Regional casinos in the U.S. have encountered challenging times as 2026 begins, due in part to the recent round of winter storms that have moved across the country.
U.S. regional casinos are considered non-Las Vegas Strip properties, like those in the Midwest, Northeast, South, etc., often serving local or drive-in markets.
According to a report by J.P. Morgan's gaming analyst, Daniel Politzer, visitation to these casinos dropped by 5.4% in January. The harsh winter weather, with its snowstorms and icy conditions, deterred many casual visitors, affecting overall foot traffic.
But what exactly caused this decline, and what could it mean for casino performance throughout the year? A closer look at the details and the potential implications for the bottom line of U.S. casinos is telling.
Understanding these dynamics is crucial as operators and investors navigate the challenges and opportunities that 2026 may present.
How Winter Storms Affect Casino Visitation
During January, severe winter storms hit many parts of the U.S., particularly in the Midwest, South, and East.
The storm brought snow, ice, and extreme cold, making travel dangerous and hazardous. For regional casinos, where most visitors drive from nearby areas, this meant fewer people were willing to take the risk to visit.
Public officials and news broadcasts urged people to avoid non-essential travel, further discouraging casual visitors to casinos. Because these visits are often spontaneous or planned for weekends, a stormy weekend can significantly impact attendance.
Why Casino Revenue Stayed Strong
Interestingly, even though fewer people visited regional casinos, revenue (or gross gaming revenue, GGR) was projected to increase by about 2%.
Several factors could explain this increase in spending:
- Patrons at the casinos might have placed larger bets or spent longer periods gambling.
- Favorable game outcomes, where the house wins a higher percentage of bets, could have contributed.
- Casinos might have attracted higher-value customers who were less deterred by the weather.
This suggests that the visitors who braved the weather were more committed gamblers. These core visitors might have gambled more than usual, raising average spending per person.
The Bigger Picture: Regional Casinos in 2026
Over time, regional casinos had already been experiencing a decline.
Despite the December dip, some states still managed revenue growth, thanks to online and sports betting or high-end play.
- December 2025: Visitation fell 1% due to a winter storm in the Northeast and Midwest, resulting in a 2.5% revenue decline.
- October 2025: Visitation increased 5%, contributing to a 5% boost in revenue over 2024.
- September 2025: Visitation dropped 11% month-over-month, though revenue remained up 2% year-over-year.
Despite challenges, the recent trend shows that revenue can still rise even with fewer visitors, provided those who gamble spend more.
What This Means For Casino Operators
For casino operators, this could be a silver lining, potentially leading to higher profits if the trend continues. However, if low visitation persists due to ongoing economic or weather issues, it could threaten long-term growth.
Investors are keeping a close watch on these patterns, especially those interested in casino companies like Caesars Entertainment and Penn Entertainment. If weather disruptions or economic factors continue, operators may need to adapt further to maintain profitability.
All in all, while regional casinos faced a tough start to 2026, committed players kept the revenue strong. As we move forward, understanding how external factors like an impending winter storm can influence casino trends will be key to navigating the industry.
If you do get snowed in and can't make it to a casino, you can always try these winter-themed games we found at various sweepstakes casinos. Just remember that whenever you gamble, you always exhibit responsible gambling habits.
