Atlantic City Gambling Industry May Be Stabilizing
Recent revenue figures reveal that Atlantic City may be on the mend with an overall increase over the past six months in regards to land based gaming.
Atlantic City has been provided gambling options for residents and visitors for decades. Over the past few years, the industry has struggled with casinos closing or filing for bankruptcy. Legislators have been trying to find ways for the city to get back on their feet, even going so far as recommending a state takeover. Recent revenue figures have revealed that the city may be beginning to stabilize after several years of struggle.
21% Increase in Revenues for First Six Months of 2016
The New Jersey Division of Gaming Enforcement have released figures in a collective report which shows Atlantic City has seen a profit increase of 21% within the first six months of 2016. On Monday, the figures showed that all eight of the remaining casinos have earned around $259 million which is much more than the $213 million earned last year for the same time frame. Operating profits are up 15% for gambling halls, with $152 million earned which is $20 million more than the same time frame last year.
Matt Levinson, the Chairman of the New Jersey Casino Commission, stated that the results show that profits are slowly but surely increasing for Atlantic City. Profits are actually at their highest for January to July since 2010.
Things Could Change Soon
While the casinos in Atlantic City seem to be stabilizing, this could change again if voters decide this November to allow casinos to be constructed into the northern portion of the state. Two venues would be created if voters check yes in the majority. There have already been several advertisements and campaigns created that are for and against the northern casino gaming option.
Breaking Down the Figures
When you break down the figures, the Borgata Casino was able to see the biggest increase in gaming revenues for the second quarter, earning $106 million which was a 27% increase from 2015. Resorts Casino reported an increase of 26% with $5.7 million in earnings for the six month time frame. Tropicana was right behind at 25% increase with $17 million earned.
The Golden Nugget had an increase of 12% with $13.3 million earned while Bally’s was up 8% with $17 million produced. The Taj Mahal had less profits, with only $2 million but had $9.6 million in losses last year.
Online Casino Gambling
Online gambling has been going quite well in New Jersey with online casino games taking precedence. The figures released by the Division of Gaming Enforcement showed that Caesars Interactive NJ was able to see nice profits for 2016, earning $5.2 million. This is much more than the $857,000 earned last year. Resorts Digital actually saw a loss with operations, losing out on $1.4 million. However, this amount is less than the $3 million that was lost last year.
Online casinos operate in the state while working with online gambling partners. Casinos have to have licensing in place and have a partner that operates online gambling to be able to offer services. It will be interesting to see if the state decides to offer gaming in the northern region, if the new casinos will begin to offer online gambling as well. This will not only see the land based gaming industry grow but the online industry as well.
Discussions have yet to be had as to if northern casinos would offer online gaming but one could assume that operators would want to be able to take part as well.