(ATLANTIC CITY, N.J.)(CNBNewsnet)— New Jersey’s legal online gambling industry posted yet another strong month in April, but the industry’s run of monthly gross revenue records was snapped. More importantly for the future of the industry, though, the Supreme Court’s ruling that lifted the ban on sports betting and the beginning of interstate online poker on May 1 shows that the industry’s best days are still ahead, according to the analysts at PlayNJ.com.
“A perfect storm is brewing for New Jersey’s legal online gambling industry,” said PlayNJ.com lead analyst Steve Ruddock. “Already setting monthly revenue records, the SCOTUS ruling this week and the beginning of interstate online poker, which should help revive the online poker market, will bode well for the industry. Add the expected June launches of the online sites for Hard Rock AC and Ocean Resorts, and New Jersey is at the forefront of an expanding market.”
New Jersey online casinos generated $23.02 million in gross revenue in April, according to New Jersey’s monthly Internet Gross Revenue Report, released Monday. It is down 10 percent from the record $25.6 million that New Jersey’s online casino hauled in March, but still the second-best mark in industry history.
The first three months of 2018 brought the three highest revenue totals since New Jersey legalized and regulated online gambling in late 2013, amassing $69.5 million in the first quarter, up 17.3 percent from $59.3 million in Q1 2017. Still April’s mark was up 10.6 percent from $20.8 million in April 2017.
"After three consecutive record months, a slowdown was to be expected,” Ruddock said. “Much of the month-over-month decline is seasonal. The record storms that hit in the first quarter were a boon for the online gambling industry. Despite better weather, though, April was historically strong.”
The gambling industry’s biggest news Monday was New Jersey’s U.S. Supreme Court win that paves the way for sports betting in the state and beyond. The case should have far-reaching effects on the New Jersey legal online gambling industry.
"New Jersey will likely be the first state to introduce regulated sports betting following the Supreme Court ruling,” Ruddock said. “The state has been preparing for this day longer than any other, and is likely to have full-fledged sports betting available before the start of the NFL season."
Some other important metrics from the April report:
With April’s total, New Jersey is on pace to tally $277.7 million for the year. After starting the year with $722.4 million in revenue since the industry was born in November 2013, the $1 billion mark is in reach by the end of 2018.
The industry generated $767,292 per day in the 30 days of April, that is down from the record $825,168 per day in the 31 days of March.
New Jersey online casinos paid $4.03 in taxes to the state in April. Since New Jersey legalized and regulated online gambling, the Garden State’s online casinos have generated $142.6 million in tax revenue for the state.
Online casino games generated $21.3 million in April, down 9.7 percent from $23.6 million in March.
Online poker brought in $1.8 million in April, down from $1.97 million in March.
Market leader Golden Nugget — home to the Golden Nugget, Betfair, and SugarHouse online casino brands — generated $8.1 million in April. That is down 6.9 percent from the record $8.7 million it generated in March.
For more information and analysis on regulated online gaming in New Jersey, visit PlayNJ.com.
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The PlayUSA Network is a leading source for news, analysis, and research related to the market for regulated online gaming in the United States. With a presence in over a dozen states, PlayUSA.com and its state-focused branches (including PlayNJ.com, PlayNY.com, PlayPennsylvania.com, and PlayCA.com) produce daily original reporting, publish in-depth research, and offer player advocacy tools related to the advancement of safe, licensed, and legal online gaming options for consumers. Based in Las Vegas, The PlayUSA Network is independently owned and operated, with no affiliations to any casino — commercial, tribal, online, or otherwise.