New Jersey's Gambling Market Shows Growth in June

New Jersey's gambling market has demonstrated robust growth in June, posting a 7.4% increase from the same month last year. The Garden State's combined earnings from land-based casinos, igaming, and sports betting reached an impressive $491.0 million, surpassing June 2022's $457.2 million, though falling short of May’s $510.0 million by 3.7%.

Land-Based Casinos and Igaming on the Rise

Land-based casinos in New Jersey saw a modest yet promising increase in revenue by 1.0%, amounting to $244.1 million. Slot machines, a staple of any casino experience, generated $184.0 million, marking a 0.6% rise. Table games also contributed significantly with a 2.5% increase, reaching $60.1 million.

Igaming, however, was the standout performer, surging by a remarkable 25.2% year-on-year to $186.8 million. Despite this growth, igaming revenue still trailed the land-based sector by $57.3 million. Within the igaming domain, "other authorized games" were the primary contributors, bringing in $184.4 million—a 25.6% increase. Not all sectors thrived though, as peer-to-peer poker revenue slightly declined by 2.9%, totaling $2.5 million.

Top Performers in Igaming

Among the notable players in the igaming sector, Golden Nugget led the charge with $51.5 million in revenue, reflecting a 23.3% increase from the previous year. Resorts Digital followed closely, generating $48.6 million and marking an impressive 36.4% year-on-year growth. The Borgata also reported positive numbers, with a revenue of $42.9 million, an 8.8% increase compared to last year's figures.

Mixed Results in Sports Betting

Sports betting, however, painted a mixed picture. Revenue from sports betting declined by 9.5% year-on-year to $60.1 million, which also represented a 23.7% drop from May’s $78.8 million. Despite the dip in revenues, New Jersey residents were more eager to place bets, with total bets amounting to $748.4 million—up 26.6% from last year’s $591.1 million. A significant majority of these bets were placed online, contributing $719.0 million, while retail sportsbooks took in $29.5 million.

FanDuel emerged as the top sportsbook, generating $29.1 million in revenue. DraftKings followed with $14.4 million, and BetMGM reported $3.7 million in revenue. Bet365 and Fanatics Sportsbook also made contributions, with revenues of $3.4 million and $1.8 million, respectively.

Significant Tax Contributions

The gambling industry's performance translated into substantial tax contributions for New Jersey, totaling $47.8 million in June. 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 contributed a modest $7,782, while racetracks paid $71,191 in sports wagering taxes.

First Half of the Year Performance

Looking at the broader picture, the total market revenue for the first six months of the year reached $3.06 billion, marking a 12.2% rise from last year’s $2.73 billion. Land-based casinos contributed $1.36 billion to this total. Slot machines alone accounted for $998.3 million, and table games added another $357.8 million.

The igaming sector continued to shine with $1.1 billion in revenue for the first half of the year, up 21.4% from the previous year. "Other authorized games" brought in $1.12 billion, representing a 21.8% increase. Nonetheless, peer-to-peer poker saw a slight decline, contributing $14.1 million, down 4.2% year-on-year.

Sports Betting Resilience

Despite challenges, sports betting revenue for the first half of the year showcased a robust 30.0% increase, totaling $573.1 million. The year-to-date handle for sports betting surpassed $6.76 billion, with online sports betting dominating at $6.53 billion, while retail locations contributed $231.0 million.

In conclusion, New Jersey’s gambling market displays resilience and adaptability, with significant growth in the igaming and land-based casino sectors. While sports betting faced some hurdles, the overall market trajectory remains promising, underpinned by the substantial tax contributions and increased betting activity among residents.