Nevada Gaming: Assets, Liabilities and Expenses, 1984-2017 Statewide Casinos’ Revenue, Liabilities, Assets, and Selected Expenses Financial structures in Nevada’s gaming industry have shifted tremendously over the past decade. These changes, which center on the assumption of unprecedented levels of debt by casino operators, are amply reflected in several key metrics for the industry, chiefly the rising level of liabilities.
Nevada gaming is in an unprecedented financial position. The total assets of Nevada casino operators have increased dramatically since 1999, but so have the total liabilities, which now eclipse total annual revenues. Until roughly 2007, annual casino revenues (including both gaming and non-gaming departments) remained well above Nevada casinos’ total liabilities; since then, liabilities have well outstripped annual revenues.
Definitions • • •
For all reporting areas, each year’s data is for the fiscal year (July-June) in question. All data is for all Nevada casinos with gross gaming revenues of more than $1,000,000 per year. Unless otherwise specified, all totals are in dollars.
Jump to: Total Assets vs. Total Liabilities Assets vs. Liabilities: Selected Detail Revenues vs. Liabilities, 1984-2017 Revenue and Net Income (Loss) Before Federal Income Taxes General & Administrative Expenses: Selected Detail Long-term Debt & Interest vs. Revenues Long-term Debt & Interest as Percentages of Revenue Total General & Administrative Expenses vs. Revenues Interest Expense as a Share of Total Revenues
Until roughly 2007, annual casino revenues (including both gaming and non-gaming departments) remained above Nevada casinos’ total liabilities. Since then, however, liabilities have well outstripped annual revenues.
While revenues have increased in the past (at the rate of 451% since 1984), Long-term debt has risen at a much greater rate (936%), which has led to a corresponding rise in interest payments. University Libraries
As casinos’ long-term debt has grown, the percentage of casino revenues dedicated to interest payments has risen as well. From 2008 to 2014, casinos owed more in long-term debt than they earned, collectively, in a single year. University Libraries
University of Nevada, Las Vegas
Total General & Administrative Expenses vs. Revenues
How do rising interest payments, write-downs, and other expenses impact casino financial results? The percentage of casino revenues consumed by general and administrative expenses has risen alarmingly since fiscal 2008; from 2009 to 2011, it represented over half of all state casino resort revenues. University Libraries
Preferred citation: David G. Schwartz and Riva Churchill. Nevada Gaming: Assets. Liabilities, and Expenses, 1984-2017. Las Vegas: Center for Gaming Research, University Libraries, University of Nevada Las Vegas, 2018.
For more information about this report or the Center for Gaming Research, contact: Dr. David G. Schwartz, Director | ph (702) 895-2242 | [email protected]