New Jersey Gambling Market Experiences Notable Growth Amidst Diverse Performance Across Segments
New Jersey's gambling market demonstrated robust growth in June, inching up by 7.4% year-on-year, with total earnings from land-based casinos, igaming, and sports betting culminating at an impressive $491.0 million. This figure marks a substantial rise from the $457.2 million recorded in June of the previous year. However, it still lags behind May's peak of $510.0 million by 3.7%.
Land-Based Casinos: Modest Gains Fueled by Table Games
The land-based casino segment witnessed a slight uptick in June, reporting a 1.0% increase in revenue to reach $244.1 million. Slot machines, which remain a staple of casino earnings, contributed $184.0 million, marking a modest growth of 0.6%. Meanwhile, table games saw a healthier rise of 2.5%, bringing in $60.1 million.
Igaming: A Significant Surge
Notably, igaming revenue soared by 25.2% year-on-year, hitting $186.8 million. Despite this surge, igaming still trailed the land-based sector by $57.3 million. Within the igaming landscape, "Other authorized games" delivered a remarkable 25.6% increase, totaling $184.4 million. In contrast, peer-to-peer poker experienced a downturn, with revenue dipping by 2.9% to $2.5 million.
Among the top performers in the igaming sphere, Golden Nugget led with $51.5 million in revenue, reflecting a 23.3% year-on-year increase. Resorts Digital followed closely with $48.6 million, marking a significant 36.4% surge. The Borgata also posted positive growth, with a revenue increase of 8.8%, reaching $42.9 million.
Sports Betting: A Mixed Bag
In a more mixed outcome, sports betting revenue saw a year-on-year decline of 9.5%, amounting to $60.1 million. This figure also marked a sharper month-on-month decline of 23.7% from May's $78.8 million. Despite this revenue drop, the total value of bets placed by New Jersey residents rose substantially, climbing 26.6% from the previous year to $748.4 million. Online betting dominated the scene, accounting for $719.0 million of the total bets, while retail sportsbooks managed $29.5 million.
Among the major players, FanDuel emerged at the forefront with $29.1 million in sports betting revenue. DraftKings generated $14.4 million, and BetMGM followed with $3.7 million. Other contributors included Bet365 and Fanatics Sportsbook, which posted $3.4 million and $1.8 million respectively.
Tax Contributions
The gambling industry also made a significant fiscal contribution in June, providing $47.8 million in taxes. Of this, land-based casino gross revenue tax amounted to $16.2 million, while igaming internet gross revenue tax contributed $28.0 million. The internet sports wagering tax added $3.6 million. Retail sports wagering from casinos and racetracks contributed $7,782 and $71,191 respectively in sports wagering taxes.
Year-to-Date Performance
Looking at the broader picture, the total market revenue for the first six months of the year reached $3.06 billion, reflecting a 12.2% increase from last year's $2.73 billion. Land-based casinos contributed $1.36 billion to this total. Within this segment, slot machines generated $998.3 million, while table games brought in $357.8 million.
Igaming revenue for the first half of the year showed substantial growth, totaling $1.1 billion, up 21.4% from the previous year. "Other authorized games" also saw an uptick, contributing $1.12 billion, a 21.8% increase. Peer-to-peer poker, however, remained on a downward trend, with contributions decreasing by 4.2% to $14.1 million.
For sports betting, the year-to-date revenue was $573.1 million, up an impressive 30.0% year-on-year. The total betting handle for the half-year surpassed $6.76 billion, with online sports betting making up a significant $6.53 billion of this amount, and retail locations contributing $231.0 million.
Overall, New Jersey's gambling market has shown resilience, with substantial growth in the igaming and land-based casino sectors, despite facing challenges within the sports betting domain. This diverse performance underscores the adaptive nature of the state's gambling industry amidst varying trends and consumer preferences.