The dog days of summer struck hard at Indiana casinos.
The Hoosier State’s 13 casinos reported $192.1 million in adjusted gross revenue in July, a 3.2% drop from the previous year’s $198.4 million. Revenue also declined by 1.9% from June ($195.7 million).
July’s revenue was a five-month low and ended a two-month streak of yearly gains. Indiana casinos have reported yearly declines in five of seven months in 2024, while Indiana online casinos remain illegal.
Chicagoland casinos have best and worst performers
Indiana’s casinos serve metropolitan areas in three states: Indiana (Indianapolis), Illinois (Chicago), and Kentucky (Louisville). The state’s northernmost casinos attract a large clientele from the greater Chicago area, which boasts the third-largest metro population in the US.
The largest Indiana casino in the area, Hard Rock Casino Northern Indiana, led the state with $36.1 million in adjusted gross revenue (AGR). Hard Rock reported 18.8% of July’s AGR and was the only casino to post yearly gains (6.2%).
Another Chicagoland casino, Horseshoe Hammond, had the worst yearly declines despite remaining a top-five casino in the state. It reported $18.2 million in July AGR, a 27.2% decline from $25 million a year ago.
Two Indianapolis-area casinos ranked in the top five, too. Horseshoe Indianapolis was second in the state with $25.7 million in AGR (-11.4%), and Harrah’s Hoosier Park was fourth with $18.5 million (-1%).
Caesars Southern Indiana, which serves the Louisville area, had the third-highest AGR in July. Its $19.2 monthly total represented a 6.8% yearly decline.
Terre Haute Casino shakes up landscape for Indy casinos
Terre Haute Casino opened in April. It reported $10.5 million in July AGR, ranking ninth in the state. Casinos six through eight were:
- Ameristar Casino East Chicago: $13.1 million (-12.1%)
- Bally’s Evansville: $13.1 million (-5.3%)
- Hollywood Lawrenceburg: $12.6 million (-12.2%)
Four casinos reported lower AGR totals than Terre Haute Casino:
- Blue Chip Casino: $10.4 million (-3.8%)
- French Lick Resort: $6.8 million (-4.6%)
- Belterra Casino: $6.2 million (-22%)
- Rising Star Casino: $3.3 million (-17.8%)
Terre Haute Casino contributed to its parent company, Churchill Downs Inc., announcing record profits and handle during Q2 2024. The company’s CEO cited the resort’s success in its second-quarter earnings call, and its CFO said it expects the property to remain profitable.
Much of that success comes from its ability to attract Indianapolis-area customers. In addition to CDI’s record profits, Caesars Entertainment said its Horseshoe Indianapolis property suffered during Q2.
Caesars had a 5.2% yearly decrease in regional revenue and said its results reflected “competition in new markets.” It also operates Harrah’s Hoosier Park Casino Racetrack in Anderson, around 45 minutes northeast of Indianapolis.
Slots, table games both down
A small bright spot on July’s revenue report comes from casinos winning just shy of $206 million in slots and table games, around $6.2 million (3.1%) more than June. However, a larger number of deductions resulted in a lower monthly AGR.
That said, casino winnings were $6.7 million (-3.2%) less than in July 2023. Slot machine winnings totaled $170.6 million (-1.5%), and table games made up the remaining $35.4 million (-10.3%).
July’s top three casinos in slot machine revenue:
- Hard Rock Casino Northern Indiana: $27.5 million
- Horseshoe Indianapolis: $22.3 million
- Harrah’s Hoosier Park: $17.6 million
The top three table games winners were:
- Hard Rock Casino Northern Indiana: $10.1 million
- Caesars Southern Indiana: $4.6 million
- Horseshoe Hammond: $4.4 million
July’s tax bill totals $23.4 million
Nearly all of July’s AGR was taxable. Casinos deducted $19.2 million in free play wagers and other promotions from their $206 million in slot and table games winnings, resulting in a $186.7 million taxable AGR.
Indiana has a graduated tax rate that increases as casinos generate more revenue throughout each fiscal year. July marked the start of Fiscal Year 2025, meaning its riverboat casinos and racinos fit into the lowest tax bracket for the month.
As a result, the state collected $23.4 million in wagering taxes. It bookended FY 2024 with $25.2 million a year ago (-7.1%) and $58.5 million in June (-60%).
