New Jersey Internet Gambling Hits Record Revenue in September 

Exploring the World of Online Casinos

The New Jersey Division of Gambling Enforcement (NJDGE) recently released its September figures. Online gambling in New Jersey hit a new high. Atlantic City casinos and their online partners brought in more than $208 million. This is the first time the figure has reached more than $200 million in a single month.

Revenue sources are shifting

NJ online casinos are proving vital in sustaining profitability in the industry, although in-person gambling is still a cornerstone for many casinos. These online casinos must share their profits with third-party tech providers who provide the platforms. They don’t get to keep all the profit. With in-person gambling, New Jersey’s casinos do not have to share profits with outside partners, so in-person revenue is often their lifeblood.

However, many brick-and-mortar casinos are bringing in less than they did before the pandemic. Total in-person gambling revenue was $6 million higher than in September 2019. However, five casinos reported lower in-person earnings than before the pandemic.

Uneven distribution of in-person earnings

The distribution of earnings across Atlantic City casinos was uneven. Borgata led the market for in-person gambling and earned over $62 million. The MGM property generated more in-person and online revenues than its competitors. Hard Rock and Ocean Casino reported a drop in in-person revenue. Harrah’s, Tropicana, and Caesars also saw declines in in-person earnings. Revenue from in-person gambling is still lagging at levels of five years ago.

Factoring in online gambling and sports betting

When factoring in online gambling and sports betting, the overall New Jersey casino industry looks good, even though some of the land-based casinos are stagnating and declining. Whether it’s a business like a casino or every individual’s financial growth, a continual decline is obviously worrying.

Total gambling revenue

Total gambling revenue for New Jersey’s casinos, racetracks, and partners was $558 million in September. It was boosted by online gambling and a smaller percentage from sports betting. This is a slightly more than 7% increase than September 2023. It was the highest figure in more than a decade and the third consecutive month that the figure topped $500 million. Last year, the figure only went over $500 million once.

What does the future hold?

Internet gambling represents a significant share of the revenue mix for Atlantic City operators. It contributed nearly 4% of the total revenue for the industry through the first three-quarters of the year. As online gambling revenue soars, this could portend a steady decline in in-person betting in the years to come.

The September figures highlight the increasingly important role online gambling is playing in the state’s gaming industry. New gambling market opportunities are arising all the time. Sports betting is rapidly expanding in the U.S. and is now legal in many states. Expanding live player offerings and a focus on mobile gambling are also enhancing player experiences when gambling online. With the introduction of virtual and augmented reality in online casinos, even more of a shift in revenue sources could happen.

Leave a Reply

Your email address will not be published. Required fields are marked *