Atlantic City Casino Revenue May 2019

ATLANTIC CITY, N.J. (AP) — More casinos have meant less profit in Atlantic City since two gambling halls reopened last summer.

Atlantic City Casino Revenue May 2019 Calendar Printable

Atlantic City's nine casinos saw their gambling revenue increase to nearly $267 million in May, an increase of 22.5% from a year earlier.

  • Atlantic City casinos see drastic revenue drop amid coronavirus restrictions Updated Nov 23, 2020; Posted Nov 23, 2020 This Oct. 1, 2020 photo shows the exterior of the Borgata casino in Atlantic.
  • The casino industry was up 22.5% in May year-on-year. Through the first five months of 2019, total gaming revenue increased by 21.1%. Atlantic City casinos and their online sports betting providers generated more than USD 5.5 million in revenue in May. While visitation to the city increased last month, nearly 83% of the total amount wagered was done through an online or mobile platform.

Figures released Wednesday by the New Jersey Division of Gaming Enforcement show the nine casinos saw their gross operating profit decline by nearly 30% in the first quarter of this year compared to the same period last year, when there were only seven.

The casinos collectively reported an $87 million profit in the first three months of this year.

Gross operating profit reflects earnings before interest, taxes, depreciation, and other charges, and is a widely accepted measure of profitability in the Atlantic City casino industry.

When the Hard Rock and Ocean casinos reopened last June, there was concern that the extra competition might drive down profits.

So far, that has proven to be the case. Hard Rock, the former Trump Taj Mahal, and Ocean Casino Resort, the former Revel, both opened on the same day last year. While they added thousands of jobs and additional hotel rooms to the market, they also spread the resort’s gambling business a bit thinner.

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For all of 2018, gross operating profit was down 15%.

“While the market has grown, profit margins remain tight, reflecting the competitive landscape,” said James Plousis, chairman of the New Jersey Casino Control Commission.

But he cited other statistics showing that hotel occupancy was up nearly 19% and sales tax revenue were up almost 18% for the quarter.

In the first quarter of this year, only Resorts showed an increase in gross operating profit, up nearly 80% to $3 million. But the large percentage increase is mainly because Resorts’ first quarter profit last year was so small.

The two newest casinos both reported operating losses as they continue the expensive process of promoting themselves and spending money to try to attract customers. Hard Rock showed a loss of $6.1 million for the quarter, and Ocean lost $10.3 million, although its acting CEO Eric Matejevich said the casino had returned to profitability in April.

Bally’s reported the largest percentage decrease in operating profit, down more than 54% to $2.8 million. Harrah’s was down nearly 42% to $16.5 million; Caesars was down 13.6% to $10.8 million; the Borgata was down 12% to $39.7 million; the Golden Nugget was down 5.6% to $9.4 million, and Tropicana was down 5.3% percent to $16.5 million.

Among internet-only entities, Resorts Digital swung from an $815,000 first quarter loss last year to a profit of $1.8 million in the first quarter of this year. Caesars Interactive Entertainment-NJ saw its profit decline by 5.7% to $2.7 million.

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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.

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.

Atlantic City Casino Revenue May 2019

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 May 2019 Solicitations

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 may 2019 calendar

Atlantic City Casino Revenue May 2019 2020

Atlantic City casino revenue and sports betting revenue continue to increase. This city has the potential to become the country’s true gambling center.

Atlantic City Casino Revenue May 2019 Calendar

Stay tuned for more Atlantic City gambling news over the next few months!