2017 a good year for Atlantic City casinos
News on 10 Apr 2018
News on 10 Apr 2018
New Jersey regulator the Division of Gaming Enforcement (DGE) has reported a healthier 2017 for Atlantic City casinos, with gross operating profits up 22.5 percent year-on-year and revenues up 5 percent.
The regulator reports that almost all of the seven casinos did well last year, delivering nearly $133 million more in gross operating profit than in 2016, when there were eight casinos open in the city.
Overall casino net revenue, including online gaming, increased to more than $2.67 billion in the full year, compared with $2.5 billion among current operators for the same period in 2016
Internet gaming accounted for more than $25 million in operating profits in 2017.
Christopher Glaum, deputy chief of finance for the DGE revealed:
“Three casino hotels reported record net revenue and gross operating profit under current ownership, and both internet casino licensees had their best year as well. Industry-wide, strong growth in net revenue led to gross operating profit growth in excess of 20 percent for the year. These operating results bode well for the industry expansion expected to occur in mid-2018.”
James Plousis, chairman of the New Jersey Casino Control Commission, agreed, observing that the results illustrate the improving health of the casino industry.
“The industry is on the verge of a significant expansion this summer which will create a new array of attractions and attract a lot of additional visitors to the city,” Plousis said Monday, referring to the anticipated opening of both Hard Rock Hotel & Casino Atlantic City and Ocean Resort Casino.
“That expansion may put pressure on the current operators, but I think the industry is well positioned to deal with the new competition.”
Borgata Hotel Casino & Spa once again led the way in 2017, reporting more than $290 million in profits last year, up 19.5 percent, well ahead of nearest rival Tropicana Atlantic City, which saw the largest percentage increase in both profit and net revenue in 2017 compared to 2016. The casino reported nearly $92 million in profit in 2017 (2016: $54 million) with net revenue up 12.1 percent at $386 million.
