Following ten years of grappling with financial shortfalls, Atlantic City has rebounded to profitability, largely due to the surge in internet gaming.
New Jersey’s gaming sector experienced a slight 1.5% revenue growth in 2016, marking the first upward trend after a decade of consecutive decline. This revival was driven by the flourishing online gambling industry in New Jersey, which propelled Atlantic City’s casinos to their initial revenue increase in ten years.
The city’s seven casinos generated $2.6 billion in gaming income last year, signifying the first year-on-year rise since 2006 when the city boasted 12 casinos and a peak $5.2 billion in revenue.
Internet gambling revenue in New Jersey hit $1.967 billion in 2016, a 32% jump from 2015. Casino game revenue escalated by 36% to $1.702 billion, while poker revenue climbed 11% to $26.5 million.
Although revenue from physical casinos saw a minor dip, this was attributed to the closure of the Taj Mahal casino, which resulted in a $65 million reduction. Only two casinos encountered revenue dips in 2016, with Harrah’s decreasing by $16 million to $358 million. Nevertheless, excluding online gambling contributions, the market would have experienced a 0.3% year-on-year decrease.
After three difficult years that witnessed the closure of five casinos and the loss of at least 11,000 jobs, the sustained expansion of New Jersey’s leading online gambling market is aiding Atlantic City’s casinos in finding a new balance.
On a brighter note, Pennsylvania, the second-largest gaming market in the US, is anticipated to witness a 1% revenue increase, reaching $3…
The video game sector experienced a significant financial upswing in 2016, generating a substantial revenue of $2 billion. Nevada, widely recognized as the gambling epicenter of the United States, announced its initial profitable period following the economic downturn of 2008, marking a positive development.