New Jersey's gambling market has shown a steady incline, posting a notable 7.4% growth in June. The combined earnings from land-based casinos, igaming, and sports betting reached an impressive $491.0 million. This marks a significant increase from the $457.2 million recorded in June of the previous year, although it does fall short by 3.7% when compared to May's earnings of $510.0 million.
Land-Based Casinos: A Modest Gain
The revenue from land-based casinos experienced a modest climb, inching up by 1.0% to reach $244.1 million. Slot machines were responsible for generating a substantial $184.0 million, reflecting a 0.6% increase. Table games also saw a rise, growing by 2.5% to contribute $60.1 million to the overall revenue.
Igaming: A Surge in Popularity
Igaming continues to be a robust sector within New Jersey's gambling market, witnessing a surge of 25.2% year-on-year to bring in $186.8 million. Even though igaming trailed behind the land-based sector by $57.3 million, it's the relative growth that tells a compelling story. Specifically, "other authorized games" within the igaming sector contributed $184.4 million, marking a 25.6% increase. However, not all areas within igaming thrived, as peer-to-peer poker revenue saw a decline of 2.9%, settling at $2.5 million.
Key Players in Igaming
The standout performers in the igaming sector include Golden Nugget, which generated $51.5 million, up by 23.3% from the previous year. Resorts Digital followed suit, showing a significant 36.4% year-on-year increase with earnings of $48.6 million. The Borgata also posted an 8.8% increase, contributing $42.9 million to the igaming revenue.
Sports Betting: A Mixed Bag
Sports betting in New Jersey tells a tale of both gains and setbacks. The revenue declined by 9.5% year-on-year, falling to $60.1 million, and showed a notable drop of 23.7% from May's $78.8 million. Nevertheless, New Jersey residents showed an increasing appetite for placing bets, with the total wagers amounting to $748.4 million, a significant 26.6% increase from last year’s $591.1 million. Notably, the bulk of these bets, totaling $719.0 million, were made online, while retail sportsbooks took in $29.5 million.
Leading Sports Betting Platforms
FanDuel emerged as a leading platform, generating $29.1 million in sports betting revenue. DraftKings followed, bringing in $14.4 million. BetMGM and Bet365 also contributed, with revenues of $3.7 million and $3.4 million, respectively. A newer entrant, Fanatics Sportsbook, added $1.8 million to the sports betting revenue.
Tax Contributions
The gambling industry's contribution to the state's coffers is substantial. In June alone, the industry contributed $47.8 million in taxes. This includes $16.2 million from the land-based casino gross revenue tax, $28.0 million from igaming internet gross revenue tax, and $3.6 million from internet sports wagering tax. Contributions from retail sports wagering were relatively modest, with casinos contributing $7,782 in taxes and racetracks paying $71,191.
First Six Months: A Closer Look
Looking at the performance for the first six months of the year, the total market revenue reached an impressive $3.06 billion, up 12.2% from last year’s $2.73 billion. Land-based casinos contributed $1.36 billion, with slot machines accounting for $998.3 million and table games adding $357.8 million. Igaming revenue for this period was $1.1 billion, representing a 21.4% increase from the previous year. Specifically, "other authorized games" brought in $1.12 billion, a rise of 21.8%, while peer-to-peer poker saw a dip of 4.2%, contributing $14.1 million.
Sports betting revenue for the first half of the year stood at $573.1 million, reflecting a robust 30.0% year-on-year increase. The year-to-date handle for sports betting surpassed $6.76 billion, with online sports betting contributing a significant $6.53 billion and retail locations adding $231.0 million.
In sum, the gambling market in New Jersey showcases resilience and significant growth, particularly in the igaming and land-based casino sectors, despite certain challenges faced in the sports betting domain. The state continues to be a pivotal player in the national gambling landscape, exemplifying innovation and robust economic contributions.