The rise of online gambling has significantly impacted Pennsylvania’s overall gaming revenue, with the Pennsylvania Gaming Control Board reporting a combined total of $557,666,142 for July 2024. This figure represents an increase of 11.4% compared to the previous year. The board attributes this growth to a substantial 41.3% increase in iGaming slot revenue, indicating that the online gaming market is far from reaching its peak.
According to Doug Harbach, director of communications for the Pennsylvania Gaming Control Board, the potential for further expansion remains strong. “I think we probably have not peaked in regards to gaming through online,” he stated. Harbach also noted the impact of offshore gambling sites, which he believes could be hindering even higher revenue figures for the state.
Local Casino Performance Highlights Growth and Challenges
Mohegan Pennsylvania, located in Plains Township, reported a revenue increase of 2.3% in July, rising from $18,786,927 to $19,221,388. This growth was primarily driven by a 38.5% uptick in iGaming revenue. However, retail slot machine revenue saw a modest increase of 2.9%, while retail table games revenue experienced a significant decline of 22.8%.
In contrast, Mount Airy Casino Resort in Paradise Township faced a revenue decrease of 5.2%, falling from $20,974,319 to $19,892,839. While retail slot machine revenue increased by 0.35% and retail table games revenue rose by 1.7%, iGaming revenue at this location dropped by 29.3%, highlighting the contrasting fortunes of different casinos within the state.
Future Prospects and External Competition
Both properties reported declines in sports wagering revenue, with Mount Airy experiencing a drop of 59.6% and Mohegan Pennsylvania seeing a decrease of 17.2%. Despite these challenges, Harbach is optimistic about the future. He anticipates that interest in sports gambling will surge with the start of the college and professional football seasons this fall. “The 800-pound gorilla is ready to hike the ball, and when that happens, you will see the sports wagering numbers increase significantly,” he remarked.
Harbach also pointed to the rise of skill games—electronic video games found in bars and gas stations—as a potential factor affecting casino revenues. He noted that many casinos have conducted studies indicating that the presence of numerous slot-like machines within a short radius of their facilities is having a detrimental impact on their overall numbers.
As online gambling continues to expand, the Pennsylvania Gaming Control Board remains focused on monitoring trends and addressing the competitive landscape that includes both domestic and offshore operators. The evolving market dynamics suggest that while the state’s gaming revenue is currently on a positive trajectory, ongoing challenges from external competition and shifting consumer preferences will require adaptive strategies from local casinos.