Atlantic City’s Casinos Broke Several Gambling Records in January

Article by : Erik Gibbs Feb 20, 2024

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In January, New Jersey witnessed four major gambling revenue records shattering, marking an exuberant start to 2024. Despite remarkable achievements in internet gambling revenue, sports betting revenue, total sports wagers and overall casino-sports betting-internet revenue, Atlantic City’s casinos expressed concern over in-person gambling profits.

The collective earnings of Atlantic City’s nine casinos, three sports betting horse tracks and online partners surpassed $559 million, showcasing a robust 28% increase from the previous year.

This surge was primarily fueled by unprecedented achievements in internet gambling, reaching $183 million and representing a nearly 20% increase from the previous year. With sports betting reaching almost $171 million and accounting for an increment of over 136%.

However, the casinos face the challenge of sharing these revenue streams with third-party providers, including tech platforms and sportsbooks, diminishing the exclusivity of these gains.

The core concern for casinos remains the money acquired from in-person gamblers, emphasizing the importance of physical casino visits. The impact of harsher winter weather in January 2024 contributed to lower in-person casino winnings compared to the milder January 2023.

Jane Bokunewicz, director of the Lloyd Levenson Institute at Stockton University, pointed out that the unfavorable weather likely redirected brick-and-mortar activity to online channels, boosting internet gaming and sports betting figures.

The resurgence in in-person casino winnings faces a complex narrative, still grappling with the aftermath of the COVID-19 pandemic that began in early 2020.

Despite a decline of 3.1% from the previous year, with January’s in-person casino winnings slightly exceeding $205 million, this total surpasses the figures observed in January 2019.

However, this positive trend is predominantly attributed to the commendable performance of Atlantic City’s three newest casinos—Borgata, Hard Rock and Ocean. These establishments achieved the remarkable feat of outperforming their in-person earnings from four years earlier.

It’s worth noting that two-thirds of Atlantic City’s nine casinos are yet to reclaim their pre-pandemic in-person revenue levels.

James Plousis, chairman of the New Jersey Casino Control Commission, acknowledged the resilience of online gaming and sports wagering, providing operators a competitive advantage even during Atlantic City’s traditional off-season.

In January, New Jersey’s sports betting activity reached a record high of $1.71 billion, with the Meadowlands Racetrack leading with $113 million, a 137% increase from the previous year.

Despite challenges at Freehold Raceway, the overall revenue from in-person, online and sports betting saw the Borgata in the lead with $107.6 million, a 1.6% increase.

Golden Nugget experienced substantial growth, surging over 23%, while Hard Rock marked a 19% increase, and Ocean saw a rise of over 13%. Bally’s gained $18.9 million, up 15.3%, while Harrah’s faced a decline of 17.5%.

Resorts Digital celebrated success with $89.5 million, soaring over 69%, but Caesars Interactive NJ encountered a decline of over 30%.

In terms of in-person winnings, Borgata reported $57.6 million, Hard Rock showed resilience with a 3.9% increase, and Ocean secured just over $33 million, marking an 8.3% increase.

Harrah’s faced challenges with a nearly 21% decline, Caesars reported an almost 8% drop, and Tropicana witnessed a decrease of over 18%. The diverse results highlight the dynamic and competitive nature of the gambling industry in New Jersey.