Golden Nugget Claims New Jersey Online Gambling Crown Once Again In June

New Jersey continues to set the standard for regulated US online gambling and sports betting.

NJ online casinos combined to earn $38.1 million in June, barely $1 million off the all-time revenue record set in March. NJ online poker sites account for barely 5% of the total, a percentage which is slowly dripping down from around 8% a year ago.

Data comes from the latest monthly report published by the NJ Division of Gaming Enforcement.

It was another fine report for operators in New Jersey — and the last without serious competition in the region. Pennsylvania became the first new state to enter the industry in more than five years with the long-awaited launch of PA online casinos in July.

NJ online gambling highlights — June 2019

Here’s what jumps off the page in the June report:

• Total online gambling revenue of $38,058,244 is the third-highest total for any month.
• Standalone online casino revenue of $36,288,066 is also the third-most to date.
• Combined revenue crested $30 million with ease, extending a streak that began in January.
• Revenue was up 68% compared to last June ($22.7 million).

June’s data serves to reinforce the trends that have developed in the first half of 2019.

Golden Nugget still has a stranglehold on the market, a position it has held every month this year. Its $13.6 million in June revenue is still hovering around its personal best — and nearly twice the haul of any competing operator. The Golden Nugget dominance extends back to December 2016 when it first claimed the top spot.

Although it cooled off a bit in June, revenue for Resorts has grown even more sharply this year. It earned $6.9 million for the month across online casino and poker, putting it comfortably in second place on the leaderboard. The recent addition of DraftKings Casino to its network has Resorts on course to (eventually) challenge for the top spot.

Including NJ online sports betting, the internet accounted for $45 million in total revenue in June.

NJ online gambling revenue breakdown

Revenue / month-over-month (normalized) / year-over-year:

• Total: $38.1 million / +2.6% / +67.8%
• Online casinos: $36.3 million / +2.6% / +73.4%
• Online poker sites: $1.8 million / +1.8% / +0.7%

Look at all those plus signs!

NJ online casinos continued their unbelievable run, with revenue increasing almost 75% over the last year. Golden Nugget is responsible — both directly and indirectly — for the bulk of the overall market growth during the past two years.

The poker vertical remains stuck in the mud, but the last few reports reveal a moderately encouraging trend.

While a fractional uptick in revenue is nothing to write home about, 1% annual growth is still growth — and it’s a lot better than shrinkage. Revenue is essentially flat, at least, leveling off from its years-long slide. You can thank NJ participation in WSOP online bracelet events for helping to shore up that number in June.

A full recovery to 2014 levels likely hinges on Pennsylvania joining the multi-state poker alliance. PA online poker sites are not even live in their market yet, though, so that’s still a maybe in the distant future.

NJ online sports betting revenue

• Total NJ sports betting: $9.7 million
• Online sports betting: $6.9 million

Read more about the NJ sports betting numbers on Legal Sports Report.

NJ online gambling winners and losers

• Borgata (Borgata, playMGM, Pala, partypoker): Third place isn’t a bad place to be, and Borgata has settled comfortably into that role. The $6 million it earned in June represents annual growth of 50% and a new revenue record for the group. The Borgata network has also begun to open up a bit of a gap over the fourth-place challenger(s) in recent months.
• Caesars (888, Caesars, Harrah’s, WSOP NJ): Caesars is that fourth-place network, responsible for about $5 million in June revenue. Casino games represented the bulk of that total ($4.1 million), though poker enjoyed a nice little bump from the first month of online bracelet events. WSOP NJ recorded $862,000 in revenue for the month, its best since February 2016.
• Golden Nugget (Betfair, Golden Nugget, SugarHouse): We’re running out of superlatives for Golden Nugget, which has complete control of the NJ market. It added another $13.6 million to its coffers in June, extending a streak of eight-figure months that dates back to last December. No competing online casino has ever reached $8 million in any month.
• Hard Rock (Hard Rock, Unibet): The addition of a second brand to the network made an immediate impact on the bottom line. Unibet entered NJ under the Hard Rock license in June, resulting in the steepest month-to-month growth of any group. The duo combined for about $2.4 million in online casino revenue, up almost 60% from May.
• Ocean Resort (Ocean Resort): Ocean has struggled to get its online casino off the ground. It generated just $357,000 in June revenue (and $5.5 million total since launching last July). Its online sportsbook is off to an encouraging start, though, responsible for the second-most revenue among the competition in Atlantic City.
• Resorts AC (DraftKings, Mohegan Sun, PokerStars, Resorts): After months of shuffling around on the podium, Resorts has emerged as the clear No. 2 in the market. Its network combined to earn more than $6.9 million in online revenue for June, putting it in second place for the sixth consecutive month. The group’s online poker revenue took a big step backward, though, which can likely be attributed to that same WSOP NJ traffic increase.
• Tropicana (Tropicana, Virgin): Monthly revenue for the Tropicana network has held steady around $3.5 million for several years, and June 2019 was no exception. It won $3.75 million for the period and, while its consistency is admirable, Tropicana has not grown in parallel with the competition over the past year. Its online casino revenue is up just 4% annually, while the surrounding market has grown nearly 75%.

A broader view of NJ online gambling revenue

Charting NJ online gambling revenue over the last calendar year helps us visualize some of the overarching storylines. Here’s how the data breaks down by operator:

The quickest of glances is enough to see evidence of Golden Nugget’s domination. Its online casino earned $134.5 million for the year, more than twice the take of any competitor (and 37% of the total market). The Nugget also offers an online sportsbook of average quality, which generated a $1 million sliver of revenue after launching in September.

That Resorts bar is something, huh?

Its graph shows impeccable balance, with online casino and online sports betting, each accounting for more than $50 million in revenue. Much of that — on both accounts — comes courtesy of DraftKings. So far, no other Atlantic City casino has a sportsbook app under its license that holds a candle to DraftKings Sportsbook.

Resorts is also one of just three licensees that offers online poker (via PokerStars), and its $7.2 million in revenue is not insignificant either. Overall, though, the graph illustrates what a small slice of the total pie poker represents.

Policymakers in other states considering online gambling legislation could learn a thing or two from this data, too.

Operators combined to earn more than $355 million from their online casinos over this period, paying back more than $53 million in tax revenue to the state of New Jersey. While sports betting is all the rage in 2019, the young NJ online sportsbooks drove far less revenue — $67 million — to those operators.

Detailed numbers by operator/product