New Jersey's gambling market experienced a solid growth trajectory in June, affirming its robust presence in the national gaming landscape. The market showcased a notable 7.4% growth, with combined earnings from land-based casinos, igaming, and sports betting reaching a substantial $491.0 million. This figure surpassed the previous year's $457.2 million, though it slightly trailed behind May's $510.0 million, marking a 3.7% decrease month-on-month.
Land-Based Casinos Show Steady Growth
Land-based casino revenue exhibited a modest increase, reflecting a 1.0% rise to $244.1 million. Slot machines contributed significantly to this figure, generating $184.0 million—a 0.6% uptick. Table games performed even better, seeing a 2.5% increase and reaching $60.1 million. These incremental gains indicate a steady performance for traditional casino operations in the face of growing competition from digital gaming platforms.
Igaming Surges
The igaming sector demonstrated remarkable resilience and growth with a 25.2% year-on-year surge in revenue to $186.8 million. This growth, however, still trailed the land-based sector by $57.3 million. A deeper dive into the components of igaming reveals that "other authorized games" were the primary drivers, contributing $184.4 million—a 25.6% increase. On the flip side, peer-to-peer poker saw a decline of 2.9% to $2.5 million, indicating challenges in this niche segment.
Leading the charge in the igaming sector were Golden Nugget, Resorts Digital, and The Borgata. Golden Nugget reported $51.5 million in igaming revenue, marking a 23.3% increase from the previous year. Resorts Digital saw a substantial 36.4% increase to $48.6 million, while The Borgata's igaming revenue rose by 8.8% to $42.9 million. These figures underscore the competitive nature of the digital gaming space and the success of these key players.
Sports Betting Faces Challenges
While the land-based and igaming sectors thrived, the sports betting landscape faced hurdles. Revenue from sports betting declined by 9.5% year-on-year to $60.1 million and was down 23.7% from May’s $78.8 million. Despite the revenue drop, New Jersey residents still placed a significant volume of bets, with the total handle reaching $748.4 million—a 26.6% increase from the previous year's $591.1 million. Online bets dominated, accounting for $719.0 million, whereas retail sportsbooks handled $29.5 million in bets.
Top Performers in Sports Betting
Among the top sports betting operators, FanDuel led the pack with $29.1 million in revenue. DraftKings followed with $14.4 million, while BetMGM and Bet365 reported $3.7 million and $3.4 million, respectively. Fanatics Sportsbook contributed $1.8 million. These figures highlight the competitive dynamics within the sports betting market, with FanDuel maintaining a strong lead over its rivals.
Tax Contributions and Market Resilience
The gambling industry’s tax contributions in June amounted to a significant $47.8 million. This included $16.2 million from land-based casino gross revenue tax, $28.0 million from igaming internet gross revenue tax, $3.6 million from internet sports wagering tax, $7,782 from retail sports wagering, and $71,191 from racetrack sports wagering.
New Jersey’s gambling market’s resilience is further evidenced by its year-to-date figures. For the first six months of the year, total market revenue reached $3.06 billion, reflecting a 12.2% rise from the previous year’s $2.73 billion. Land-based casinos contributed $1.36 billion, with $998.3 million from slot machines and $357.8 million from table games.
Igaming continued to flourish, with year-to-date revenue hitting $1.1 billion—a 21.4% increase. Within this, "other authorized games" contributed $1.12 billion, up 21.8%, while peer-to-peer poker saw a decrease of 4.2% to $14.1 million. Sports betting revenue for the first half of the year was robust at $573.1 million, marking a 30.0% year-on-year increase. The year-to-date handle for sports betting reached an impressive $6.76 billion, with online sports betting contributing $6.53 billion and retail locations $231.0 million.
Overall, the gambling market in New Jersey exhibits remarkable strength and adaptability. With significant growth in both igaming and land-based casino sectors, juxtaposed against the challenges in the sports betting domain, the market demonstrates its ability to navigate a complex and competitive environment successfully.