Detroit Casinos See Earnings Plunge Amid Labor Dispute

Gambling houses in the Motor City experienced a decline in earnings due to the ongoing labor dispute, with October earnings plummeting to $82.8 million.

The three commercial gambling establishments in Detroit witnessed a decrease in their earnings to $82.8 million (£66.5 million/€76.2 million) in October, as gambling venues in Michigan were impacted by the ongoing labor action.

Certain gambling house employees in Detroit have been participating in a labor action since October 17. This has resulted in partial closures of gambling houses, with some facilities being closed for nearly a month.

This inevitably affected the monthly performance in October, with earnings decreasing by 19.5% year-over-year, from $102.8 million to $82.8 million. October figures were also 18.5% lower than September’s $101.6 million.

Specifically, Detroits table games and slot machine earnings were $81.7 million, down 18.9% year-over-year. This figure was also 18.3% lower than the September total.

The remaining $1.1 million was attributed to sports wagering qualified adjusted gross receipts (QAGR), which was down 46.3% from 2022. Sports wagering QAGR was also 28.6% lower than September.

In terms of sports wagering handle, Detroit consumers wagered $18.1 million at gambling houses in October. This was a significant drop from $34.2 million in the same period last year, but it was flat compared to September 2023.

MGM is the clear leader in the Detroit market.
Examining each gambling house, MGM is far ahead in Detroit. The venue has a 46% market share, with earnings of $37 million.

Michigans trio of gambling establishments witnessed a collective $3 million in gaming and table game earnings during October, with sports wagering contributing an extra $365,705.

MGM closely trailed, securing 31% of the Detroit market in October. The gambling house generated $25 million in gaming and table game revenue, coupled with $669,028 in sports betting earnings.

Coming in third was Greektown Casino-Hotel, claiming a 23% market share for the month. The casino and table games brought in $19.4 million, while sports wagering produced $90,430.

In terms of levies, the three gambling establishments paid $6.6 million in gaming taxes to the state of Michigan in October. Moreover, they paid $10.1 million in wagering taxes and development agreement payments to the city of Detroit.

Regarding sports betting activity, it generated $42,531 in gaming taxes for the state of Michigan. The casinos also reported $51,982 in wagering taxes to the city of Detroit.

Sign up for the iGaming newsletter.