The Las Vegas strip posted an 8.2 percent growth year on year in Dec. 2015, with the slot floor being the highest growth driver, according to analysts reports from Union Gaming and UBS.
As a result, gaming revenue in Y15Q4 increased 3 percent year on year, driven by a 7 percent increase in slot win. Table win was down 0.5 percent in the quarter, due to softer baccarat performance, where revenue was down 2 percent for the quarter. UBS believes this reflects the continued high-end softness from Asia.
According to Union Gaming, visitation to the western gambling hub was up 3.5 percent year on year in December, and air passenger volume was up 8.9 percent.
“Overall, 2015 ended lackluster in Vegas from gaming revenue growth perspective, flattish/down -0.4%, dragged down mainly by baccarat down -14%, as revenues ex-baccarat came in line with our expectations of low single digit growth, up +3.7% for the year,” UBS said.
Union Gaming also commented on GGR for the year 2015. “The lag in Strip GGR for the year is attributable to the contraction of the Asian baccarat business. Baccarat win for 2015 declined 13.7% from the prior year period, including a 14.7% decline in baccarat drop. Excluding baccarat, GGR on the Strip increased 3.7% in 2015, inclusive of a 5.2% annual increase in slot win.”
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