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Atlantic City brick-and-mortar casino revenue slides again in Q3

| By iGB Freelance
On Friday (22 November), the New Jersey Division of Gaming Enforcement (DGE) released the Atlantic City casino industry’s third-quarter financial reports, and once again the news was uninspiring.
canoe with atlantic city stenciled on

Third-quarter net revenue for Atlantic City’s 12 casinos showed collective revenue of $943.2 million (£750.2 million/€898.2 million). This was down almost 3% when compared to the same quarter in 2023.

Gross operating profits for the industry fared even worse, falling by 13.6% from Q3 2023 to $242.9 million. This number reflects earnings before interest, taxes, depreciation, amortization, and charges from casino affiliates, among other items. As the DGE press release notes, the gross operating profit number “is a widely accepted measure of profitability in the Atlantic City gaming industry.”

For the calendar year 2024, gross profits are at $576.6 million. That’s down 8.8% compared to the first nine months of 2023.

Even hotel occupancy has slipped slightly, from 75.2% at this point in 2023 to 74.1% so far in 2024.

Despite concerns, it could be worse for Atlantic City

This scenario is not nearly as dire as a decade ago. At that time, five of what were then Atlantic City’s 12 casinos shuttered amid faltering revenue. In 2018, Hard Rock Casino opened from the shell of Trump Taj Mahal, while Ocean Casino debuted at the site of the ill-fated Revel casino project.

All nine current Atlantic City casinos were profitable in the third quarter. But only Caesars and Hard Rock improved their numbers from the same quarter in 2023.

Read the full story here.

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