New Jersey's Gambling Market Sees Growth in June

New Jersey's gambling market demonstrated impressive growth in June, driven primarily by land-based casinos and a burgeoning igaming sector. According to recent data, the state's gambling revenues climbed by 7.4%, totaling $491.0 million. This figure not only surpasses last June's earnings of $457.2 million but also marks a solid performance, despite trailing May's figures by 3.7%.

Land-Based Casinos and Slot Machines Hold Steady

Revenue from land-based casinos in New Jersey reached a commendable $244.1 million, representing a modest 1.0% increase. Slot machines remain a significant draw for gamblers, generating $184.0 million—a 0.6% rise—while table games experienced a 2.5% uptick, bringing in $60.1 million. These figures highlight the consistent appeal of traditional gaming venues amidst a diversifying market landscape.

Igaming: The Sector on the Rise

The igaming sector has emerged as a formidable force, with revenue soaring by an impressive 25.2% year-on-year to reach $186.8 million. Though still trailing behind the land-based sector by $57.3 million, this surge underscores the growing popularity and acceptance of online gambling platforms. Within this sector, "other authorised games" made a substantial contribution, generating $184.4 million—up 25.6%. However, peer-to-peer poker saw a slight dip, with revenues declining by 2.9% to $2.5 million.

Among the top performers in the igaming realm, Golden Nugget led the pack with $51.5 million in revenue, reflecting a 23.3% increase from the previous year. Resorts Digital followed closely, reporting a remarkable 36.4% year-on-year growth, reaching $48.6 million. The Borgata also showed robust performance with $42.9 million in revenue, marking an 8.8% increase. These figures highlight the competitive and dynamic nature of New Jersey's igaming industry.

Sports Betting Faces Challenges

Sports betting, on the other hand, encountered some challenges. Revenue for this segment fell by 9.5% year-on-year to $60.1 million and was down 23.7% from May's $78.8 million. Despite this decline, the volume of bets placed by New Jersey residents tells a different story, with a substantial 26.6% increase year-on-year, totaling $748.4 million. Online betting dominated the scene, accounting for $719.0 million of the total, while retail sportsbooks saw $29.5 million in bets.

The leading players in sports betting revenue included FanDuel, generating $29.1 million, followed by DraftKings with $14.4 million. BetMGM and Bet365 contributed $3.7 million and $3.4 million, respectively. New entrant Fanatics Sportsbook also made a notable impact with $1.8 million in revenue.

Tax Contributions and Market Resilience

New Jersey's gambling industry not only contributed significantly to the economy through revenues but also made substantial tax contributions, totaling $47.8 million in June. 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. Retail sports wagering from casinos contributed a modest $7,782 in taxes, while racetracks paid $71,191.

Looking at the broader picture, the total market revenue for the first six months of the year reached $3.06 billion—a notable 12.2% rise from last year's $2.73 billion. Land-based casinos contributed $1.36 billion to this total, with slot machines generating $998.3 million and table games $357.8 million in revenue. The igaming sector also showed strong growth, with a 21.4% increase year-on-year, reaching $1.1 billion.

Other authorized games within igaming led the charge with $1.12 billion, up 21.8%, while peer-to-peer poker contributed $14.1 million, despite a 4.2% decline. Sports betting for the first half of the year amassed $573.1 million, up 30.0% year-on-year, with the year-to-date handle surpassing $6.76 billion. Online sports betting was particularly dominant, contributing $6.53 billion, while retail locations accounted for $231.0 million.

Overall, New Jersey’s gambling market reflects a complex yet resilient landscape. With consistent growth in land-based casinos and a significant surge in igaming, the state has managed to balance challenges in the sports betting sector effectively. This diverse and robust industry continues to be a vital component of New Jersey's economic fabric.