Detroit’s three casinos report monthly revenue growth to $107.2M in July; regulator approves license renewals

Detroit’s three casinos report monthly revenue growth to $107.2M in July; regulator approves license renewals

The three Detroit casinos reported $107.2 million in monthly aggregate revenue in July, with table games and slots making $105.9 million in revenue and retail sports betting producing $1.3 million, according to the latest data from the Michigan Gaming Control Board, which also renewed their annual licenses.The figure is down from the $116.9 million in revenue in July 2021, but up from the previous month, having posted $98.6 million in June.

The casinos'table games and slots monthly revenue fell 8.4% when compared to July 2021. However, monthly revenue rose 7.9% when contrasted with June's numbers. Through July 31, table games and slots revenues were up 3% for the first seven months of the year, when compared with the first seven months of last year. 

MGM had the highest monthly market share with 48% in July, followed by MotorCity with 33% and Hollywood Casino at Greektownwith 19%Gaming revenue results for all three casinos were down compared with June 2021. MGM was down by 4.7% to $51.2 million. Meanwhile, MotorCity was down 9.6% to $34.8 million; and Hollywood Casino at Greektown dropped 15% to $19.9 million. 

The three Detroit casinos paid $8.6 million in taxes to the state of Michigan during July, compared with $9.4 million for the same month last year; and reported submitting $12.6 million in wagering taxes and development agreement payments to the City of Detroit. 

On the retail sports betting side of the business, qualified adjusted gross receipts were 1.3 million, up 3.8% year-over-year compared with July 2021 results of $1.2 million, while also up from the $448,703 reported in June. The properties reportedtotal retail sports betting handle of $18.86 million and total gross receipts were $1.3 million. 

On Tuesday, the gaming board voted unanimously to approve the one-year renewal of the licenses for the three Detroit casinos.

Licensees are taxed at 18% on adjusted gross receipts and remit the wagering tax daily via electronic funds transfer. The state receives 8.1%, and the City of Detroit receives 9.9% of the wagering tax plus development agreement payments. The casinos also pay an 8.4% tax on retail sports betting qualified adjusted gross receipts. Additionally, the casinos pay an annual fee to cover the state’s regulatory expenses.