Forget Nevada; there is a new gambling hub in the country that is giving Las Vegas a run for its money. In the past one-year, Atlantic City has grown both its reputation as a gambling hub as well as its revenues. With Atlantic City growing at such a rate, Nevada may have to fight a tough battle with New Jersey.
Awesome third-quarter revenues
After the recession, Atlantic City lost its reputation as a profitable gambling market. However, 2019 has been a great year for the city as revenue has continued to increase exponentially. After the state of New Jersey legalized sports gambling in May last year, every casino is now licensed to operate a sportsbook. With the increasing revenues, New Jersey is the most profitable gambling market in the world, much ahead of Nevada.
The latest reports suggest that Atlantic City casinos earned $26.5 million in gross profits in Q3 2019, marking a 12.5% rise from Q3 last year. The city has nine casinos which earned $928.9 million in net revenue translation of roughly $300 million every month. Q3 was expected to be an awesome time for the city’s casinos as July, August and September are peak gambling months.
The Borgata Casino was the biggest beneficiary of this gambling frenzy. It made over $210 million in revenue during the quarter, almost twice as much as Hard Rock Atlantic City. The casino earned over $106 million and became the second top money-spinner in the city.
Emerging Trends in the city
New Jersey’s Casino Control Commission Chairman James T. Plousis noted,
“Positive trends also continued with important tourism indicators. Non-gaming amenities continue to create a competitive advantage, and visitors like the diverse dining, entertainment and leisure activities that Atlantic City has to offer.”
Though some casinos did better than others, all of them enjoyed better revenues. As winter approaches, there could be some slowdown in their earnings. However, they are still expected to be higher than last year. But it is not just casinos that will come to the holiday party. Online sports betting is also legal in the state, which would not slow down with the weather. Of the $487.9 million placed on sports bets in October in New Jersey, 85% were made online. This means that the state can continue to reap profits, even if land-based casinos experience a little slowdown.
Casino Association of New Jersey, Steve Callender said that New Jersey’s sportsbooks had passed Nevada’s figures, and the industry holds a lot of promise.