Another Strip operator suffers summer swoon, remains optimistic going forward
The summer slowdown that has made life difficult for casinos up and down the Las Vegas Strip has also cast a shadow over its most recognizable silhouette.
Casino operator Golden Entertainment said second-quarter hotel occupancy fell to 69 percent at The Strat, down from 73 percent a year earlier. In June, occupancy slipped to just 60 percent, down from 76 percent a year before.
Executives said the slump should ease later this year as group bookings and convention traffic pick up. The Las Vegas-based company is also counting on continued investment in The Strat’s casino floor and amenities to capture demand once visitation rebounds.
Charles Protell, Golden’s president and chief financial officer, said in earnings call Thursday that weaker Strip demand continued in July, but that bookings are stabilizing this month.
He also said the company remains optimistic about the outlook in the fourth quarter this year and the first quarter next year, when convention attendance typically climbs.
Golden operates eight Nevada casinos and 72 gaming taverns, including PT’s, Sierra Gold and Lucky’s brands.
The company’s second-quarter revenue was $164 million, down 3 percent from a year earlier. Quarterly operating income of $11.9 million was down from $13.5 million a year earlier. The company attributed the drop primarily to softening demand on the Strip and an unusually low table games hold percentage in Laughlin.
Revenue from Golden’s Nevada casino resorts segment totaled $98 million, down from $101 million in the same quarter last year.
Golden Chairman and CEO Blake Sartini noted that weekend occupancy at The Strat remains strong, often above 90 percent.
Still, Protell said that weekday volumes are much lower, and some amenities, such as restaurants, are closed on certain weekdays to align with demand.
As he put it, the company “aggressively managed costs to mitigate the impact of lower revenue” at The Strat last quarter.
Looking ahead, Golden executives voiced optimism about the potential benefits from recent legislative changes, including tax relief on tips and new deductions for seniors, which they expect will provide meaningful tailwinds in 2026.
The company anticipates these changes will support increased discretionary spending among locals.
“We see a very positive outlook continuing for the local economy, which I think benefits both, obviously, our local properties, as well as our taverns,” Sartini said.
Contact David Danzis at ddanzis@reviewjournal.com or 702-383-0378. Follow @AC2Vegas_Danzis on X.