Iowa Casinos Report Slight Dip in Revenue for August

Iowa’s casino industry experienced a slight decline in revenue for August, with total earnings dropping by 0.4% compared to July. The state’s casinos brought in $144.2 million for the month, a minor decrease from the $144.7 million reported in July, according to the Iowa Racing and Gaming Commission. While this dip is relatively small, it highlights the challenges Iowa casinos face in maintaining growth during traditionally slower months. Despite the overall revenue drop, several individual properties stood out for their strong performance, helping to cushion the state’s total figures.

Among the top performers was Wild Rose Emmetsburg, which posted a remarkable 15% increase in revenue. Its earnings surged from $2.46 million in July to $2.83 million in August, making it the only Iowa casino to record double-digit growth for the month. This significant boost for Wild Rose Emmetsburg sets it apart as a key player in Iowa’s casino market. Additionally, Wild Rose Jefferson and Wild Rose Clinton, sister properties to the Emmetsburg location, also saw positive gains. Jefferson’s revenue rose by 1.97%, while Clinton experienced a 5.41% increase. Collectively, the trio of Wild Rose casinos had an outstanding August, marking them as standout contributors to the state's gambling sector.

Other casinos also enjoyed a positive August. Hard Rock Hotel & Casino Sioux City, for instance, reported a 7.8% increase in revenue, rising from $7.37 million in July to $7.94 million in August. The Hard Rock property is one of the larger operations in the state and continues to show its ability to attract visitors and maintain growth. Diamond Jo Casino in Worth also posted solid results, with a 6.2% increase in revenue, highlighting the ongoing strength of regional casinos in Iowa. Despite these successes, several casinos experienced declines. Horseshoe Casino in Council Bluffs, one of the state’s most prominent establishments, saw a 6.85% revenue drop, while Isle Casino Hotel Waterloo faced an 8.53% decrease, illustrating that not all properties could fend off the typical late-summer slowdown.

Although Iowa casinos saw a small decline on a month-to-month basis, the broader picture suggests a healthy industry. Compared to last year, Iowa’s overall casino revenue for 2024 has increased by 0.7%, indicating steady year-over-year growth. This trend reflects the resilience of the state’s gaming sector, which continues to recover from the pandemic’s impact and expand its footprint within the local entertainment landscape. The slight monthly fluctuations are not unusual for the casino industry, as various factors, such as tourism levels and seasonal changes, can influence monthly earnings.

While the land-based casino market remains the primary revenue generator for Iowa’s gaming industry, there remains a significant opportunity in the online casino space. Iowa, unlike a few other states, has not legalized online gambling, leaving substantial revenue on the table. Estimates from PlayUSA suggest that if online casinos were legal in Iowa, they could have generated an additional $54 million in July alone. This figure is based on data from states like Pennsylvania and Michigan, where online gaming is thriving. Despite the apparent financial potential, efforts to legalize online gambling have stalled. Earlier this year, Rep. Bobby Kaufmann introduced a bill to authorize online casinos, but it failed to make it to the voting floor, highlighting the challenges of bringing iGaming to Iowa.

The debate over online casinos is likely to continue, with both proponents and opponents voicing strong opinions. Casinos sometimes express concern that online gambling could cannibalize their brick-and-mortar operations, while anti-gambling advocates are vocal in opposing any expansion of gaming. These factors contribute to the slow pace of legislative change, leaving Iowa's potential iGaming market in limbo. However, as revenue continues to grow in states with legalized online gaming, the conversation may eventually shift in favor of expanding gambling options in Iowa.

 

“Iowa casinos experienced a modest 0.4% revenue decline in August, but standout performances from properties like Wild Rose Emmetsburg, which saw a 15% increase, demonstrate the resilience of the state's gaming industry.”

 

The Future

In conclusion, despite a minor dip in August revenue, Iowa’s casino industry remains robust, bolstered by strong performances from properties like Wild Rose Emmetsburg and Hard Rock Sioux City. With year-over-year revenue trending upward, the state’s gambling sector continues to be a crucial part of the economy. At the same time, the question of whether Iowa will ever embrace online casinos remains open, with both financial incentives and political hurdles at play. As the debate over iGaming continues, the state’s traditional casinos are likely to remain the primary drivers of revenue, maintaining their position as key economic contributors.