Atlantic City Casino Revenue 2019
ATLANTIC CITY, N.J. (AP) — Atlantic City’s casinos won almost $3.3 billion from gamblers in 2019, helped by surging sports and internet bets as the seaside resort continued to rebound from a mid-decade meltdown that saw five casinos close.
Figures released Tuesday by the New Jersey Division of Gaming Enforcement show the nine casinos collectively won $3.29 billion in 2019, an increase of over 15% from 2018.
When an additional $300 million in sports betting revenue is added to the equation, the casinos and two racetracks that offer sports betting won $3.46 billion last year, a figure that does not include money from horse racing bets.
It marked the first year since 2012 that Atlantic City’s casinos had won more than $3 billion from gamblers.
That was right before a brutal stretch from 2014 to 2016 that saw five of the then-12 casinos shut down, and more than 11,000 jobs lost.
The reopening in 2018 of the former Trump Taj Mahal as Hard Rock and the former Revel as the Ocean Casino Resort has brought added revenue and jobs to the market.
But those same two new casinos also are diluting the profitability of the seven casinos that were in business before they reopened. For the first three quarters of 2019, the nine casinos reported a cumulative gross operating profit of $484 million, down 4.5% from the same period in 2018.
- Much of the rise was due to a 62% increase in revenue from online casino gaming, and a first full year of sports betting revenue of $299 million. But importantly, traditional brick-and-mortar casino revenues were up 7%, to $2.7 billion.
- The more revenue you generate, the more taxes you need to pay. In line with the massive amount of revenue generated in 2019, the Atlantic City casinos are expected to pay a tax amount of $152 million. This is a significant 660% increase from the amount that they paid in 2018.
- New Jersey Gambling Revenue In this June 20, 2019 photo, players gather around a table for a game of craps at the Hard Rock casino in Atlantic City N.J.
“The revenue increase is a positive,” said David Schwartz, a gambling historian with the University of Nevada Las Vegas. “Right now the industry should be in ‘grow-the-market’ mode rather than seeking to consolidate profits, so a decrease in profits isn’t necessarily the worst news we could get. Overall, what Atlantic City needs right now is to improve its image and marketing and become a destination in a crowded Northeast casino market.”
Atlantic City’s nine casinos reported $260.86 million in total gaming revenue last month, compared with $288.6 million in November 2019. Statewide, the total amount of sports wagers set a new monthly record with more than $931.6 million in bets placed, the Press of Atlantic City reports.
Rummy Pandit, a gambling analyst with Stockton University, said Atlantic City has successfully diversified its gambling offerings, particularly through sports betting and internet gambling. Those two products, developed since November 2013, now account for more than 18% of Atlantic City’s winnings, he said.
The news was not all positive. Five of the nine casinos won less money in 2019 than they did in 2018. Tropicana was down 8.2% to $349.5 million; Harrah’s was down 6.1% to $312.6 million; Bally’s was down 5.4% to $181.5 million; Caesars was down 3.7% to $270.9 million; and Resorts was down 3.2% to $178.4 million.
The Golden Nugget was up 15.4% to $378.4 million. It finished the year as the No. 2 casino in Atlantic City in terms of revenue. The perennial leader, Borgata, was up 3.5% to $797.8 million.
There was no year-to-year comparison for the newest casinos, which had not been open for a full year in 2018. For 2019, Hard Rock won $350 million, and Ocean won $238 million.
New Jersey had a banner year at sports betting, with nearly $4.6 billion wagered on pro and college games.
The state won a landmark U.S. Supreme Court case in 2018, clearing the way for all 50 states to offer legal sports betting should they so choose. Since the first bets were taken in New Jersey in June 2018, more than $5.8 billion has been wagered on sports, putting the state right behind Nevada in the race to lead the burgeoning market.
The Meadowlands Racetrack in East Rutherford, just outside New York City, was the runaway leader in sports betting revenue with just under $150 million. It is partnered with the FanDuel sportsbook. The other racetrack to offer sports betting, Monmouth Park in Oceanport, won nearly $26 million in sports bets. Resorts Digital, which is affiliated with the DraftKings online sports book, won nearly $80 million on sports.
Internet gambling also continued to be a bright spot in 2019, with $482 million won online from gamblers, an increase of more than 61% over 2018. In the month of December, nearly $558 million was wagered on sports in New Jersey, the second-best month ever, trailing only November’s total of nearly $563 million.
___
Follow Wayne Parry at http://twitter.com/WayneParryAC
Over the past year, Atlantic City has grown to become one of the most profitable gambling hubs in the country. New reports show that Atlantic City casino revenue increased massively in 2019’s third quarter. It’s fantastic news for the state and casino companies operating here.
Both sports betting and casino gambling continues to generate revenue here. Let’s take a look at exactly how much money the city’s gambling industry managed to generate over the past several months.
New Reports Show Atlantic City Casino Revenue is Increasing
You can’t cover the US casino industry without talking about Atlantic City. Decades ago, this was one of the most profitable gambling markets in the world. Unfortunately, the recession took a major toll on this city and it seemed on the brink of collapse.
Recently, however, things have improved dramatically. Revenue in this city has continued to increase for almost all of 2019. There are a few major reasons why this is.
The legalization of sports betting is certainly helping. New Jersey made sports gambling legal in May of 2018. Every casino in the state now operates a sportsbook. It’s helped to generate millions of dollars for the state government via taxes. New Jersey now has the most profitable sports betting market in the world.
Atlantic City Casino Revenue August 2019
New reports show that Atlantic City casino revenue increased massively during this year’s third quarter. Gross profit for the three months increased to $26.5 million, representing a 12.5% increase from the same time period in 2018. Atlantic City’s nine casinos generated $928.9 million in net revenue.
Things are looking very good here. Based on the way things are going, this will be the best year in the city’s history.
Which Casinos Generated the Most Money in Q3?
July, August, and September are all popular gambling months. It’s not a huge surprise to see so much money flowing into the casinos during this quarter. Some casinos managed to earn considerably more than others, though.
Borgata Casino generated the most money. It’s the most popular casino in the city and blew all of its competitors out of the water. In total, this gambling venue brought in $210,141,863. Hard Rock Atlantic City brought in the second-most money at $106,663,788.
Atlantic City Casino Revenue July 2019
These properties have reason to celebrate. James T. Plousis, Casino Control Commission Chairman in NJ, states that non-gambling amenities in the city proved successful last quarter, too.
“Positive trends also continued with important tourism indicators,” he said. “Non-gaming amenities continue to create a competitive advantage, and visitors like the diverse dining, entertainment and leisure activities that Atlantic City has to offer.”
Just about every casino had a solid few months. Things are obviously slowing down as winter approaches yet many are still generating more money than they did last year.
Sports Betting Revenue Surges in AC, As Well
There’s never been a better time to be a sports fan in Atlantic City. Sportsbooks in this city are continuing to improve. Both online and land-based sports gambling is legal here. For almost all of 2019, revenue from this industry has increased.
In October, sports betting helped to increase gambling revenue in this city to $266.23 million. Statewide, sports bettors here placed $487.9 million in legal sports wagers last month. 85% of these bets were placed online.
Altogether, more than $3.5 billion has been spent on sports bets in this state.
“New Jersey sportsbooks have surpassed Nevada’s in recent months, and it continues to show significant promise for the gaming industry,” said Steve Callender, president of the Casino Association of New Jersey and senior vice president of operations for the East Region of Tropicana Atlantic City’s parent company, Eldorado Resorts Inc.“We are optimistic as we approach the end of this year that we will finish 2019 out in a strong position.”
Atlantic City casino revenue and sports betting revenue continue to increase. This city has the potential to become the country’s true gambling center.
Stay tuned for more Atlantic City gambling news over the next few months!