hat’s the good news, but in Las Vegas there is still some work to be done in terms of boosting nongaming revenue. Revenue not tied to gambling accounted for 61% of all revenue generated by Strip casinos in 2009, but experts believe it will take a while to get back to those levels, according to the Las Vegas Sun.
When the economy was robust, companies such as MGM Resorts International (MGM), Las Vegas Sands (LVS) and Wynn Resorts (WYNN) focused more on high-end offerings looking to attract a different caliber of consumer after Las Vegas had spent years focusing on so-called middle market consumers, the Sun reported.
Those stocks are all higher today and the trio performed well last year, but nongambling revenue on the Strip has plummeted more sharply than gambling in the downturn, disproportionately hurting Las Vegas more than other casino markets throughout the country, the Sun reported, and that potentially underscores the need for Las Vegas Sands, Wynn Resorts and others to find new ways to generate nongaming revenue and do so quickly.
Other strong performs in the segment on Tuesday include Full House Resorts, Empire Resorts and Macau player Melco Crown Entertainment.