Las Vegas, the city that never sleeps, is grappling with a summer that’s proven to be unexpectedly quiet. After years of record-breaking casino wins and a rebound in tourism following the pandemic, 2025 has brought a noticeable chill to the Strip’s red-hot streak. The numbers, straight from the Nevada Gaming Control Board and local economic experts, paint a picture of a city adjusting to new realities—some temporary, some perhaps more lasting.
For three consecutive years, Las Vegas casinos posted record gambling wins, with Nevada’s annual casino revenue hitting nearly $16 billion in 2024, according to The Daily Upside. International arrivals at Harry Reid International Airport surged 14% last year to 2.7 million, still shy of the 2019 peak but a sign of the city’s global appeal. By the end of 2024, Las Vegas had drawn 41.6 million visitors—a 2.1% increase that nearly matched pre-pandemic levels. The optimism was palpable, with conventions and blockbuster events like the Super Bowl and Formula One Grand Prix driving unprecedented momentum.
But as the calendar flipped to 2025, the mood shifted. The Las Vegas Convention and Visitors Authority (LVCVA) reported that visitation dropped 7.8% in March, 5.1% in April, 6.5% in May, and a striking 11.3% in June compared to the same months last year. Year-to-date, overall visitation is down 7.3%. Convention attendance, a backbone of the city’s hospitality sector, fell 11% in June to 374,000. International arrivals at Harry Reid Airport slid 10% year-over-year in June, and the number of foreign visits to the U.S. overall fell 3.4% that month. The softness in tourism has been felt across the Strip and beyond.
Hotel occupancy rates offer another telling metric. The STRAT Hotel, Casino & Tower saw occupancy plunge to 60% in June 2025, far below the Strip’s 82% average and the 88.3% recorded in June 2024. Across the city, hotel occupancy fell about six percentage points to 78.7%, and revenue per available room—a key financial indicator—dropped 14% to $128.78. It’s not just fewer visitors; those who do come are spending less on rooms, food, and entertainment.
Financial results from major operators reflect the downturn. Caesars Entertainment reported a 3.7% revenue drop in Las Vegas for the second quarter of 2025, with net revenues falling from $1.095 billion in 2024 to $1.054 billion and net income dropping from $268 million to $212 million. MGM Resorts experienced a 4% revenue decrease in Las Vegas over the same period. Blake Sartini, chairman and CEO at Golden Entertainment, noted the dramatic drop in hotel occupancy at The STRAT, underscoring the widespread impact.
Yet, the picture is not uniformly bleak. Red Rock Resorts, which focuses on the locals market, reported a 6% revenue increase in Las Vegas operations in the second quarter of 2025, rising to $513 million, with adjusted earnings up 7% to $239.4 million. Wynn Resorts also saw its Las Vegas operating revenue climb nearly 2% to $638.6 million in the same period. According to the Nevada Gaming Control Board, casino revenue citywide actually rose 3.5% in June, even as visitation declined. Shelley Newell, a senior economic analyst for the board, explained, “The gaming win numbers month-over-month have been overall consistent. We continue to monitor the data and find out what led to large wins or large losses for the licensees.”
So what’s behind the summer slump? Executives and analysts alike are searching for answers. Caesars CEO Tom Reeg admitted, “It’s tough to put your finger on that. This is kind of normal seasonality that we haven’t seen in awhile.” He pointed to the absence of marquee entertainers like Adele and Garth Brooks, who helped drive traffic in previous years, as well as the end of the extraordinary run of events like the Super Bowl and Formula One debut. “Vegas started leaking as a market, kind of end-of-May. That leak accelerated into June,” Reeg said. He expects third-quarter results to mirror the second quarter but remains optimistic about a rebound later in the year and into 2026.
One significant factor is the decline in Canadian tourism. Canada remains Las Vegas’s top foreign market, sending 1.4 million visitors last year and supporting more than 43,000 jobs in southern Nevada, according to UNLV’s Center for Business and Economic Research. But the LVCVA reported a roughly 15% drop in Canadian visitors in the first half of 2025. Air Canada and WestJet, the two main carriers, saw passenger arrivals fall 33% and 31% respectively in June. “If you look at our missing room nights this year, Canadians are a significant piece of that, even though they are only 3% of the total pie for us,” Reeg noted during a recent earnings call.
Economic uncertainty, both domestic and international, is also playing a role. The city’s unemployment rate jumped to 5.8% in June from 5.2% in April, while the national rate held steady at 4.1%. The effects of U.S. trade, tariff, and immigration policies under the Trump administration have contributed to a broader slowdown in foreign visits, as reported by The Daily Upside. Softening consumer confidence and a lighter convention calendar have further dampened demand.
Despite the challenges, Las Vegas isn’t folding its hand just yet. Major operators continue to invest in new experiences and renovations aimed at attracting younger customers and high rollers alike. Red Rock Resorts has been expanding its Durango Casino & Resort, adding 25,000 square feet to the gaming floor and 120 new high-limit slots, with completion expected by December 2025. Since opening in late 2023, Durango has added 108,000 customers to its database. Renovations at properties like Sunset Station have succeeded in lowering the average age of visitors, a long-term goal for many casinos. “We really have been able to lower the age group we’ve been able to attract to the property,” said Frank Fertita III, CEO and chairman of Station Casinos.
There’s also a noticeable uptick in “retail” or uncarded players—guests who choose not to participate in player tracking programs. This shift has caught the attention of major players like MGM, Caesars, and Boyd Gaming, who are now reconsidering how they engage with this growing segment of visitors.
Looking ahead, there are reasons for optimism. The city’s convention calendar is expected to pick up in the coming months, and major events such as the Formula One World Championship Las Vegas Grand Prix in November and the soccer World Cup in December are poised to draw global crowds. Andrew Woods, director of UNLV’s Center for Business and Economic Research, captured the city’s hopeful spirit: “There are some serious headwinds in the economy right now that are causing a lot of concern, but it’s too soon to say this is a trend and not just seasonal.”
Las Vegas has weathered storms before, and with its world-class hospitality infrastructure, innovative operators, and a slate of high-profile events on the horizon, the city is betting that its luck will turn once again.
