New Jersey's gambling market has had a notable period of growth, posting a 7.4% increase in June. Combined earnings from land-based casinos, igaming, and sports betting reached a substantial $491.0 million. This figure surpasses the previous June's $457.2 million, although it falls slightly short, by 3.7%, of May’s $510.0 million.
Land-Based Casino Performance
The performance of land-based casinos showed a modest increase, with revenue climbing by 1.0% to $244.1 million. Slot machines continued to be a major draw, generating $184.0 million—a 0.6% rise. Table games also saw an uptick, reaching $60.1 million, marking a 2.5% increase from the previous year. These figures indicate a steady performance in the physical casino space.
Robust Growth in Igaming
Igaming continues to be a powerhouse in New Jersey's gambling sector, surging by 25.2% year-on-year to $186.8 million. While this figure still trails the land-based sector by $57.3 million, it reflects a significant growth trajectory. Most of the igaming revenue stemmed from "other authorized games," which contributed $184.4 million—up 25.6%. Peer-to-peer poker, however, experienced a slight decline, falling by 2.9% to $2.5 million.
Among individual players in the igaming space, Golden Nugget led the charge with $51.5 million in revenue, up 23.3% year-on-year. Resorts Digital followed with a hefty $48.6 million, marking an impressive 36.4% increase. The Borgata rounded out the top performers with $42.9 million, showing an 8.8% rise from last year’s figures. This robust performance underscores the growing appeal and consumer shift towards online platforms.
Challenges in Sports Betting
Despite an increase in the overall gambling market, sports betting posted a decline. The sector saw a year-on-year revenue drop of 9.5% to $60.1 million and a more pronounced 23.7% dip from May’s $78.8 million. However, New Jersey residents placed $748.4 million worth of bets in June—a striking 26.6% increase from last year's $591.1 million. Notably, online bets constituted a significant portion of this activity, amounting to $719.0 million, whereas retail sportsbooks accounted for $29.5 million.
Breaking down the sports betting revenue among significant players, FanDuel led with $29.1 million, DraftKings followed with $14.4 million, and BetMGM with $3.7 million. Bet365 and Fanatics Sportsbook contributed $3.4 million and $1.8 million, respectively. These figures reflect an intensely competitive landscape even as overall revenue sees fluctuations.
Tax Contributions
New Jersey’s gambling industry also made a substantial contribution to state tax revenues, totaling $47.8 million in June. This included $16.2 million from land-based casino gross revenue tax and $28.0 million from igaming internet gross revenue tax. Additionally, internet sports wagering taxes contributed $3.6 million. The revenue from retail sports wagering taxes was narrower, with $7,782 from casinos and $71,191 from racetracks.
Year-to-Date Performance
The first six months of the year have been quite significant for New Jersey’s gambling market, with total revenue hitting $3.06 billion, which is a 12.2% increase from last year's $2.73 billion.
Land-based casinos significantly contributed to this figure with $1.36 billion, breaking down into $998.3 million from slot machines and $357.8 million from table games. Igaming revenue for the first half of the year was $1.1 billion, up 21.4% from the previous year, driven by a 21.8% rise in other authorized games that contributed $1.12 billion. Peer-to-peer poker saw a slight decline, contributing $14.1 million, down 4.2%.
The sports betting sector, although facing some monthly challenges, reported a commendable revenue of $573.1 million for the first half of the year, up 30.0%. The year-to-date handle for sports betting has surged past $6.76 billion, with online sports betting making up a substantial $6.53 billion and retail locations accounting for $231.0 million.
Overall, the gambling market in New Jersey demonstrates resilience. Despite certain sectors facing temporary declines, the strong performance and growth in igaming and land-based casinos provide a buoyant outlook for the industry.