NJ Gambling Sites Come Up Clutch With Another $20 Million Month; Could December Be A Record Breaker?

It's now been nine straight months that NJ gambling sites have generated $20 mm plus. But it does appear the industry is reaching maturity.
Share on facebook
Share on twitter
Share on email

Key takeaways

  • NJ online casinos banked over $20 million for ninth consecutive month
  • Casino revenue was up 0.9% M/M and 24.6% Y/Y
  • Casino revenue seems to have stabalized; explosive growth may be a thing of the past
  • WSOP/888poker only poker sites to post gains, likely due to the New Jersey Poker Classic
  • Poker continues its slide downward, with a 6.4% M/M decrease and a 13.1% Y/Y decrease
  • Borgata’s new partners, playMGM and Scores, haven’t had significant positive effect on revenue

NJ online casino November revenue breakdown

NJ online casinos banked $20,610,216 in November, a 20% year-over-year gain, according to data released Wednesday by the Division of Gaming Enforcement (DGE). The state’s poker sites contributed $1,809,799 to the total, while casino game revenue accounted for $18,800,417.

The figures represent a 13% year-on-year decrease for poker and a 25% Y/Y online casino gain.

While a 20% Y/Y increase may seem quite impressive, it represents the second smallest margin of Y/Y growth of 2017.

Poker festivals offer brief respite to industry slide

Caesars was the only online poker licensee to enjoy a revenue increase in November, likely due to the running of WSOP NJ and 888 poker’s New Jersey Poker Classic, a 38 event MTT festival which guaranteed $500,000.

While the event proved a success, it was still not enough to turn the tide for online poker as a whole for the month. In October, PokerStars ran its own festival, NJCOOP, which boosted its earnings for the period, but November was a return to the site’s downward form, with revenue dipping 11.3% M/M to $693,463. It was the site’s second lowest tally of 2017.

Borgata, which recently added two new sites, playMGM and Scores to its poker network, continued its own four-month slide. The dip suggests that the additional poker rooms are not bringing in new players in any significant numbers.

Online casino revenue remains stable

November marks the ninth consecutive month that NJ online casinos have taken in over $20 million. Traditionally, operators have celebrated the anniversary of the November launch of online gambling in the state with a slate of special promotions, which tend to boost revenue for the month.

While casino revenue was up moderately — 5.1% M/M after normalizing for November’s shorter length — these promos don’t seem to have moved the needle as much as operators would have hoped. Instead, the trend of the last nine months suggests a movement toward stabilization, and that we might not continue to see the explosive growth the industry has previously enjoyed.

However, there’s a fair chance that December revenue will buck this trend, at least temporarily. That’s because several sites have rolled out lucrative six-figure giveaways, with Play SugarHouse and Golden Nugget Casino really pushing the envelope. Even Betfair Casino, which has notoriously shied away from top-flight promotions, is displaying some holiday spirit.

Not to mention, last December the onset a new revenue record, shattering the previous record by over $1 million. Should it replicate that effort, than revenue should come close, if not exceed, March’s record breaker of $21.75 million.

November by the numbers

Each NJ online casino licensee, minus Tropicana, saw slight month over month gains in November. Golden Nugget dominated the field with a total of $6,193,991, a figure approaching its $6.2 million record take in July this year. Caesars, which is also partnered with 888 and Harrah’s, took in the least of the group, with $2,817,155.

Even with an additional two casino sites at its side, Borgata has not seen a casino revenue bump, as its take has remained relatively in line with industry trends for the past several months.

Thus far in 2017, NJ gambling sites have raked in a total of $224,848,336, handing back nearly $40 million in tax revenue to the state. Poker revenue, which now accounts for less than 10% of the industry total, is at $22,322,400, while online casino has risen to $202,525,936.

For perspective, last year the industry took in $196,709,430 for the entire year. It’s already eclipsed that figure by more than $28 million and there’s still one month of revenue reporting remaining.

Total November 2017 revenue

Golden Nugget$6,193,991.00$6,193,991.00$1,083,948.43
November totals$1,809,799.00$18,800,417.00$20,610,216.00$3,606,787.80

Total 2017 revenue

Golden Nugget$62,481,964$62,481,964$10,934,344
2017 Totals$22,322,400$202,525,936$224,848,336$39,348,459
Share on facebook
Share on twitter
Share on email

Related Posts

[ 'FBIOS', 'Twitter for iPhone', 'WebView', '(iPhone|iPod|iPad)(?!.*Safari/)', 'Android.*(wv|.0.0.0)' ]
[ 'FBIOS', 'Twitter for iPhone', 'WebView', '(iPhone|iPod|iPad)(?!.*Safari/)', 'Android.*(wv|.0.0.0)' ]