New Jersey Gambling Market Shows Growth in Revenue for June

The gambling market in New Jersey continues to showcase impressive growth, with the latest figures indicating a notable increase in revenue for June. The total combined earnings from land-based casinos, igaming, and sports betting hit $491.0 million, marking a 7.4% improvement from $457.2 million in June of the previous year. However, this number represents a slight dip of 3.7% compared to May’s $510.0 million.

Land-Based Casinos

Land-based casinos in New Jersey reported a modest revenue increase of 1.0%, reaching $244.1 million in June. Slot machines played a significant role in this growth, generating $184.0 million, up by 0.6%. Table games also saw a 2.5% increase, bringing in $60.1 million. These figures indicate a steady recovery and a robust patronage in physical gambling venues, despite the concurrent rise in online gaming.

Igaming Surge

The igaming sector, however, emerged as the standout performer, with a substantial 25.2% year-on-year surge in revenue, totaling $186.8 million. Although this figure is $57.3 million shy of the revenue from land-based casinos, it underscores the growing popularity and acceptance of digital gambling platforms. Within the igaming realm, "Other authorized games" posted $184.4 million, a 25.6% increase, showcasing an expanding variety of gaming options attracting players. Notably, peer-to-peer poker didn't share this upward trend, witnessing a 2.9% decline to $2.5 million.

Leading the charge in igaming revenue, Golden Nugget reported $51.5 million, up by 23.3% from the previous year. Resorts Digital followed closely, generating $48.6 million, highlighting an impressive 36.4% year-on-year increase. The Borgata also remained a key player, with its igaming revenue rising by 8.8% to $42.9 million.

Sports Betting Takes a Hit

Contrary to the upward trajectory in igaming and brick-and-mortar casinos, sports betting experienced a downturn. Revenue from sports betting declined by 9.5% year-on-year to $60.1 million in June, marking a significant drop from May’s $78.8 million. Despite the revenue dip, the betting activity was vibrant, with New Jersey residents placing bets worth $748.4 million—a 26.6% increase from the previous year's $591.1 million.

The bulk of these wagers, $719.0 million, were placed online, while retail sportsbooks accounted for $29.5 million in bets. This indicates a strong preference for digital platforms among bettors. Among the numerous operators, FanDuel led with $29.1 million in sports betting revenue, followed by DraftKings at $14.4 million. BetMGM and Bet365 posted revenues of $3.7 million and $3.4 million, respectively. Fanatics Sportsbook contributed $1.8 million to the total sports betting revenue.

Tax Contributions and Year-to-Date Performance

New Jersey’s gambling industry also made a significant contribution to the state’s coffers. In June alone, the sector generated $47.8 million in taxes. This included $16.2 million from land-based casino gross revenue tax, $28.0 million from igaming internet gross revenue tax, and $3.6 million from internet sports wagering tax. Retail sports wagering from casinos and racetracks contributed $7,782 and $71,191, respectively, in taxes.

Looking at the broader picture, the total market revenue for the first six months of the year reached $3.06 billion, reflecting a 12.2% rise from last year’s $2.73 billion. Land-based casinos contributed a substantial $1.36 billion to this total, with slot machines and table games providing $998.3 million and $357.8 million, respectively. Igaming revenue for the same period soared to $1.1 billion, a 21.4% increase year-on-year, driven largely by other authorized games that brought in $1.12 billion, up by 21.8%. Peer-to-peer poker showed a slight decline, with a 4.2% drop to $14.1 million.

Sports betting, despite recent downturns, exhibited strong performance over the first half of the year with $573.1 million in revenue, marking a 30.0% year-on-year increase. The year-to-date handle for sports betting exceeded $6.76 billion, with online sports betting contributing a significant $6.53 billion, while retail locations chipped in $231.0 million.

Overall, the gambling market in New Jersey demonstrates resilience and adaptability. The growth in igaming and steady performance of land-based casinos illustrate a robust sector capable of weathering fluctuations in individual segments like sports betting. This dynamic market continues to attract substantial participation and revenue, thereby contributing significantly to the state's economy.