Las Vegas tourism and gaming revenue continues to decline, raising concerns with the summer season well underway. According to recent reports, Las Vegas attracted 3.41 million visitors in May, marking a decline of 6.5% from May 2024. Over the course of the year, visitation reached 16.45 million, down 6.5%, representing a loss of over 1.1 million visitors.
Passenger counts at the airport dropped by 3.9% in May, while vehicle traffic at the Nevada and California border decreased by 5%. This trend is predicted to persist, according to Truist Securities’ analysis. We wrote about Las Vegas Tourism Faces Declining Visitor Numbers and Occupancy on June 25.
Las Vegas Tourism and Gaming Revenue: Impacted Metrics
Truist analyst Barry Jonas notes that the atmosphere on the Las Vegas Strip remains uncertain, with room surveys indicating turbulence throughout the summer, although some week-to-week improvements appear. Despite a decrease in second-quarter rates compared to last year, July is forecasted to remain steady, while early signs for August indicate a drop.
Some improvement in weekly rates for operators like MGM Resorts International might be attributed to the shorter booking times, Jonas suggested. He added that company valuations already include predictions of continued weakness, but the week-to-week rate hikes could be beneficial. Feedback during their recent visit to Vegas indicated that growth might resume in the fourth quarter.
While July rates stay level for MGM and other Strip establishments, Caesars Entertainment’s rates reflect a 9% decline. August forecasts show MGM declining 3% and Caesars experiencing a 35% decrease. Other properties on the Strip are also witnessing double-digit declines.
Hotel occupancy fell to 83% from 86.1% last May, with Strip occupancy at 85.3% compared to 88.5%. Despite an 11% rise in convention attendance (over 511,000), weekend and midweek occupancy rates dropped as well.
Future Projections for Las Vegas Tourism and Gaming Revenue
In his recent note, Jonas shared that Strip gaming revenue decreased by 4% in May, with baccarat losing 10% in earnings. Excluding baccarat, the total casino win—a gauge for the mass market health—dipped by 3%. Officials attribute the decline in visitation to ongoing economic uncertainties among consumers. Occupancy registered a 14% decline in 2025 as well.
Despite the broader challenges, local casinos outperformed the market, yet remained flat when compared year-over-year. Jonas highlighted an 11% increase in normalized locals’ gaming revenue, showcasing the resilience among local consumers and robust handle growth.
Additionally, May 2025 contained an extra Saturday compared to May 2024, which resulted in a single-day negative impact on slot revenue due to Nevada slot accounting practices.
A Friday/Saturday spillover into June 2025 differed from May 2024’s solely Friday transition, further influencing revenue figures.
Shelley Newell from the Gaming Control Board published a report highlighting a 3.9% decrease ($28.7 million) in Strip wins, totaling $713.8 million. The games win decreased by 2.1% or $7 million, with games hold percentage at 15.5%. Baccarat saw a $12.2 million or 10% drop. Hold maintained at 16.1%, while the Strip’s slot win dropped by $21.8 million (5.4%), with a coin-in increase of 1.6%.
Elsewhere, downtown Las Vegas experienced an 11.4% decrease ($8.5 million) in total wins. Slot wins specifically fell 24.6% ($13.1 million) despite a 4.5% increase in slot coin-in.
Slightly contrasting, Washoe County reported a slight 0.2% increase in total wins. Nevada sportsbooks saw a 29.7% rise in wins, supported by a significant increase in mobile wagers, which constituted 73.3% of all bets placed.
