New Jersey's gambling market displayed remarkable resilience and growth in June, posting a 7.4% increase compared to the same period last year. This surge was fueled by a diverse array of gaming avenues, with combined earnings from land-based casinos, igaming, and sports betting reaching an impressive $491.0 million. Although this figure fell short of May’s $510.0 million by 3.7%, it significantly outpaced last June's $457.2 million.
Land-Based Casino Performance
Revenue from land-based casinos rose modestly by 1.0%, totaling $244.1 million. Delving deeper, slot machines were the main contributors, generating $184.0 million, a slight 0.6% uptick from the previous year. Table games also performed well, experiencing a 2.5% increase to reach $60.1 million.
Igaming: The Rising Star
Igaming emerged as a robust growth driver, with revenues surging by an impressive 25.2% year-on-year to reach $186.8 million. Despite trailing land-based revenue by $57.3 million, the igaming sector demonstrated substantial gains. In particular, “other authorized games” within igaming contributed significantly, generating $184.4 million, reflecting a 25.6% increase.
However, peer-to-peer poker did not share in this upward trajectory, witnessing a decline in revenue by 2.9% to $2.5 million.
Standout Performers in Igaming
Several operators stood out in the igaming sector. Golden Nugget led the pack, generating $51.5 million, which marked a solid 23.3% increase over the previous year. Resorts Digital also posted impressive numbers, with revenues rising by 36.4% to $48.6 million. The Borgata, while not as meteoric, still saw significant growth with an 8.8% increase, resulting in $42.9 million in revenue.
Challenges in Sports Betting
While land-based and igaming sectors thrived, sports betting faced some headwinds. Revenue in this segment declined by 9.5% year-on-year to $60.1 million and was also down by 23.7% from May’s $78.8 million. However, New Jersey residents continued to show substantial interest, placing bets worth $748.4 million, representing a 26.6% increase from the previous year’s $591.1 million. A significant portion of these bets, amounting to $719.0 million, was made online, while retail sportsbooks saw bets totaling $29.5 million.
Leading the charge in sports betting revenue, FanDuel generated $29.1 million, while DraftKings followed with $14.4 million. Other notable contributions came from BetMGM and Bet365, which reported revenues of $3.7 million and $3.4 million, respectively. Fanatics Sportsbook also made its presence felt with $1.8 million in revenue.
Tax Contributions and Market Outlook
New Jersey’s gambling industry played a pivotal role in the state’s economy, contributing $47.8 million in taxes in June. This included $16.2 million drawn from land-based casino gross revenue tax and $28.0 million from igaming internet gross revenue tax. Additionally, $3.6 million originated from the internet sports wagering tax, with retail sports wagering from casinos and racetracks adding modest amounts of $7,782 and $71,191, respectively.
Looking at the year-to-date figures, the total market revenue for the first six months reached an impressive $3.06 billion, marking a 12.2% rise from last year’s $2.73 billion. Land-based casinos made significant contributions with $1.36 billion, with slot machines and table games generating $998.3 million and $357.8 million, respectively.
Igaming’s contribution for the first half stood at $1.1 billion, up 21.4% year-on-year. "Other authorized games" within igaming notably added $1.12 billion, reflecting a 21.8% increase. Conversely, peer-to-peer poker saw a dip, contributing $14.1 million, down 4.2%.
Sports betting revenue for the first six months amounted to $573.1 million, a remarkable 30.0% year-on-year growth. The year-to-date handle for sports betting surpassed $6.76 billion, with online bets contributing a hefty $6.53 billion, and retail locations accounting for $231.0 million.
The overall resilience and growth witnessed in New Jersey’s gambling market, particularly in igaming and land-based casinos, underscore the sector’s adaptability and robust appeal despite the challenges faced in the sports betting sector.