Detroit Casinos Report Highest Monthly Revenue Since Reopening

GreatLakesStakes.com

By Bryce Derouin

Since Detroit’s three commercial casinos reopened after the COVID-19 shutdown, revenue has seen an uptick in each of the months since August.

For October, Detroit casinos posted their highest total revenue since reopening with $101.4 million in October while still operating at 15% capacity because of COVID-19 health and safety restrictions. Table games and slots posted $93.8 million in revenue, while retail sports betting produced $7.6 million in revenue. By comparison, Detroit’s casinos reported revenues of $69.3 million in August and $87.9 million in September.

Still, revenue pales compared to the same month last year. Gaming revenue from table games and slots was 18.9% higher in October 2019, while the casinos’ year-to-date revenue of $550 million for 2020 was down 54.2% from the $1.2 billion reported in the first 10 months of 2019.

MGM Grand held the largest market share in October with 41%, while MotorCity was at 38% and Greektown held 21% of the market shares.

Compared to October of 2019, gaming revenue was down across the board for the three casinos with MGM Grand Detroit down 22.7% to $37.8 million, while MotorCity fell 7.7% to $36.3 million and Greektown dropped 28.2% to $19.7 million.

The tax contribution from Detroit’s three casinos was down from a year ago, with the state of Michigan receiving $7.6 million in taxes compared to $9.4 million in October 2019.

Sports betting revenue and taxes

MGM Grand Detroit led the three casinos in retail sports betting qualified adjusted gross receipts in October with $3.7 million. MotorCity was next with $2.2 million, and Greektown reported $1.7 million for an October total of $7.6 million.

Through October, the aggregate retail sports betting qualified adjusted gross receipts totals of $14.1 million, with MGM Grand at $6.8 million, MotorCity with $4.3 million and Greektown at $3 million.

Qualified adjusted gross receipts is classified as gross betting receipts minus the monetary value of free play incentives provided to and wagered on by bettors.

Total, the three Detroit casinos paid $287,166 in state taxes on retail sports wagering. The city of Detroit also received $350,980 in retail sports betting taxes from the three casinos.

In fantasy contests, operators reported total adjusted revenues of $3 million and paid the state $253,449 of taxes for September.

Through Sept. 30, fantasy contest operators reported aggregate adjusted revenues of $10.2 million and paid $857,770 in taxes.

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WRITTEN BY
GreatLakesStakes.com
Bryce Derouin
Bryce joined GreatLakesStakes.com after spending the last nine years covering high school and college sports throughout Michigan. He’s served as the primary Division II beat writer for Grand Valley State and Michigan Tech. Along with his newspaper background, he's worked in marketing and has experience covering casinos and gambling.
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Bryce joined GreatLakesStakes.com after spending the last nine years covering high school and college sports throughout Michigan. He’s served as the primary Division II beat writer for Grand Valley State and Michigan Tech. Along with his newspaper background, he's worked in marketing and has experience covering casinos and gambling.
... Read More