In April 2023, New Jersey's gambling sector experienced a 12% increase in revenue, largely fueled by the growth in online gambling, sports betting, and traditional casino activities. However, it’s noteworthy that over half of Atlantic City’s casinos are still underperforming compared to their pre-pandemic revenue levels.
During the month, casinos, horse racing venues, and their online affiliates collectively generated more than $600 million in gambling revenue.
Atlantic City’s casinos reported winnings of $235.5 million from in-person gamblers in April, marking an increase of nearly 12% from the previous year. Additionally, revenue from online gambling rose by almost 12% to $263.1 million, surpassing that of physical casinos for the eighth consecutive month. Sports betting also saw a significant rise, climbing nearly 13% to $102.1 million.
Sportsbooks managed over $934 million in wagers before accounting for payouts and expenses.
Despite this overall growth, five out of the nine casinos in Atlantic City are still earning less from in-person gambling than they did back in April 2019, prior to the COVID-19 pandemic.
Casino operators emphasize that in-person gambling revenue is crucial for their business, as earnings from online gambling and sports betting are typically shared with third-party tech firms and sportsbook operators.
The industry is also contending with increasing competition from new casinos planned in New York City, along with the potential for expanded gambling options in other parts of New Jersey.
Jane Bokunewicz, director of Stockton University's Lloyd D. Levenson Institute of Gaming, Hospitality and Tourism, commented, “Given the ongoing challenges, including the recent launch of live table games at Resorts World New York City, it will be intriguing to see if Atlantic City’s gaming sector can sustain this growth through the summer tourism season.”
She added that with visitors returning to enjoy the city’s attractions, the upcoming Soar & Shore airshow, and the potential influx of tourists for the FIFA World Cup festivities, there are numerous reasons to be optimistic about the summer season.
Only four casinos—Borgata Hotel Casino & Spa, Hard Rock Hotel & Casino Atlantic City, Ocean Casino Resort, and Resorts Casino Hotel—managed to generate more in-person gambling revenue than they did before the pandemic.
Borgata led the market with just over $67 million in in-person gambling revenue for April, reflecting a 14.5% increase from the previous year. Hard Rock followed with $45.3 million, up 9.1%, while Ocean Casino Resort reported $36.5 million, a rise of 19.5%.
Caesars Atlantic City showed one of the highest percentage increases, with in-person gambling revenue surging 31.9% to $19.3 million. Conversely, Golden Nugget Atlantic City was the only casino to report a decrease, with revenue dropping 3% to $10.7 million.
Slot machines contributed $169.3 million in revenue for April, while table games added $66.2 million.
In the online gambling sector, FanDuel, in partnership with Golden Nugget, led the market with $58.8 million in revenue, an 11.4% increase year-over-year. DraftKings, associated with Resorts Casino Hotel, generated $41.9 million, down 10.6%, and BetMGM, partnered with Borgata, posted $32.7 million, up 10.4%.
In online sports betting, FanDuel and Meadowlands Racetrack recorded $39.7 million in revenue, a 25% increase, while DraftKings and Resorts Casino Hotel reported $25.7 million, up 15%.
Separately, Borgata Hotel Casino & Spa ranked first in New Jersey's gaming establishments for total gaming revenue in the first quarter of 2023, reporting $352.7 million from January 1 to March 31. This included $177.7 million from casino wins, $174.2 million from internet gaming, and $847,168 from sportsbook lounge operations.
Golden Nugget Atlantic City secured the second position with $266.1 million in total gaming revenue, also achieving the highest internet gaming revenue in the state at $235.7 million. Resorts Casino Hotel came in third with $197.5 million.
Hard Rock Atlantic City and Ocean Casino Resort ranked fourth and fifth, respectively, in total gaming revenue.