NJ Online Casinos Reach New High-Water Mark In January Behind Strong Month By Golden Nugget

Posted on February 15, 2018

The New Jersey Division of Gaming Enforcement revealed the first online gambling revenue numbers for 2018 on Wednesday and January was a record-setting month.

After tallying nearly $250 million in revenue over the course of 2017, NJ online casinos started 2018 off with its best month to date. Total NJ online casino revenue was just shy of $22 million in January, a new record for the industry.

January 2018 was the 11th consecutive month with revenues above $20 million, but the first time online casino revenue eclipsed the $20 million mark without the help of online poker revenue.

Top line numbers

Here are the top line numbers from the NJDGE’s January revenue reports:

  • Online casino revenue: $20,011,643
  • Online poker revenue: $1,950,696
  • Total online gaming revenue: $21,962,339
  • Year to date online gambling revenue: $21,962,339

Market shows signs of slowing growth

As has been the case for countless months, growth continues to come exclusively from online casino games, as online poker continues to be an albatross around the industry’s neck.

  • Online poker: -16.6 percent
  • Online casino: +21.42 percent
  • Total revenue: +16.7 percent

New Jersey’s entrance into the Multi-State Internet Gaming Association (MSIGA) will hopefully see online poker numbers rise, or at least stabilize, once the state begins pooling its players with Nevada and Delaware.

Growth trends

As seen in the chart below, the New Jersey online gaming industry has yet to experience a year-over-year decline in any month.

There’s no signs of the market reaching maturity, but growth is waning.

The slowdown started at the tail-end of 2017, and that trend continued in January, with year-over-year growth of just under 17 percent for the month. That’s still a strong number, but it’s safe to say that the months of 30-percent-plus growth are over.

That said, there could be a growth spurt in the second half of 2018.

Here’s why:

  1. Hard Rock AC and Ocean Resort Casino will launch online gaming websites.
  2. The launch of online gambling in Pennsylvania could open up a new market for NJ operators, as well as an advertising focus on the Philadelphia TV market, which extends deep into New Jersey.
  3. The interstate poker agreement New Jersey entered should stabilize the online poker market.

Casino by casino analysis

NJ online casino January 2018

 

Borgata is the best of the rest

It was another $4 million month for Borgata, but all that has earned the company is the “best of the rest” moniker. Everyone, including Borgata, is straining their necks looking up at Golden Nugget.

Golden Nugget hits $7 million

After posting the industry’s first $7 million month, Golden Nugget now owns a 33 percent market share, and is on the verge of lapping its competitors.

It was Golden Nugget’s first $7-million month, fourth straight $6-million month, and 12th consecutive month of revenue above $5 million.

For perspective, no other New Jersey casino has put together a single $5 million month.

Tropicana faltering

Tropicana was one of the early surprises in the market, but the casino seemed to run into a ceiling of sorts. More recently, Tropicana’s online gambling revenue has ticked down.

Resorts takes a small hit

It was a solid month for Resorts, as revenue rose over 20 percent year over year.

Most of the gains were on the casino side, as Resorts’ online casino revenue ticked back above $3 million for the first time since May, and just the third time overall.

Caesars revenue continues to be chaotic

January was a down month for Caesars, as the three-headed monster continues to bounce back and forth between good months and bad months.

[show-table name=cta-golden-nugget]

Historical look at iGaming revenue in NJ

Be sure to check our New Jersey iGaming revenue page for a detailed breakdown of online gambling revenue in the Garden State.

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Steve Ruddock

Steve covers nearly every angle of online poker in his job as a full-time freelance poker writer. His primary focus is the developing legal and legislative picture for regulated US online poker and gambling.

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