MGM Springfield casino earnings fall $4.7m in October

After what President and Chief Operating Officer for MGM Springfield, Mike Mathis called a “solid visitor volume” for the new casino’s first full month of operations, a recent report reveals that players at both the Springfield venue and the Penn National Gaming-owned and operated, Plainridge Park Casino, wagered less in October.

October gross gaming revenue:

According to the Massachusetts Gaming Commission (pdf), for the month of October, the $960 million resort casino that opened on August 24 this year reported bringing in upwards of $22,242,742 million in gross gaming revenue, which includes more than $7 million from table games and over $14 million from slots.

Slide from September gross:

The p was $4.7 million less than the $26,952,096.39 in gross gaming revenue MGM reported for September’s gross gaming revenues.

Players 7BALL at MGM Springfield reportedly wagered a total of $165,684,708 on slot machines in October, which the casino profited at a rate of 8.83 percent, compared to 9.55 percent the month prior.

Taxes paid out to state:

According to the commission, the payout to the state in October from the MGM Resorts International-owned property was $5,560.685 in taxes.

To date, $58,651,815 in gross gaming revenues has been generated by MGM Springfield resort casino and of that taxes totaling $14,662,953 has gone to the state’s coffers.

Expected gross gaming revenue:

According to Mass Live, previously, the resort casino situated in the heart of Metro Center, Springfield, Massachusetts reported to the state’s gaming commission that approximately $418 million in gross gaming revenue was expected from year one of operations, with that p normalizing to somewhere in the neighborhood of $500 million annually by the third year of operations.

Taxed at 25 percent:

A Category 1 resort casino, MGM Springfield is taxed on 25 percent of its gross gaming revenue. Those revenues are apportioned to various specific state funds as determined by state law. Under the terms of its host community agreement, in lieu of taxes, MGM makes payments, which began this year, to the city of about $17.6 million annually.

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Tax allocation from Plainridge Park:

Meanwhile, Plainridge Park Casino, which is located about 84 miles east of MGM Springfield reported gross gaming revenue in the amount of $13,525,789 in October. Opened in 2015, the Category 2 slots facility is taxed on a percent less than 50 percent of its gross reported gross, with local aid receiving 82 percent and the Race Horse Development Fund allocated 18 percent.

In October, the harness racing track and slot machine parlor that is just 40 minutes from Boston paid taxes to the state in the amount of $6,627,636.

To date, approximately $285,489,004 in total assessments and taxes have been collected by the state from MGM Springfield and Plainridge Park Casino since their separate openings.