Summary
- Fiscal year revenues increased by 38.89%.
- The industry has shown stabilization after closures from the pandemic.
- Consistent year of operations yields positive results.
The gambling industry in Puerto Rico is doing well. The Government Gaming Commission recently revealed the earnings for the domestic casinos in the region, with earnings of over $355 million recorded.
This is a growth of 38.89% when compared to the 2021 fiscal year. The gaming industry growth has resulted in a boost to the overall economy of the island, which has increased over 14%.
Growth After the COVID-19 Pandemic
It seems that Puerto Rico’s gaming industry is seeing growth after the market has stabilized post-COVID-19. As casinos face less restrictions and are able to remain open on a consistent basis, players are visiting in high numbers. This has led to the increase in overall revenue totals.
President of the Casino Committee of the Puerto Rico Hotel and Tourism Association, Miguel Vega, stated that the growth is most likely due to stabilization. The revenues have improved due to the lack of restrictions. Casinos have been more consistent with operations over the past year and despite employment challenges, regular schedules have allowed the venues to gain ground from 2021.
The trend in Puerto Rico is the same that the United States is experiencing when it comes to revenue earnings. In the most recent quarter, US operations saw over $15 billion in earnings, a boost of 2% when compared to the previous record of $14 billion.
More on the 2022 Calendar Year
In 2022, the calendar year saw mixed results for revenues. From May to September, Puerto Rico’s gaming industry stayed in the negative with a more than 3% drop in revenues. By October though, the industry saw a turnaround and surpassed its October 2021 earnings by over 15% with $5.2 million.
May to June saw a slowdown but by the fall, the island was seeing a pickup of revenue earnings. Officials feel that there may be a greater increase in revenues for the remainder of the year, but the outcome is genuinely uncertain. It can be difficult to predict how the industry will succeed but based on the average, it could fall either way.
Officials are positive though that the fiscal year 2023 will end in the positive. There are currently 17 casinos operating in Puerto Rico with around 5,000 real money slots in operation. These machines provide around $300 million a year in earnings. Over 3,000 people are employed thanks to the gaming industry of the island.
Profits from the games go towards the General Fund, as well as the Puerto Rico Tourism Company and local University. On top of casino earnings, the sports betting industry is also helping the local economy, producing around $18 million a year.
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