Atlantic City Casino Revenue October 2018
Thursday 15 October 2020 20:41. The Ocean Casino showed the largest percentage increase in September revenue in Atlantic City, and CEO Terry Glebocki said that was due to serval factors. Harrah's and Caesars reported declines of more than 21 percent, suggesting they suffered the most as the new casinos cannibalized Atlantic City's existing customer base. The Division of Gaming Enforcement said that the New Jersey treasury collected $19.8 million in gaming taxes in October — or $193.2 million for all of 2019. Atlantic City’s casinos have a ways to go reverse that 50% decline: The 2018 figure of $2.896 billion in total revenue, though up 7.5% from 2017, only gets the industry back to 2013 levels. It’s worth noting that had the city’s casino industry stuck to brick-and-mortar gambling only, 2018 would have shown the lowest total revenues in AC. Reduction in the number of casinos in the Atlantic City market has generally resulted in fiscal improvement for the seven remaining casino operations. For the first time in nearly a decade, gross gaming revenue in the physical Atlantic City properties increased for two straight years, 2016 and 2017. Atlantic City gross gambling revenue (GGR) totaled $239 million in October, a 15.8 percent year-over-year premium, but the win largely came at the expense of older casinos. Business is good at the.
- Atlantic City Casino Revenue October 2018 Solicitations
- Atlantic City Casino Revenue October 2018 Calendar
- Atlantic City Casino Revenue October 2018 Printable
- Atlantic City Casino Revenue October 2018 Events
All the attention might be on NJ sports betting, but let’s not forget it all started with Atlantic City casinos.
According to the New Jersey Division of Gaming Enforcementpress release, the casinos had another very good month. Overall, AC casinos brought in $239.1 million in October, a 15.8 percent increase over last year’s figure of $206.4 million.
The overall revenue number includes:
- Casino win
- Online gambling win
- Sports betting revenue
A look at the Atlantic City casino revenue numbers
Everyone might be focused on the latest sports betting revenue, but the casino win accounted for $200.6 million — or 84 percent— of the entire NJ gambling revenue.
Let’s give credit where credit is due.
No doubt, legal NJ sports betting and two new casinos contributed to the nearly 16 percent year-over-year increase for the industry. Especially considering, only one casino posted a positive year-over-year figure.
AC casinos have outperformed year-over-year numbers for the past five months. May was the last month the casino win in 2018 was less than that of 2017.
October’s revenue figure took a dip when compared with September’s though. Casinos earned $231.9 million in September. October’s number represents a 13.5 percent month-over-month decrease.
Of course, there is one extra day in October, but it is still a substantial decline.
What games are people playing?
There is a reason you have to walk by a slot machine to get anywhere in a casino, and that is because slot machines bring in the big bucks.
For October, slotmachines accounted for $142.5 million of the $200.6 million in casino revenue. In other words, the one-arm bandits are responsible for 71.1 percent of casino win and 61.4 percent of the total gaming revenue.
Poker, on the other hand, continues to struggle.
It brought in $1.8 million, a 14.5 percent decrease when compared with last year. Tablegames account for the rest of the revenue posting $58 million for the month. That figure represents a 15.2 percent increase over October 2017.
How the new AC casinos are faring
Hard Rock Atlantic City continues to perform well. After four whole months of revenue reporting, it is just shy of jumping ahead of Harrah’s for third place in revenue.
It brought in $23.2 million for the month. We don’t have year-over-year numbers to compare, so let’s take a look at its performance since it opened in June.
October marks the fourth-straight month of declining revenue for the new casino. In July, its first full month of operation, Hard Rock earned $32.4 million.
Granted July is in the middle of summer, Atlantic City’s busiest time, so a decrease is not surprising. A 28 percent decrease, however, is slightly higher than the 26.6 percent decrease the industry suffered over the same period.
Ocean Resort Casino also posted its lowest revenue total since its grand opening. The casino earned $13.1 million, which puts it in the last place, just slightly behind Resorts.
Compared with its first full month of operation, Ocean Resort is only seeing a 17 percent decrease in revenue. While declining revenue is never really good, Ocean Resort did perform slightly better than the industry average.
AC casino winners
That one casino that posted year-over-year growth mentioned above is (drumroll, please) Tropicana. Furthermore, this is Tropicana’s second-straight month of being the only casino to post an increase in its year-over-year numbers.
October’s growth was relatively small at only 2.1 percent, but growth is growth. For the month, Tropicana brought in $25.1 million compared with $24.6 million last year. The casino is again solidly in second place on the revenue leaderboard.
Atlantic City Casino Revenue October 2018 Solicitations
Borgata Hotel Casino is in the winner’s lounge because it continues to maintain its earnings dominance over the AC casino industry. The casino brought in $50.7 million, more than double that of Tropicana.
Borgata also posted one of the smallest year-over-year declines. Last year, it brought in $55.2 million, which represents an 8.1 percent decrease.
And then there’s the rest
The five remaining casinos fell somewhere in the middle of the pack. Some are higher on the list than others.
Resorts, along with Borgata, posted the smallest year-over-year decline of the casinos trending downward. Resorts better watch its back, though, as Ocean Resort is close to overtaking the property in the revenue battle.
Golden Nugget might be at the bottom of the pack regarding casino win, but its impressive online casino numbersoften overshadow its retail figures. This month is no different as the NJ gambling site nears $10 million in online casino revenue, more than the next two revenue earners combined.
Harrah’s, Caesars, and Bally’s all posted double-digit, year-over-year revenue decline percentages. It is not a good look for Caesars Entertainment to have all three of its AC casinos giving up the most ground to the Boardwalk’s newest residents.
A breakdown of the AC casino win
| Casino | Table & Other | Poker | Slot Machines | Total Revenue |
|---|---|---|---|---|
| Bally's | $4,627,858 | $189,200 | $9,537,836 | $14,354,894 |
| Borgata | $15,865,844 $ | $1,065,111 | $33,800,791 | $50,731,746 |
| Caesars | $6,078,639 | $ - | $14,126,869 | $20,205,508 |
| Golden Nugget | $3,666,504 | $91,408 | $12,552,596 | $16,310,508 |
| Hard Rock | $8,106,130 | $ - | $15,142,610 | $23,248,740 |
| Harrah's | $5,273,651 | $188,998 | $18,329,799 | $23,792,448 |
| Ocean Resort | $4,710,809 | $155,050 | $8,219,645 | $13,085,504 |
| Resorts | $2,879,860 | $ - | $10,878,083 | $13,757,943 |
| Tropicana | $5,094,057 | $154,425 | $19,911,861 | $25,160,343 |
| TOTAL | $57,997,352 | $1,850,192 | $142,500,090 | $200,647,634 |
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You’d think that the news of a Hard Rock opening and the possibility of a second casino launch in 2018 would be good news for the Atlantic City gaming industry.A recent article from TheWashington Post is rife with positive opinions about what will happen with New Jersey’s gambling mecca. But at least one expert, Dr. David G. Schwartz, director of the University of Nevada Las Vegas’ Center for Gaming Research, says the opening of new casinos this year could go either way.
Resorts boss bullish about Atlantic City casinos in the new year
Mark Giannantonio, president of Resorts AC, was an outspoken source in the article.
You’ll remember that it was Giannantonio who was also outspoken about defeating the November 2016 referendum that proposed the opening of two casinos in North Jersey.
While the Resorts boss may have been averse to two new casinos outside the city — he cited cannibalizing — he’s more than happy to see competing casinos open within the city.
Atlantic City Casino Revenue October 2018 Calendar
“I’m extremely optimistic about Atlantic City and the industry in 2018,” he was quoted as saying in the article. “We’re very excited about the renaissance of Atlantic City; we think it’s for real.”
And there certainly is evidence of a renaissance. Several aging casinos in NJ have closed. And as is the case with the Trump Taj Mahal and Hard Rock, international gaming titans have poured money into the city, creating thousands of temporary and permanent jobs.
The momentum in NJ casino and gambling news isn’t just property related either. Toxic owners like Carl Icahn and Glenn Straub are, in one way or another, leaving Atlantic City.
Icahn’s Taj closed its doors in October 2016 and is now the catalyst for Hard Rock’s new property. Straub’s much-maligned TEN AC (formerly Revel) has most likely been sold to a Denver-based developer. Many details are still hazy, but we know Revel will become the new Ocean Resort Casino in 2018.
Atlantic City Casino Revenue October 2018 Printable
Yet, while all of these signs point to continued growth of the AC casino industry, not everyone is as rosy as Giannantonio and others.
Atlantic City Casino Revenue October 2018 Events
Golden Nugget is our favorite NJ online casino, and for good reason. It has more than 500 casino games (the most in New Jersey) and offers live dealer games. It also has great deposit options and an easy-to-use online and mobile interface.
NJ casino revenues could take a hit with new openings
UNLV’s gaming expert Schwartz says that AC’s future isn’t so much about new casinos and a renaissance as it is about pizza.
In an email interview with NJGS, Schwartz said one of two things will happen after the city’s new casinos will open: the revenue pizza will remain the same size and some casinos won’t get as much to eat… or the pizza will get bigger.
“The total gaming revenue for Atlantic City is smaller now than it was when the town supported more casinos,” said Schwartz. “More competition could be a case of dividing the same size pizza among more people, in which case, someone might not get enough to eat.”
But, if new casinos can add a certain level of novelty or innovation that draw more gamblers to AC, that pizza could go from a large to an extra large.
That certainly could be the case with the opening of the Hard Rock. The new hotel and casino will provide plenty of novelty for visitors.
Schwartz said the city’s growth and success is still up in the air. AC’s history proves that growth is good but can be tempered by the influence of casinos in neighboring states.
“It all depends on how the new properties market themselves and operate and how the existing operators react,” said Schwartz. “Historically, Las Vegas has benefited from more competition and new investment. Atlantic City did until increasing competition from other jurisdictions eroded the city’s casino customer base.”