Gaming revenue in the US suffers from harsh weather conditions
Statistical rating organisation Fitch Ratings has cited ongoing harsh weather conditions in the US as the reason for a decline in January reported revenues and expected continued declines in February in a number of markets.
Land-based casino operator Isle of Capri reported that on days with comparable year-over-year weather, revenues were either flat or a couple of percentage points down, while on days affected by the weather it experienced 23% declines.
Elsewhere, US casino operator Boyd Gaming said bad weather had a negative impact of $3 million (€2.2 million) in December of its assets outside of Las Vegas and between $8-10 million in the year to date 2014.
Despite the negative impact, Fitch said its outlook for the Las Vegas Strip and Asia-Pacific region is more favourable than US regional markets.
The organisation said the Las Vegas Strip would benefit from “improving convention bookings, a manageable new supply pipeline and continued robust international play”, while high-end play is still underserved in the Asia-Pacific region and a “meaningful surge” is expected over the next two or three years.
Elsewhere, New Jersey reported 9.3% sequential growth in February online gaming revenues, which is consistent with Fitch’s $200 million forecast for 2014.
Fitch said that the inter-state online poker agreement between Delaware and Nevada, as reported by iGaming Business, will accelerate state-by-state proliferation of online gaming.
In addition, the organisation said the momentum for passing an online poker bill in the state of California has grown in 2014 while other large states may also again consider internet gambling.