Casinos post $177.8M win in 1st quarter

Despite I-55 bridge closure, Southland has top showing

Arkansas’ casinos booked a combined net win of $177.8 million for the first quarter of 2024, up a little less than $1 million when compared to the same quarter a year ago, with the state’s largest operation saying a bridge closure hurt its bottom line for the quarter.

West Memphis’ Southland Casino had the highest new win for the January through March period with $84.1 million but its take was down slightly from $84.4 million a year ago, according to information provided by the Arkansas Department of Finance and Administration. Oaklawn Racing Casino Resort in Hot Springs had a total win of $47 million for the first quarter, up from $46 million a year ago. Saracen Casino Resort in Pine Bluff’s total win was $46.7 million, up slightly from $46.6 million a year ago.

Total win, also known as gross gambling revenue, is the difference between gambling wins and losses before deducting the casino’s costs and expenses. The figure in Arkansas includes wins from terminal games like slot machines and video poker; table games like craps and blackjack; and sports betting, both inside the casino and online.

“Southland Casino Hotel in West Memphis navigated a challenging first quarter marked by a key Mississippi River bridge closure from nearby Memphis and weather disruptions that impacted volumes,” Southland Casino Hotel President and General Manager Osi Imomoh said in a statement. “Despite these hurdles, we achieved our highest single revenue day in March, offsetting some of the lost volumes. Our steadfast commitment to providing premier gaming experiences in the Mid-South — supported by dynamic marketing promotions, exceptional guest service and top-notch facilities — remains unwavering. As we look to the future, we have a positive outlook for the coming months.”

The Interstate 55 bridge over the Mississippi was closed for two weeks in March for repairs.

For the quarter, the state’s volume of wagers — sometimes called total handle — was $2.06 billion on bets placed on terminal games, onsite sports books and mobile betting, up slightly from $2.05 billion for the first quarter of 2023. The figure

does not factor in wagers on table games.

Total wagers on terminal games for the first quarter stood at $1.93 billion, down slightly from $1.94 billion for the year ago period. Total wagers in the casinos’ physical sports books was $11.7 million, down from $17.1 million a year go, while wagers on mobile sports betting in Arkansas increased significantly in the first quarter, with total wagers for 2024 at $117.1 million, up 22% from $95.9 million for the first quarter in 2023.

“The numbers reflect a generally flat quarter overall,” Alan M. Feldman, Distinguished Fellow in Responsible Gaming, International Gaming Institute at the University of Nevada, Las Vegas, said in response to emailed questions. “There is a notable increase in mobile wagering which has been seen in numbers across the country reflecting the consumer’s enjoyment of the convenience.”

He said that a casino’s on-premises business can be affected by bad weather, road projects and other barriers to access. In that regard, a casino’s online business tends to be more stable, with its fluctuations typically based on, for example, if calendar events like the Super Bowl are played in January or February.

Arkansas casinos saw a combined total win of $686.6 million in 2023, up just shy of 12% from $614.1 million in 2022.

According to the American Gaming Association’s Commercial Gaming Revenue Tracker, gross gaming revenue, or total win, hit a new record of $66.5 billion in 2023, up by 10% and the third straight yearly record. Nearly a quarter of the yearly revenue came from online gambling. The AGA is an advocacy group for the gambling industry.

“From the traditional casino experience to online options, American adults’ demand for gaming is at an alltime high,” Bill Miller, AGA president and chief executive officer, said in a February news release.

In Arkansas, total win for terminal games was $148.6 million for the first quarter, down less than 1% from $149.8 million a year ago. On average, Southland operated 2,300 terminal games during the quarter, Saracen 1,804 and Oaklawn 1,420.

Southland’s total win for terminal games was highest at $71.6 million for the quarter, unchanged from last year. The casino saw total wagers in the first quarter of $924.4 million, down a little more than half a percentage point from $931.6 million for the year ago period.

Oaklawn’s total win on terminal wagers was $39.5 million for the period, down from $41 million a year ago. The total terminal wagers for the first quarter was $513.8 million, down from $531.1 million a year ago.

Saracen’s total win on terminal games for the first quarter was $37.5 million, up from $37.2 million a year ago. Terminal wagers for the first quarter stood at $495.7 million, up nearly 4% from $477.9 million a year ago.

Carlton Saffa, chief market officer for Saracen, which is owned by the Quapaw Nation, said the casino’s growth was on track, with revenue on the upswing. He said the casino paid out some large jackpots in its first quarter, which affected total win. He said the casino hotel — a 440,000-square-foot project including a hotel tower and new event center — is still expected to open in 2025 with hundreds of construction workers on site every day.

Mobile betting total win for Arkansas casinos was $10.2 million for the first quarter, up 46% from $7 million a year ago.

Saracen’s total win for mobile betting was $5.2 million on a total handle of $76 million, up from $4.8 million total win and a total handle of $53.2 million for the year ago period.

Saffa touted Saracen’s gains in mobile betting quarter over quarter, noting the casino’s total handle was up significantly — 43% — even with the Arkansas Razorbacks basketball team failing to reach March Madness this year. He noted the casino’s promotions on television and sports radio have been successful.

“We’re Arkansas’ favorite sports book,” he said.

Southland booked total win in the mobile segment of $3 million on a total handle of $32.5 million for the quarter compared to $1.6 million a year ago with a total handle of $21.1 million. Oaklawn’s mobile betting for the first quarter saw a total win of $2 million with a total handle of $21.6 million for the period compared to a total win of $575,997 and a total handle of $8.6 million for the first quarter of 2023.

Table games saw a total net win of $17.3 million for the quarter compared to $18.4 million a year earlier. Southland had the highest total win in the segment with $8.7 million for the quarter, down from $10.3 million a year ago. Oaklawn’s total win for table games was $4.8 million, up from $3.8 million a year ago. Saracen’s total win was $3.8 million, down from $4.3 million a year ago. The amount bet on table games isn’t tracked.

The casinos paid a total of $6 million to the state in the first quarter of 2024, flat when compared to the quarter a year ago.

In Arkansas, the first $150 million of casino gambling revenue is taxed at 13% and casino gambling revenue over $150 million is taxed at 20%. Taxes from the Arkansas casinos are distributed in the following manner: 55% goes to the state’s general fund; the casino’s host city gets 19.5%; the Arkansas Racing Commission Purse and Awards Fund gets 17.5%; and the host county gets 8%.