Tribal operators post record $41.9bn in revenue after strong FY23

The National Indian Gaming Commission has posted a record gross gaming revenue (GGR) total of $41.9bn for FY23, surpassing the previous record of $40.9bn set in 2022.

The top-line figure was determined by audited financial statements from 527 gaming operations within 245 tribes across 29 states in eight different regions and accumulated in a 2.4% year-on-year (YOY) increase in comparison to 2022.

The NIGC requires each tribe to submit its financial statements covering all financial activity in Class II and Class III gaming operations on Indian lands for each fiscal year within 120 days of the end of the fiscal year.

All eight of the regions covered by the NIGC recorded a YOY increase, with Sacramento leading the way in terms of GGR with its 87 operations amassing $12bn, representing growth of 1.8% when compared to the $11.7bn recorded in 2022.

D.C. followed in second with $9.2bn from 44 operations, marking a 2.4% YoY increase from 2022’s tally that came in just shy of $9bn from three less operations.

St. Paul made up the last of the top three by posting $5.1bn in GGR from 95 different operations. In 2022, the region recorded $4.9bn in revenue, 2.8% less than 2023’s total.

In fourth, Portland posted a total of $4.5bn in revenue, which represents the smallest YOY change out of all eight regions at 1.1%, up from 2022’s $4.4bn.

There wasn’t much to separate the likes of Phoenix, Tulsa and Oklahoma City, all of whom generated GGR totals of $3.9bn (5.5% YOY increase), $3.6bn (2%) and $3.2bn (2.1%) respectively.

Phoenix actually possesses the lowest number of operations out of the aforementioned trio with 54, compared to Tulsa’s 74 and Oklahoma City’s 75.

Rapid City ended 2023 generating the lowest GGR out of all NIGC regions with $425m, which still represents a 4.9% increase from 2022’s total of $406.1m.

Also included within the data, 55% of all individual operations that submitted reports to the NIGC generated less than $25m in GGR, with just 9% posting $250m or more.

The NIGC’s acting chairwoman, Sharon M. Avery, and vice chair Jeannie Hovland discussed the findings from the report while speaking at Wisconsin Gaming Regulators Association Summer Conference in Green Bay.

Avery insisted that the growth across all regions is a testament to how vital a successful regulatory body can be.

He said: “This year’s GGR results demonstrate how a strong regulatory framework and diversity of tribal gaming enterprises generate growth in the gaming industry. 

“Again, this year, tribal gaming operators and regulators have proven that their ingenuity and tenacity are catalysts for growth, even in the face of an ever-changing gaming landscape. This steadfastness will ensure that tribal gaming remains a valuable resource for continued economic sustainability in tribal communities.”

It was a feeling shared by Hovland, who added: “I congratulate the industry regulators, operators, and tribal leadership on another successful year. 

“Their hard work in meeting and overcoming the challenges presented by an increasingly competitive market is evidence that tribes are resilient, and their gaming expertise is yielding benefits for their nations as IGRA [Indian Gaming Regulatory Act] intended.”