We will remember this August with all kinds of heat, especially one in Atlantic City casino revenue. The New Jersey Division of Gaming Enforcement released the official report on last month’s growth.
The numbers showed a staggering 22% growth since 2017, which amounts to $300 million of total revenue. It’s true - the Atlantic City renaissance is here and it's being lead by NJ online casinos.
David Rebuck, DGE Director, told the press that Atlantic City hasn’t seen success like this in nearly a decade and naturally, everybody’s hoping it doesn’t stop here.
August managed to surpass even the July growth with nearly twice as much. It all adds up to an incredibly strong summer for all of AC’s nine casinos.
At the beginning of the summer, nobody knew which way the wind would blow for online casinos in NJ. This was partly because of the grand openings of Hard Rock Hotel & Casino Atlantic City and Ocean Resort Casino. Some experts expected to see other casinos’ revenue reports reflect the new presence on the block, but it was actually quite the opposite.
Revenue rankings are practically still the same, with Borgata and Tropicana at the top. Borgata made twice as much as Tropicana, however - $76 million as opposed to $35.788 million.
Harrah’s and Hard Rock did not fall far behind, either, and each secured $31 million in revenue from last month’s gaming.
The rest of the properties rank as follows:
Seeing the revenue numbers drop exponentially as we go to the bottom of the list gets us wondering how sustainable is the AC casino scene. Nine casinos are starting to seem like a lot for the size of Atlantic City, especially with Hard Rock’s grand opening this summer.
In July, some may have thought that the drop in Bally’s and Resorts’ revenue is a fluke, but a continued drop in August prove it’s a pattern. This is not good news for either. Especially for Bally’s who experienced a -9.4% drop, as opposed to Resorts -2.9.
July’s numbers are respectively -9.9% for Bally’s and -12.7% for Resorts. This reveals that Resorts may have made the right calls to improve their game in August.
August in 2017 was not a much better time for these two casinos when Bally’s saw a 10% drop and Resorts 3%.
Experts have been skeptical of Atlantic City’s market for some time now and even with a revenue drop in a few out of nine, the numbers indicate that the market is still holding its own so far.
As for the two newcomers, each is making it in their own category for now, which must be a relief for executives in this climate. Sadly, we can’t say the same for Bally’s and Resorts.
Out of six land-based sportsbooks, Borgata and Ocean Resort Casino had the two highest revenue totals of $855,152 and $519,563 this August.
Even when second on the list, it’s still a fact that Ocean Resort made half of what they did in July.
If we’re talking about racetracks, though, the numbers quickly go way up. Meadowlands and Monmouth Park each made almost $4 million in NJ sports betting winnings.
Bottom line, NJ sports betting cashed in overall $8 million in Atlantic City alone this August, $6.059 million of which came from land-based sportsbooks. We’ll see how they will do in September, as opposed to online casinos.