Coronavirus decimated every sector of the world. At the moment, places like Las Vegas and Atlantic City, which are big spots for gambling games, now rely on the tax revenue generated from online gambling.
On May 13, 2020, New Jersey’s Division of Gaming Enforcement (DGE) issued an Internet gaming and sports betting financial information for April 2020 in the state. According to the information, New Jersey’s online revenue has increased drastically.
In April, games won in online gambling in New Jersey were worth $80.0 million, when compared to $36.6 million in the prior period in 2019; thus showing the annual increase of more than 118 percent. These victories also reflect a $15 million increase in March 2020.
It is important to know that online poker surged to a state record in April, after it attained $5.15 million, surpassing the state’s former record of $3.6 million in March 2020 during its lockdown as a result of the Coronavirus pandemic. Casinos such as Caesars Interactive NJ raked in $8.7 million, which is twice as what it had last year. Additionally, online poker games saw a significant increase.
The month of April was the first month that Atlantic City’s casinos witnessed a closure, and this led to a big decrease in the revenue generated for the state. It is also necessary to know that the COVID-19 pandemic led to a 69 percent decline in revenue at the 9 casinos that are in Atlantic City when compared to the same month last year.
For the annual period, the Industry’s Total Gaming Revenue was about $833.9 million when compared to $1.03 billion, showing a decrease of 19.1 percent. However, the number of victories online was increased by 78.1 percent to $251.9 million when compared to the prior period.
The decrease in revenue struck sports gambling too. In April, sports only raked in $2.6 million in revenue for the state based on $54.5 million worth of bets. About $314 million worth of sports bets was done in New Jersey.
Phil Murphy, New Jersey Governor stated that they will be a lockdown on all brick-and-mortar casinos in the state and he has yet to announce when the state will reopen its casinos. More than 20,000 employees in these casinos have been out of work for months.
All casinos in the resort town were struck hard by the pandemic. Again, Borgata saw its revenue decrease to nearly 73 percent in these times. Harrah’s and Caesars recorded no revenue at all for the month. Bally’s took raked in about $20,000 in sports betting revenue for a complete decrease of 99.9% from last year. Also, Ocean Casino Resort was down 92.5 percent to $1.2 million, most of its revenue came from online gambling. Hard Rock dipped by nearly 82 percent to $4.5 million. Tropicana was down nearly 79 percent to just under $6 million. All these places do not have fully functioning online casino sites, and that caused their decline in revenue.
Only Golden Nugget casino recorded much revenue than the rest; it saw $27.6 million in revenue for the month, a decline of 6 percent.