.

In terms of legal sports betting, bettors across the country spent a record-breaking $36.86 billion on sports in the first quarter of the year, bringing in $3.33 billion in revenue for the quarter, a 22% increase over the previous year. A portion of this gain in comparison to Q1 2023 was attributed to the introduction of new markets in North Carolina, Vermont, Maine, and Kentucky.

With Rhode Island’s iGaming market opening in March, iGaming saw a 26.1% year-over-year rise in revenue, reaching an all-time high of $1.98 billion in Q1. The first three months of the year witnessed a rise in gross gaming revenue (GGR) in each of the six states that started the year offering iGaming.

Tax Revenue and Economic Impact Highlighted in Annual State of the States Report

Alongside the revenue report, the AGA published its annual State of the States report, which outlines the economic and regulatory impact of US commercial gaming in 2023.

Last year, direct gaming tax income brought in a record $14.7 billion in tax payments to state and local governments. This shows an increase of 9.7% from 2022 and excludes additional sales, income, and other tax payments.

“As gaming expands, more communities than ever are benefiting. We are proud to create jobs across the country, provide world-class entertainment experiences that offer safe alternatives to the pervasive illegal gambling market, and generate tax revenue to support critical public projects,” ”Miller said.