Given the 5% increase in May passenger volume, total Strip gaming revenue growth could have reached double digits.
Following a disappointing April, May appears to have been a much better month on the Las Vegas Strip. McCarran Airport just released May data that showed the number of enplaned/deplaned passengers grew 5.1% YoY, against a -1.6% comp. In April, passenger volume increased 2.3% (-5.0% comp). Despite the positive growth, April gaming revenues actually decreased 2.3% on the Strip despite a modest comp of down 0.9% in April of 2010.
Using our predictive model, we estimate that May Strip gaming revenues will increase 8-12% assuming positive auto traffic, normal hold percentages, negative slot handle per visitor, and positive table drop per visitor. Last year, May gaming revenue fell 6.4% so the comp is easy, due in part to below normal table hold percentage. Here are our estimates for May:
