The gaming industry was bewildered when statistics churned out the yearly gross income results. Recession and inflation had hit the country bad. The gaming industry had plummeted with no one willing to cash in big bucks in a failing economy. But with that phase over, things were supposed to turn its face from bleak. But with the latest results, that doesn’t seem to be the case. In the gaming sector, the majority in this business realized that though the meltdown had become a thing of the past; its effects still persisted since most of the daily stock prices (average) where still plunging and where far from generating normal profit levels. The scenario was the same even in Las Vegas, Nevada.
Out of the ten casino operators and the slot machine manufacturers, seven of them have shown to have average daily price to have dropped from its mark, this December, below last December’s (2010) profit levels. The statistical values where generated by Las Vegas based Applied Analysis (financial consultant). To give a clear picture how the scenario has changed this December, Applied Analysis struck up a statistical figure that suggests there has been an average decrease of 6.7 percent in profit margins compared to the last month, ,i.e.; November. There have conducted the survey based on 300 market variables that showed an aggregate fall of 426.90.
More shocking news in this gaming industry with reports coming in stating five companies has been devastated by double digit declines. WMS industries of the slot machine manufacturers faced their biggest roadblock since their inception, with a 57 percent decline; they have now two pathetically performing reporting quarters. December has been the worst month for the gaming industry, with six of the companies that have been analyzed by the Applied Analysis showed a nosedive in the specified month. Similar news came in from Las Vegas Sands Corp which showed a decline of 6.5 percent in their annual profits as compared to last year. MGM Resorts International showing a decline of 27 percent. The ones coming in second when it came to declines is Boyd Gaming Corp. This company saw a drastic fall of 33 percent since last year.
But there were some who ruled the roost in such troubling times. The likes of individual operators and manufacturers met with quite some success in their business ventures. But there is some good news over the horizon; things are starting to look up. There have been reports of companies that have made profits in such an economy. Wynn Resorts Ltd has got a 7 percent increase over last year profits.
Though the overall monetary drought has been attributed to the recession and failing economy, but the stocks bungee jumping into the abyss is being caused due to the internet based poker. There has been revision of the online gaming restrictions (the Act of 1961) by the Department of Justice U.S leading to avalanche growth of online poker players and this had had repercussions on the Nevada gaming industry.