Posted on: January 12, 2024, 05:50h.
Last updated on: January 12, 2024, 05:50h.
Mohegan Sun and Foxwoods reported lower gaming revenues in their most recent fiscal years.
In the tribal casinos’ first full year of operating in conjunction with legal iGaming in Connecticut, the brick-and-mortar casinos saw play dwindle.
Through financial disclosures, Mohegan Sun in Uncasville revealed gross gaming revenue (GGR) of $598.96 million for the 2023 fiscal year ending Sept. 30. That represents a 5.15% year-over-year decline.
At Foxwoods in Ledyard, retail GGR totaled $515.54 million for the same 12-month period. That represents a 1.2% slide from the tribal casino’s 2022 fiscal performance.
Revenue Declines at Tribal Resorts
Some of the tribal gaming declines were offset by other resort amenities.
At Mohegan Sun, the property increased sales of food and beverage by nearly 8% to $97.7 million. Hotel room revenue was up nearly 1% to $95 million, and revenue from retail and entertainment climbed almost 4% to $128.4 million.
Mohegan Sun’s combined net revenue of $920.2 million, however, was about $20 million below the 2022 fiscal year when the integrated resort took in about $940.3 million.
Mohegan Sun’s casino spans 310,000 square feet offering 3,495 slot machines, 245 table games, and a FanDuel Sportsbook. The destination has a 10,000-seat concert hall, 84 food and beverage and retail outlets, and 1,562 hotel rooms.
Mohegan Sun’s fiscal year bottom line, or earnings before interest, taxes, depreciation, and amortization (EBITDA), totaled $258.2 million. That represents an 8.4% profit decline from the casino’s 2022 fiscal year.
Mohegan officials said in the financial report that “lower gaming volumes and table hold” were responsible for the GGR decline.
Over at Foxwoods, the casino reported that “non-gaming revenues,” inclusive of food and beverage, retail, hotel, and entertainment, totaled a little more than $177 million — up about 2%. Food and beverage climbed 11% to $47.4 million, hotel revenue was flat at $68.8 million and retail and entertainment money increased 5% to $60.8 million.
Because of higher overhead costs, Foxwoods’ EBITDA of approximately $110.7 million represented a 16% tumble from fiscal year 2022.
Foxwoods officials pointed out that payroll costs were $29.8 million higher than the prior year. The integrated resort said “other operating expenses” were $42.3 million costlier, expenses that were driven by the property’s “increased gaming footprint and the expansion of our non-gaming amenities along with the current inflationary pressure on commodity prices.”
Foxwoods’ 300,000-square-foot of casino space has approximately 3,300 slots, 250 table games, and a DraftKings Sportsbook. Three hotels offer 1,950 guestrooms and the resort features 31 restaurants, lounges, and bars.
iGaming Income
In addition to their massive resorts, Connecticut’s two tribal casinos since 2021 have been operating online casino games after amending their Class III compacts with the state. Their sportsbook partners additionally take bets remotely.
Through 11 months of 2023 (December has not yet been reported), iGaming revenue for the tribes and their two partners — DraftKings and FanDuel — totaled over $295.2 million.
The tribes’ online sports betting businesses have won over $85.6 million from remote bettors for combined internet GGR of approximately $380.8 million with still a month of revenue left to report.
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