Las Vegas Strip and downtown casinos closed out 2025 with a slight uptick in gambling revenue despite a significant drop in visitors and signs of pricing fatigue among customers, according to public data and industry analysts.

The Las Vegas gaming industry avoided a noteworthy downturn, and experts say the end-of-year numbers reflect a healthy market that has moved past the post-pandemic surge and has entered a more tempered phase.

Amanda Belarmino, an associate professor at UNLV’s William F. Harrah College of Hospitality, said that “2025 was still a much better year” than others in the post-COVID-19 era, and the recent figures “show that we are now enjoying a level of gaming revenue we thought we would never see again after the Great Recession.”

Belarmino added that year-over-year comparisons were difficult because 2024 was a unique year for Las Vegas, which featured “robust convention” attendance and “outstanding events,” such as the Super Bowl, that were not replicable in 2025.

“There is every reason to be optimistic about the future as news of our death has been greatly exaggerated,” she said.

Gambling in 2025 by the numbers

Statewide gaming revenue figures show 2025 was a second consecutive record-setting year. Nevada’s nonrestricted casino licensees won $15.8 billion from gamblers last year, a year-over-year increase of 1.2 percent over the previous record of $15.61 billion set in 2024, according to the state Gaming Control Board.

Downtown Las Vegas casinos also posted a new annual high in 2025, generating more than $951.2 million, up 2.1 percent from the former record-setting $931.3 million in 2024.

The Strip finished 2025 essentially flat for the second consecutive year, with the resort corridor’s casinos reporting $8.82 billion in revenue, up 0.11 percent from 2024’s $8.81 billion, both of which are down from the all-time high of $8.9 billion reported in 2023.

December proved particularly challenging on the Strip, according to Chad Beynon, senior gaming, lodging & theatres analyst at Macquarie Equity Research.

Strip casinos generated $827.7 million in gaming revenue for the month, down 6 percent year-over-year. A lower-than-average slot hold of 7.2 percent, which Beynon noted was below the long-term average of 8 percent, offset a 1.4 percent increase in slot volume, while baccarat volume rose 1 percent but faced tough hold comparisons.

The result was a 7 percent decline in slot revenue and a 5 percent decrease in table games revenue for the month.

Nonetheless, December’s gaming revenue on The Strip was the highest monthly total of the year, and Beynon said the firm’s forecasts for a 1 percent and 1.4 percent year-over-year increase in the first quarter of 2026 and at year’s end, respectively, “remain unchanged.”

Non-gaming numbers tell another story

The year-end gaming totals remained steady even as overall visitation and other key tourism metrics went down. The contrast suggests gaming revenue could have been even higher if tourist counts had held steady.

According to the Las Vegas Convention and Visitors Authority, 38.5 million people visited the city in 2025, down 7.5 percent from 2024. It is the first year-over-year decline in the post-COVID-19 era and the lowest total since 2021.

Hotel occupancy dipped slightly to 80.3 percent, with Strip occupancy down 3.2 percent and downtown Las Vegas dropping 3.5 percent, while average daily room rates fell 4.7 percent on the Strip and 5.9 percent downtown. Total occupied room nights declined nearly 6 percent, according to the LVCVA.

Anthony Lucas, professor of casino management at UNLV and a former gaming industry executive, said weaker international visitation played an outsized role in the annual numbers.

“Las Vegas suffered in 2025 from the reality that international travel to the U.S. became less desirable, especially in critical feeder markets such as Canada,” Lucas said. “In general, the further someone travels to Las Vegas, the more they spend. Therefore, any deterrent to international visitation produces a disproportionate effect on revenue.”

Optimism abounds for Las Vegas in 2026

Despite the slowdown in 2025, top casino executives expressed confidence that Las Vegas will rebound in 2026.

Bill Hornbuckle, president and CEO of MGM Resorts International, and Keith Smith, president and CEO of Boyd Gaming Corp., told business leaders at a recent Vegas Chamber conference that the city’s tourism and hospitality industry remains fundamentally strong.

“The reality is occupancy is down 3 percent, and visitation is down,” Hornbuckle said, before adding, “We are as solid as a rock. I read headlines that Las Vegas is dead. Stop.”

Smith echoed Hornbuckle’s confidence, saying there is “a core demand for Las Vegas,” and visitors are still spending money.

“There’s no question that visitation is down, and it’s not anything we haven’t seen before,” he said. “We tend to make more out of it than it is. Is it concerning? Sure. But this has happened to us before and it’s not the end of the world.”

Both executives highlighted upcoming conventions, major special events and new entertainment offerings as reasons for optimism in 2026. They stressed that Las Vegas’ unique combination of world-class entertainment, restaurants and experiences will continue to draw visitors, even amid temporary slowdowns.

Steve Hill, president and CEO of the LVCVA, shared a similar message the day prior when the city’s year-end visitation numbers were released.

“Las Vegas remains a category of one,” he said. “Our focus will continue to be providing value to our visitors and delivering experiences that elevate our place as the leading leisure and business destination.”

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