The gaming industry in the Garden State is robust, as recently reported by the New Jersey Division of Gaming Enforcement when it revealed August as the second-highest revenue-generating month in its history.
There was a time not so long ago when the Boardwalk in New Jersey was a depressing 2½ mile stretch of tired-looking casinos whose halcyon days had long since passed. However, there has been a resurgence since the COVID-19 pandemic, with investments in all of the properties having restored them to their former glory.
The makeover is paying off, as is the technology that brings gambling to the masses without them having to leave their homes. The gaming revenue in New Jersey, as reported by the New Jersey Division of Gaming Enforcement includes in-person gambling, internet, and sports betting which collectively generated $531 million in August.
This was a 13% year-over-year increase, and the most important metric, in-person gambling done at one of the nine Atlantic City casinos, rose 2.3% from last July to $280.2 million.
That’s a vital statistic for casino owners because any revenue derived from online sports betting and iGaming (casino games offered online) must be shared with sportsbook operators and technology platform providers that can take as much as 70% of the profits.
We should also note that the New Jersey sportsbooks seem to be punishing their customers, and the assault continued in August with the third-highest adjusted gross revenue numbers in the state’s history with over $96 million in August on a 13.2% hold.
New Jersey Gaming Healthy
The growing in-person gaming numbers are a relief to the casino owners, but they are still down nearly $6 million from pre-COVID August 2019. Only three casinos won more in August 2023 than they did in August 2019: Borgata Hotel Casino & Spa, Hard Rock Hotel & Casino Atlantic City, and Ocean Casino Resort.
Jane Bokunewicz, director of the Lloyd D. Levenson Institute of Gaming, Hospitality, and Tourism at Stockton University, who studies the Atlantic City gambling industry, says that the industry trends are encouraging.
“If New Jersey follows nationwide trends, we may be looking at the industry’s best year for (gross gambling revenue) in more than a decade,” she told the Associated Press.
James Plousis, chairman of the New Jersey Casino Control Commission, said: “Atlantic City’s total gaming revenue in August exceeded $500 million for only the second time in history, and it is on pace for a very strong year. The casino hotels reported their second-highest total gaming revenue since inception and their highest result in 18 years.”
Casinos Breakdown in August 2023 (compared to August 2022)
- Borgata won nearly $118 million (-2.3%)
- Hard Rock won over $59 million (+ 10%)
- Golden Nugget Atlantic City won $54 million (+21.5%)
- Ocean won $44.6 million (+11.7%)
- Bally’s Atlantic City won $23.3 million (+15.4%)
- Tropicana Atlantic City won $33 million (-6%)
- Harrah’s Resort Atlantic City won $24.5 million (-2.5%)
- Caesars Atlantic City won $22 million (-1%)
- Resorts Casino Hotel won $17.6 million (-5.6%)
As for digital-only platforms, Resorts Digital won over $99 million, which was up a stunning 128% from August of last year. Caesars Interactive Entertainment NJ took in $6.6 million in profits, which was a decrease of over 25% from last year at this time.