Online casinos in New Jersey continue to perform well and grow as the state celebrated yet another huge month in terms of revenue generation. Based on figures that were shared by the state’s Division of Gaming Enforcement, online gaming from the state’s casinos and their partners produced $133.1 million, which was a growth of 24.4% compared to the same period last year when the state produced much lower $107.1 million.
In the first 6 months of this year, online casinos in New Jersey produced combined revenue of $814.5 million, which was an increase of more than 28% compared to the $634.2 million generated last year. In-person betting at the city’s 9 casinos reached $229.1 million which was an increase of more than 6% compared to the $214 produced in June last year.
Year to date, the brick-and-mortar casinos in Atlantic City produced a betting revenue of $1.31 billion. This is a growth of 18% in comparison to the $1.11 billion that was produced during the first 6 months of last year. Sports wagering revenue produced by racetracks, casinos, and their associated online partners reached $39.2 million in June this year.
Although this was an impressive performance, it was still a 16.2% drop compared to the same period last year. This year in June, sportsbooks in New Jersey managed to generate $308.7 million, which was a slight drop compared to the $368.3 million that was produced between January and June 2021.
In total, casinos, racetracks, and their partners in New Jersey produced a combined gambling revenue totaling $401.5 million in June this year. This was a 2.2% boost compared to the $392.8 million produced in June last year. Year to date, online casinos in New Jersey have managed to produce $2.43 billion, which is an increase of more than 15% compared to the $2.11 billion that the state’s online casinos produced during the same period in 2021.
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Improvements experienced in July
In July, casinos and their partners recorded iGaming wins of $136.7 million, which was a growth of 15.2%. This was a slight increase from the $133.1 million that was produced last month. Out of the AC’s 9 casinos, Borgata topped the list in terms of internet gambling and sports betting revenue in New Jersey.
Data shared by the state’s Division of Gaming Enforcement revealed that Borgata was the top performing casino in Atlantic City. Based on NJDGE, Borgata produced an excess of $124 million from in-person punters, sports bettors, as well as internet gamblers. All online and sports betting revenue is usually split with partners.
This was a monthly new record for Atlantic City casinos that have slowly been stabilizing to get back to pre-pandemic operation levels. More and more people are visiting AC as a whole to enjoy all the gambling opportunities on offer. However, the operators are yet to return to the record-breaking months that were experienced before the pandemic broke.
The previous record best for a month in AC was also held by Borgata in September last year. During this period, Borgata and partners managed to generate close to $112 million. Although casinos in New Jersey have an upper hand due to their more mature gaming market, it is still quite challenging to compare Borgata’s performance against other casinos in the US.
That’s because the American Gaming Association, which tracks gambling revenue in the country, does not track revenue on individual property. Nevada, which is the casino capital of the US, also does not record revenue from individual establishments and instead aggregates the totals.
It is worth noting, however, that in July, Borgata’s total revenue was almost twice the amount that was generated by any casino in neighboring Pennsylvania. In July, Hard Rock and Golden Nugget followed Borgata in revenue standings with each operator producing $59 million and $49 million respectively.
Brick and mortar casinos in New Jersey also had a strong July thanks to the $299.0 million produced by the state’s casinos. This was an 8% growth compared to the same period last year when casinos in New Jersey produced a much lower $276.9 million. This was also an improvement compared to the same period in 2019 when casinos in New Jersey generated $277.2 million.
What happens if New York legalizes iGaming?
As it stands, the Empire State has been losing a projected $400 million every year in tax revenue by failing to legalize online casino games such as roulette and blackjack. However, this could all change in the near future should Governor Kathy Hochul approve a bill that will see the legalization of iGaming in New York.
Should this happen, New York stands to generate as much as $428 million every year. Like sports betting, online casino games allow punters to place wagers on their favorite slot and table games via their phones or directly through the site. Analysts predict that once legal, tax revenue generated from iGaming could grow to even surpass the already thriving sports betting market in New York.
According to the state’s gaming board, New York has already netted more than $300 million within its first 6 months of legalization. By legalizing iGaming, New York will effectively stop the flow of cash into New Jersey, as well as other neighboring states like Pennsylvania. Currently, just 5 states have legalized iGaming fully.
These states include West Virginia, New Jersey, Michigan, New Jersey, Pennsylvania and Delaware, and Connecticut. Nevada has legalized iGaming as a limited option as it only offers online poker. Last year, iGaming states in the country produced a total tax revenue of close to $970 million, which makes online casino games lucrative indeed.
Final Thoughts
Although the New York sports betting market is growing at an alarming rate, New Jersey still remains the overall leader as far as iGaming is concerned. Slot machines represent the largest revenue generator for most online casinos. For instance, slot machines produced $215.8 million for casinos in New Jersey, which makes them an important aspect of the iGaming business. As time progresses, the online casino revenue will only keep improving.
