Nebraska Casino Revenue Skyrockets 74% in August

In August, Nebraska's casino sector experienced an extraordinary surge, with revenue increasing by 74.3% compared to the previous month. According to the Nebraska Racing and Gaming Commission’s latest report, land-based casinos in the state generated nearly $16 million in revenue, a jump of $6.8 million over July’s figures. A key factor behind this impressive growth was the first full month of operation for WarHorse Omaha, the state’s newest casino.

 

WarHorse Omaha’s Impact on Revenue Growth

WarHorse Omaha made an immediate impact in its debut month. In July, the property operated solely as a sportsbook, generating just under $57,000. However, after fully opening in August, the casino's earnings exploded to nearly $7 million, making it the most profitable gaming venue in the state. WarHorse Omaha’s revenue exceeded that of WarHorse Lincoln, the second-largest earner, by over $2.4 million. This dramatic growth played a significant role in the overall rise in casino revenue across Nebraska.

The state's other casinos showed smaller changes in their monthly performance. WarHorse Lincoln posted a 5.1% increase from July, earning just over $4.5 million in August. Harrah’s Columbus saw a modest 1.5% increase, bringing in just over $2 million. Meanwhile, Grand Island Casino & Resort recorded a 10.5% decline, with revenue dropping to $2.47 million from $2.76 million in the previous month. Despite these mixed results, the overwhelming success of WarHorse Omaha pushed the total revenue for Nebraska’s casinos to nearly $16 million, compared to $9.16 million in July.

The Missed Potential of Online Casinos

While Nebraska’s land-based casinos flourished, the state missed out on the potentially larger financial windfall that online casinos could provide. In states where online gaming is legal, August revenue figures for online casinos far surpass those of Nebraska’s physical establishments. For example, Pennsylvania’s online casino revenue for the month was $225 million, New Jersey reported $198.4 million, and Michigan earned $196.7 million.

If Nebraska had legalized online casinos, projections estimate that iGaming operators could have generated around $34.8 million in August, more than doubling the $16 million earned by the state’s land-based casinos. This estimate is based on Nebraska’s population of 2 million and the average per-capita revenue generated by online casinos in other states. States like Pennsylvania, New Jersey, and Michigan see per-capita earnings from online gaming ranging from $17 to over $21 per person. Had Nebraska followed suit, the state could have captured similar earnings from online gaming.

 

Legislative Stalemate on Online Gambling

Despite the clear potential for increased revenue, efforts to legalize online casinos and mobile sports betting in Nebraska have stalled. This year, State Senator Eliot Bostar introduced a bill that aimed to legalize online sports betting, which many states have used as a gateway to passing online casino laws. However, the bill failed to gain traction and never reached a full vote in the legislature.

One of the primary reasons for the bill’s failure was resistance from a group of senators who expressed concern over the societal impact of expanding gambling to mobile devices. In a letter, these senators argued that allowing online sports betting would turn smartphones into “24/7 handheld gambling devices,” leading to an increase in gambling addictions and harm to the community. As a result, the bill died in committee, putting both online sports betting and online casinos out of reach for Nebraska in the near future.

Nebraska’s refusal to embrace online gambling mirrors a cautious approach seen in other states, where concerns about addiction and social impact often outweigh the potential revenue gains. Without legalized online sports betting, the likelihood of online casinos being legalized remains slim, as the two are often passed together. For now, the state’s gaming revenue will continue to rely on physical casinos like WarHorse Omaha, which has quickly become a major player in the local gaming industry.

In the future, Nebraska may need to reconsider its stance on online gaming if it wants to keep pace with states that have adopted more modern gaming laws. As other states continue to expand their online gambling operations and capture significant revenue, Nebraska could find itself increasingly reliant on land-based establishments while missing out on the significant earnings available through digital platforms.

 

“WarHorse Omaha’s successful debut in August drove Nebraska’s casino revenue up by 74.3%, yet the state continues to miss out on millions in potential earnings by not legalizing online casinos.”

 

Conclusion

WarHorse Omaha’s successful launch has propelled Nebraska’s casino revenue to new heights, with a 74.3% increase from July to August. The new casino’s earnings far outpaced its competitors, driving total revenue for the state’s land-based casinos past $15 million. However, Nebraska is leaving substantial revenue on the table by not legalizing online casinos. Legislative efforts to introduce online sports betting have stalled, further diminishing the likelihood of legalizing online casinos anytime soon. As neighboring states embrace online gaming, Nebraska may need to reconsider its gaming laws to fully realize its revenue potential.