New Jersey's Gambling Market Demonstrates Resilience with Growth Across Sectors

New Jersey's gambling market has demonstrated notable resilience, showing consistent growth across multiple sectors in June. The state's overall gambling revenue rose by 7.4% year-on-year, reaching a substantial $491.0 million, exceeding last June's $457.2 million. However, this figure falls short by 3.7% compared to May’s peak of $510.0 million.

Land-Based Casinos and Igaming Surge

Revenue from land-based casinos saw a marginal increase of 1.0%, totaling $244.1 million for the month. Slot machines contributed significantly to this, generating $184.0 million, which marks a 0.6% rise. Table games also showed positive growth, with a 2.5% increase leading to $60.1 million in revenue.

The igaming sector experienced a remarkable surge, with revenues soaring by 25.2% year-on-year to $186.8 million. Despite this impressive growth, igaming revenue still trailed behind the land-based sector by $57.3 million. Within the igaming category, "other authorized games" were particularly lucrative, contributing $184.4 million, reflecting a 25.6% increase. On the other hand, peer-to-peer poker saw a decline of 2.9%, bringing in just $2.5 million.

Casino-Specific Performances

Among the key players, Golden Nugget emerged as the top performer in the igaming segment with a revenue of $51.5 million, up by 23.3% from the previous year. Resorts Digital wasn't far behind, generating $48.6 million, marking a 36.4% year-on-year increase. The Borgata also posted a solid performance, with igaming revenue reaching $42.9 million, an 8.8% increase from last year's figures.

Sports Betting Faces Decline Amid Increased Betting Activity

While igaming and land-based casinos thrived, the sports betting sector faced some challenges. Revenue from sports betting dipped by 9.5% year-on-year to $60.1 million, and it was also down 23.7% from May's $78.8 million. Despite the revenue drop, New Jersey residents placed a substantial $748.4 million worth of bets, a significant 26.6% increase from last year's $591.1 million. Majority of these bets, valued at $719.0 million, were made online, whereas retail sportsbooks recorded $29.5 million in bets.

Among sports betting operators, FanDuel led the pack with $29.1 million in revenue. DraftKings followed, generating $14.4 million, while BetMGM and Bet365 reported $3.7 million and $3.4 million respectively. Fanatics Sportsbook also made a notable contribution with $1.8 million in revenue.

Tax Contributions and Overall Market Health

New Jersey's gambling industry made significant tax contributions in June, totaling $47.8 million. This included $16.2 million from land-based casino gross revenue tax, $28.0 million from igaming internet gross revenue tax, and $3.6 million from internet sports wagering tax. Additionally, retail sports wagering from casinos and racetracks contributed $7,782 and $71,191 in taxes respectively.

Looking at the broader picture, the total market revenue for the first half of the year reached an impressive $3.06 billion, marking a 12.2% rise from last year's $2.73 billion. Land-based casinos accounted for $1.36 billion of this total, with slot machines and table games contributing $998.3 million and $357.8 million respectively. Igaming revenue for the first six months stood at $1.1 billion, reflecting a robust 21.4% increase from the previous year. "Other authorized games" brought in $1.12 billion, up 21.8%, while peer-to-peer poker contributed $14.1 million, albeit with a 4.2% decline.

Sports Betting YTD Performance

The sports betting sector also showed strong year-to-date performance, with total revenue of $573.1 million, up 30.0% year-on-year. The year-to-date handle for sports betting surpassed $6.76 billion, with online sports betting contributing a massive $6.53 billion and retail locations adding $231.0 million.

New Jersey's gambling market demonstrates a resilient growth trajectory, buoyed by the strength of its igaming and land-based casino sectors, despite some hurdles in the sports betting domain. With continuous adaptations and strategic advancements, the state’s gambling industry continues to forge ahead, solidifying its position as a powerhouse in the national gambling landscape.