Pennsylvania Gaming Control Board released information about the financial performance of the state casinos during the fiscal year that ended June 30th. According to the reported numbers, the state slot machine revenue increased 2.3% YOY. The generated revenue amounted to $2.388 billion, which is a $52 million increase year-on-year.
Rivers Casino registered a drop of 2.1% as compared to last year’s results but it was not the only venue that saw a decline in slot revenue. Harrah’s Philadephia Casino and Hollywood Casino revenues were also down 1.73% and 0.55% YOY, respectively.
As many as nine casinos reported an annual increase in slot revenues. Parx Casino reported the most considerable increase of $388 million, followed by Sands Bethlehem that generated $305 million. Rivers Casino was third with $272 million generated from slot games.
Speaking of the financial performance of the casinos for June, the slot revenue was 1.08% down as compared to the numbers reported in June 2015. Rivers Casino posted the most significant monthly decrease of 8.56%. The Meadows reported a 1.52% decline. Back in 2015, the reported amount was $18,168,494 million. A year later, Meadows’ revenue dropped to $17,891,657. SugarHouse Casino was also among the four state casinos that saw a revenue jump in June.
Pennsylvania Gaming Control Board is to release information about the revenues from table games such as craps, blackjack, roulette later this month.
Meanwhile, Richard McGarvey, the spokesman of the gaming board, commented on the financial performance of the state casinos and said that bearing in mind the intensified competition, a 2.3% growth in slot machines revenue was a good accomplishment. He did not miss to emphasize the importance of slot machines revenues and taxes, in particular, for state’s well-being.
The state of Pennsylvania imposed two different levies on gross gaming revenue generated from slot machines. The amount transferred to state coffers depends on whether the GGR is over or under $500 million per year.
Pennsylvania had its first casino, featuring slot machines, opened a decade ago. Since then, the total revenue generated from slot games has reached $20 billion, which is $11.3 billion in tax for the state.
As for Rivers Casino, its parent company filed a lawsuit regarding the municipal tax on slots revenue. The filing against the Department of Revenue was submitted to the Pennsylvania Supreme Court with the insistence that the aforementioned tax was illegal. Holding Acquisitions Co challenged the established laws and demanded a multi-million dollar tax refund.
