According to the latest report from the Indiana Gaming Commission, the 12 casino operators generated $189 million in adjusted gross revenue (AGR), which was slightly lower than the $191.8 million generated in May. The casino operators contributed over $66 million in total tax revenue despite this decrease.
Sports Betting Also Slips
On Wednesday, the IGC released a report stating that the adjusted gross sports wagering revenue for the month of June was $19.5 million. This marks the first instance in the past year where the total revenue from Indiana sports betting fell below $20 million.
The operator revenue in Indiana reached its lowest point since last year, with only $15.8 million reported for the same month. This decline in revenue was a result of a combination of lower betting activity and strong wagers made by the public, resulting in a household of only 6.2%.
In fact, the win rate for the month of June, standing at 8.7%, was the first time it dropped below 8.5% since then. This win rate was achieved from a total wager amount of $224.1 million.
Performance and Tax Revenue Milestone
Comparing year-over-year figures, the total amount wagered decreased by 12.6%, while revenue increased by 23.4% due to a higher win rate of over 2.5 percentage points. However, both handle and revenue figures experienced significant declines compared to May 2023, with wagering down by 21% and revenue decreasing by 42%. The hold for June was also 3.2 percentage points lower.
Although Indiana surpassed $2 billion in total handle for the 2023 calendar year, it represented an 11.5% decline compared to the $2.3 billion wagered in the first six months of 2022. However, the higher hold of 9.3% in 2023 contributed to an 18.6% increase in operator revenue, reaching a total of $189.6 million.
In terms of tax revenue, Indiana received $1.8 million for the month and joined the ranks as the ninth state in the post-PASPA era to exceed $100 million in total sports wagering taxes.
Notably, the Hoosier State, which imposes a 9.5% tax on adjusted gross revenue, joined Nevada as the only two states among the nine to achieve this milestone while maintaining a tax rate below 10% on all wagering revenue.
Hard Rock Has a Good June
The Indiana Gaming Commission also announced that June marked the 21st consecutive month the Hard Rock had the highest revenue among all commercial casinos in the state.
Hard Rock achieved a win of more than $34 million last month, showing a 3.6% increase compared to its win of $33.1 million in June 2022, as reported by the IGC. Furthermore, Hard Rock contributed to almost 18% of the overall casino winnings in the state, totaling $191.7 million for the sixth month of 2023.
Matt Schuffert, the president of Hard Rock Casino Northern Indiana, described these earnings as “a very solid month for Hard Rock,” despite the overall struggle in the gaming market in Northwest Indiana.
The surge in gaming tax revenue in June 2023 showcases the strength and potential of Indiana’s gaming industry. With a favorable outlook, Indiana’s gaming industry is poised to remain a vital contributor to the state’s economy.
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