New Jersey Online Gambling Revenue On Pace For $150m In 2015

Posted By Steve Ruddock on November 16, 2015

The New Jersey Division of Gaming Enforcement released its October 2015 monthly online gambling revenue reports on Friday, and the report offers plenty of reasons to be optimistic about the future of iGaming in the Garden State.

October was the industry’s second best month ever (trailing only March of 2015), and the $12.8 million in gross gaming revenue represented 22 percent year-over-year growth and 7 percent month-over-month growth.

NJ online casino revenue was up an astounding 32 percent, while iPoker continued its year-over-year decline, ending October down 15 percent, but up 8 percent MoM.

NJ online gambling year-over-year growth remains impressive

With 22 percent YoY growth, New Jersey’s online gambling operators have now tallied $121,613,337 through the first 10 months of 2015 – the industry’s final tally for FY2014 was just $123 million.

At this same time in 2014, the total tally was $98,251,880, a difference of nearly 20 percent YoY. If New Jersey’s iGaming industry continues to post upwards of 20 percent YoY growth in November and December (which seems almost certain considering November of 2014 was the second worst month revenue-wise in the history of New Jersey iGaming), it will post another $25-30 million and end 2015 with around $150 million in gross gaming revenue.

Percentage YoY change:

  • January +18%
  • February +9%
  • March +10%
  • April +10%
  • May +19%
  • June +23%
  • July +24%
  • August +16%
  • September +15%
  • October +22%

An impressive $22.5 million of the industry’s revenue will end up in the state’s coffers as tax revenue – a number that should serve to silence any remaining iGaming naysayers.

There is also a very interesting development to keep an eye on going forward. October revenue is the first time New Jersey’s iGaming revenue didn’t mirror the previous year – the chart below shows how the industry has ebbed and flowed from month-to-month almost in unison.

Last October, the industry experienced a dramatic month-over-month decline in revenue; in 2015 there was a dramatic month-over-month increase.

NJ rev 2

How did the individual operators do?

  1. Borgata: $3,498,988
    1. Borgata Poker: $1,079,478
    2. Borgata Casino: $2,419,510
  2. Caesars: $2,655,925
    1. Caesars Poker: $833,925
    2. Caesars Casino: $2,068,837
  3. Tropicana: $2,850,154
  4. Golden Nugget: $2,712,847
  5. Resorts: $944,299

Borgata holds

Borgata’s iGaming revenue experienced a slight uptick in October on the back of a 14 percent MoM gain in iPoker revenue. As the only real dual threat in the market (sorry, Caesars), Borgata will likely continue to be the overall leader until the launch of PokerStars adds Resorts to the dual threat category.

Golden Nugget continues to rise

Golden Nugget posted solid 12 percent month-over-month gains in October, and its $2.7 million would have been good enough for the top iCasino spot in September. However, this wasn’t September, and the number one iCasino revenue generator was once again Tropicana.

Tropicana holds on to the #1 spot

Tropicana held on to the top spot by posting 9 percent MoM gains, enough to hold off the Golden Nugget.

Resorts NJ online casino experiences first decline

For the first time since it launched in February of 2015, Resorts iCasino revenue experienced a MoM decline. The decline was slight, and while I hate to speculate, the drop could very likely have been a case of the casino paying out a significant jackpot in October.

Resorts’ online gaming performance since launch:

  1. February: $50,909
  2. March: $154,071
  3. April: $212,739
  4. May: $324,662
  5. June: $400,600
  6. July: $558,316
  7. August: $735,140
  8. September: $944,299
  9. October: $899,184

Caesars good month

After falling into the middling category, Caesars online casino revenue eclipsed the $2 million mark for the first time since March of 2014. The company also saw revenue up slightly on the iPoker side in October.

All-in-all, this is far and away Caesars’ best month in quite awhile, and gives the company’s New jersey iGaming platform hope moving forward.

Historical look at online gambling revenue in NJ

NJ rev 1

*Data includes adjustments for 7-figure jackpots paid out – a $1.3 million slot jackpot in June 2014 and a $1.5 million table game jackpot in February 2015.

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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