Missouri Casinos Experience Mixed Results in September

September proved to be a mixed month for Missouri casinos, with both positive and negative trends emerging from the latest figures released by the Missouri Gaming Commission (MGC). On one hand, the yearly revenue showed a slight increase of 0.5%, indicating a level of stability within the market. On the other, monthly revenue experienced a decline of 2.9%, resulting in a significant $4.8 million drop from August's figures. This duality in revenue trends illustrates the ongoing challenges that Missouri’s gaming sector faces amid evolving consumer preferences and competitive pressures.

Despite the overall downturn in monthly revenue, Horseshoe St. Louis stood out with a remarkable performance, reporting a striking 17.4% increase compared to August. This notable success not only helped temper the statewide losses but also highlighted the disparity in performance among different casino operations across the state. Horseshoe St. Louis’s exceptional month serves as a reminder that localized strategies and offerings can yield positive results, even in a challenging overall market environment.

According to the MGC's report, Missouri's total casino revenue for September amounted to approximately $158.6 million, down from $163.4 million in August. While this decline raises concerns among industry stakeholders, it is essential to note that only six out of 13 casinos reported year-on-year revenue losses, indicating a more favorable annual performance for many operators. This suggests that while the short-term outlook may appear bleak, certain casinos are managing to thrive despite broader market challenges.

Monthly Revenue Changes:

Casino	September Revenue	August Revenue	% Change
Ameristar St. Charles	$24,603,845	$25,503,125	-9.51%
Hollywood Casino St. Louis	$20,493,084	$22,930,250	-0.28%
River City Casino	$21,539,857	$21,648,839	+2.50%
Horseshoe St. Louis	$13,635,874	$11,618,381	+17.36%
St. Joseph Frontier Casino	$3,741,316	$4,282,672	+5.80%
Total	$158,565,228	$163,358,811	-2.93%

The Case for Online Casinos

While land-based casinos in Missouri continue to generate significant revenue—averaging over $140 million per month—the state remains at a disadvantage by not allowing online casinos, or iGaming. The absence of online gaming legislation prevents operators from tapping into a potentially lucrative revenue stream, which is being increasingly embraced by neighboring states. PlayUSA estimates that Missouri’s online casinos could have generated over $100 million in August alone, an impressive figure that underscores the financial opportunities being overlooked. With the state’s population of approximately 6.2 million, the projected annual revenue from online gaming could exceed $1 billion if the legislature takes action.

Currently, Missouri legislators have been slow to expand the gaming industry to include online casinos and sports betting, limiting operators to land-based revenue streams. This delay means that Missouri is missing out on substantial revenue that could enhance the state's gaming landscape and support local economies. As more states legalize online gaming, the competitive pressure on Missouri to adapt its policies will likely intensify, forcing stakeholders to reevaluate their strategies.

 

Future Outlook

As the gaming industry continues to evolve, Missouri's current gaming framework may face increased pressure to adapt. While Horseshoe St. Louis’s impressive September performance offers some optimism, the overall decline in monthly revenue highlights the need for broader strategies, including the potential legalization of online casinos. The conversation surrounding iGaming in Missouri is not just about expanding revenue sources; it’s also about modernizing the state’s gaming landscape to remain competitive in a rapidly changing industry.

With other states benefiting from iGaming revenues, Missouri's gaming operators and legislators must reconsider their stance to capitalize on emerging opportunities in the gaming market. As discussions continue regarding the future of online casinos in Missouri, the question remains whether the state will move to embrace this lucrative potential. Stakeholders from across the industry will need to come together to advocate for legislative changes that could unlock significant financial benefits for the state, its casinos, and its residents.