Detroit Commercial Casino Revenue Up 7.2% Year-on-Year in August

According to the latest data published by the Michigan Gaming Control Board (MGCB), Detroit’s three commercial casinos posted a total of $112.5 million in Adjusted Gross Revenue (AGR) in August 2024. The figure marks a 7.2% increase from the $104.9 million posted in August 2023. Month-on-month AGR rose by 6.2% compared to $105.9 million collected in July. 

The total comprised $110.8 million from slots and table games, up 5.9% year-on-year and 4.2% month-on-month. Retail sports betting added $1.7 million to the total, a 427.6% surge from $322,186 in August 2023. Retail sports betting AGR was also up 525.8% month-on-month, following a negative $399,229 reported in July.

MGM Grand Detroit led with 48% of the market, followed by MotorCity Casino with 28%, and Hollywood Casino at Greektown accounting for the remaining 24%.

Slots and table game revenue

All three casinos saw their AGR increase year-on-year in August 2024, with MGM Grand Detroit posting the largest growth. For the calendar year to date, slots and table game revenue rose 0.9% compared to the corresponding period last year.

While total month-on-month revenue was up 4.2%, not all casinos posted gains. MotorCity Casino experienced a 1.4% decline in AGR from July 2024, but positive differences at MGM Grand Detroit and Hollywood Casino at Greektown offset this dip.

Performance approaching Pre-COVID benchmarks 

August marks the third-highest month of the year in terms of revenues, following March and May, with revenues of $122.3 and $111.3 million, respectively. In August 2021, Detroit’s casinos saw revenues of $112.2 million, followed by August 2022 and 2023, with revenues of $104.5 and $104.6 million, respectively. The $110.8 million AGR generated this August was still lower than August 2021’s pre-COVID figures of $112.2 million.

August brings Detroit casinos’ year-to-date revenues to $861.8 million, a strong performance that also accounts for a disastrous January, when $93.9 million in revenues marked the lowest-grossing month with no COVID and no strikes since June 2005. If continuing at this pace, Michigan’s commercial casinos are on track to deliver around $1.3 billion in revenues for 2024, thus matching, or possibly even surpassing, the pre-COVID revenues of $1.27 billion earned in 2021.

Retail sports betting revenues expected to rise

As the NFL regular season kicks off, sports betting handles and revenues are also increasing, contributing to the Detroit casinos’ bottom line. During the NFL’s preseason In August, the city’s three casinos generated a total handle of $9.6 million and revenues of $1.7 million. As the regular season is now underway, a spike in retail sports betting handle and revenue is expected, especially on the city’s Lions game days. While all three casinos are located in close proximity to Ford Field, the Lions’ home ground, MGM Grand Detroit is expecting most of the action, as the property is less than a mile from the stadium.      

About Michigan casinos

Michigan is home to 26 land-based casinos, including 23 tribal casinos and 3 commercial casinos located in the Detroit metropolitan area. Detroit casinos’ AGR is subject to a 19% tax, including an 8.1% State Wagering Tax, which supports the School Aid Fund for K-12 classroom education, and a 10.9% City Wagering Tax, which supports the local economy, emergency services, youth development programs, and more.

In August 2024, the three Detroit casinos contributed $8.97 million in State Wagering Tax, up 5.9% from the $8.47 million paid in the same month last year.

Michigan’s three commercial casinos were established following the passage of the Gaming Control and Revenue Act in 1997. MGM Grand Detroit and MotorCity Casino both opened their doors in 1999, followed by Hollywood Casino at Greektown in 2000. First launching in January 2021, the state is also home to 15 Michigan online casinos. The MGCB is expected to release its August 2024 iGaming figures next week, after reporting $191.4 million in revenue last month.