July 2024
In LIGHT of the data.
Total gaming revenue for Atlantic City's casino operators, including internet and sports wagering which grew 26% and 34% in July 2024 over July 2023, increased 7% for the month and nearly 9% for the year-to-date. With these new revenue streams included, operators saw some of the highest single-month, total gross gaming revenue in recent history. With the gains in July 2024 sports betting revenue, last month's dip seems to be an anomaly.
While many were hopeful that the summer of 2024 for Atlantic City casinos would see a rebound in drive-in visitors after last year鈥檚 trend of people taking their 鈥渄ream vacation鈥 and flying to destinations, the July in-person gaming numbers suggest that is not the case. In-person revenue for the month was down 6% compared to July 2023, which itself was down 3% from 2022. Although the market has changed considerably in the past five years, the July 2024 (at $272.3 million) in-person casino revenue is not far off from that of July 2019 (at $277.2 million).
Record high volumes of passengers traveling through U.S. airports this year (as reported by the TSA) might suggest that more people are choosing fly-to destinations for their vacations compared to drive-to destinations or even 鈥渟taycations.鈥 This would be a reversal or more likely a rebound of recent trends that have favored drive-to destinations as the result of some travelers鈥 post-pandemic reluctance to fly. This favoring of drive-to destinations likely boosted Atlantic City's revenues in 2023 and 2022 compared to previous years.
The second quarter data was less encouraging than Atlantic City鈥檚 operators may have hoped.
Overall, the key metrics of gross operating profit (GOP), net revenue and occupancy appear to be more or less flat in comparison to the last three post-pandemic second quarters.
Despite respectable performance in the first and second quarters, net revenue gains did not translate into GOP growth. GOP is down nearly five percent for the first half of the year despite a 1.5% increase in total net-revenue for the same period.
Hardly comparable, given changes in market conditions such as inflation and increased labor costs, second quarter 2024 did exceed pre-pandemic, second quarter 2019 for both net revenue and GOP.
Continuing a trend in the growing importance of non-gaming to Atlantic City operators鈥 revenue mix, non-gaming contributions in second quarter 2024, at $416.1 million, compared favorably to the same period in 2023 ($399.7 million) and 2022 ($374.2 million). Non-gaming operations contributed 50.1% of total net revenue in second quarter 2024, 47% in 2023 and 44% in 2022. This may be an encouraging sign that the city is expanding its tourism offerings in a way that may help it keep pace with regional competitors in the future.
Atlantic City Gaming Win & Total Casino Revenue
Source:
| Monthly Revenue (Casino Licensees, $ In Thousands |
July 2024 |
% Change from Prior Year | July 2023 | YTD
2024 |
% Change from Prior Year | YTD 2023 |
|---|---|---|---|---|---|---|
| Casino Gaming Win | 272,328 | -6.1% | 289,977 | 1,628,435 | -1.0% | 1,645,650 |
| Internet Gaming Win | 195,396 | 25.9% | 155,165 | 1,325,006 | 22.0% | 1,085,978, |
| Sports Wagering Revenue | 43,049 | 34.5% | 31,997 | 257,620 | 16.9% | 220,325 |
| Total Gaming Win (includes Internet & Sports Wagering) | 510,773 | 7.0% | 477,139 | 3,211,061 | 8.8% | 2,951,953 |
| Quarterly Revenue (Industry, $ In Thousands)** | Q2 2024 | % Change from Prior Year | Q2 2023 | YTD June 30, 2024 | % Change from Prior Year | YTD June 30, 2023 |
|---|---|---|---|---|---|---|
| Casino | 413,657 | -1.3% | 419,297 | 831,398 | -0.9% | 838,621 |
| Rooms | 182,695 | 1.7% | 179,634 | 330,821 | 3.6% | 319,283 |
| Food & Beverage | 144,582 | 2.6% | 140,970 | 274,268 | 1.5% | 270,105 |
| Entertainment & Other | 88,830 | 12.4 | 79,059 | 163,200 | 10.6% | 147,589 |
| Casino Licensees Total Revenue | 829,764 | 1.3% | 818,960 | 1,599,687 | 1.5% | 1,575,598 |
| Gross Operating Profit (GOP) | 178,385 | -1.3% | 180,737 | 333,782 | -4.9% | 350,914 |
** Data agregated from New Jersey Division of Gaming Enforcement for individual properties, includes amended totals as of August 22, 2023. May not match totals from which represent a 'snapshot' of data at the time of publication and are not retroactively updated.
Atlantic City Hotel Lodging
Source:
| Casino Hotel Lodging Statistics For the Period Ended June 30, 2024 & 2023 |
Q2 2024 | Q2 2023 | YTD 2024 | YTD 2023 |
|---|---|---|---|---|
| Occupancy percentage | 73.3% | 74.4% | 69.1% | 69.8% |
| Average Daily Room Rate (ADR) | $178.55 | $173.22 | $171.83 | $165.50 |
| Revenue Per Available Room (RevPAR)* | $130.88 | $128.88 | $118.73 | $115.52 |
* RevPAR= ADR X Occupancy Percentage
Atlantic City Casino Operator Taxes & Fees
Source:
Total Paid Taxes & Fees |
$214,709,000 | $181,307,000 | 18.4% | |||
|---|---|---|---|---|---|---|
Taxes & Fees |
Q1 2024 | Q1 2023 | % | |||
|
Casino Gaming Gross Revenue Tax |
$42,013,000 | $41,808,000 | 0.5% | |||
|
Internet Gaming Gross Revenue Tax |
$84,576,000 | $69,260,000 | 22.1% | |||
|
Sports Wagering - Retail Gross Revenue Tax (includes racetracks) |
$866,000 | $735,000 | 17.8% | |||
|
Sports Wagering - Internet Gross Revenue Tax (includes racetracks) |
$41,479,000 | $27,740,000 | 49.5% | |||
| Investment Alternative Tax/CRDA Obligations | $22,297,000 | $19,739,000 | 13.0% | |||
| 1.25% Additional Tax | $1,525,000 | $1,132,000 | 34.7% | |||
| 1.25% EDT | $2,582,000 | $1,657,000 | 55.8% | |||
| Luxury Tax | $9,074,000 | $8,654,000 | 4.9% | |||
| Tourism Promotion Fee | $1,825,000 | $1,876,000 | -2.7% | |||
| Hotel Room Fee | $2,706,000 | $2,677,000 | 1.1% | |||
| Hotel Room Surcharge | $1,804,000 | $1,784,000 | 1.1% | |||
| Parking Fees | $3,962,000 | $4,245,000 | -6.7% | |||
Atlantic City Casino Operator Spending
Source: - Member Reported
| Total | $195,709,608.74 | $166,359,279.56 | 17.64% | ||
|---|---|---|---|---|---|
Purchase of Goods and Services From New Jersey Vendors(By County) |
Q4 2023 | Q4 2022 | % Change | ||
| Atlantic | $104,259,719.11 | $105,505,857.06 | -1.18% | ||
| Bergen | $3,824,016.84 | $3,270,061.78 | 16.94% | ||
| Burlington | $3,748,472.55 | $5,605,478.74 | -33.13% | ||
| Camden | $5,710,417.47 | $6,146,934.11 | -7.1% | ||
| Cape May | $1,973,663.17 | $1,579,216.09 | 24.98% | ||
| Cumberland | $5,057,329.16 | $6,030,951.57 | -16.14% | ||
| Essex | $10,882,741.16 | $7,678,367.27 | 41.73% | ||
| Gloucester | $1,887,327.78 | $1,936,096.3 | -2.52% | ||
| Hudson | $429,999.969 | $498,204.85 | -13.69% | ||
| Hunterdon | $43,220.22 | $55,761.85 | -22.49% | ||
| Mercer | $6,323,970.47 | $6,506,703.72 | -2.81% | ||
| Middlesex | $2,701,846.96 | $3,717,282.54 | -27.32% | ||
| Monmouth | $2,779,287.96 | $3,806,751.83 | -26.99% | ||
| Morris | $2,441,912.24 | $4,440,407.01 | -45.01% | ||
| Ocean | $920,066.49 | $505,796.14 | 81.90% | ||
| Passaic | $1,055,955.44 | $924,441.32 | 14.23% | ||
| Salem | $96,747.31 | $20,920.11 | 362.46% | ||
| Somerset | $1,927,588.7 | $1,877,649.47 | 2.66% | ||
| Sussex | $8,492.97 | $5,640.00 | 50.58% | ||
| Union | $4,545,688.69 | $6,239,387.54 | -27.15% | ||
| Warren | $1,096.77 | $7,370.26 | -85.12% | ||
Other Spending |
Q4 2023 | Q4 2022 | % | |||
|---|---|---|---|---|---|---|
| Capital Expenditures | $64,227,515 | $71,180,013 | -9.77% | |||
| PILOT Contributions (Includes PILOT & additional payments under PILOT legislation) | $28,242,109 | $27,505,652 | 2.68% | |||
| CRDA Special Improvement District | $322,582 | $243,627 | 32.41% | |||
| Municipal/Atlantic City Fees- Water | $1,410,845 | $1,130,895 | 24.75% | |||
| Municipal/Atlantic City Fees- Sewer | $1,251,941 | $1,061,249 | 17.97% | |||
|
Municipal/Atlantic City Fees- Other (permits, boardwalk seating, mercantile etc.) |
$494,103 | $677,473 | -27.07% | |||
| Charitable Contributions | $252,181 | $294,895 | -14.48% | |||
Total Spending |
$96,201,276 | $102,093,806 | -5.77% |
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