April 2024
In LIGHT of the data.
April 2024 was a modest month for Atlantic City casino operators as total gross gaming revenues (GGR) for the month increased year over year, but not month over month. These returns were driven entirely by a near record GGR from internet gaming ($10 million shy of last month’s record of $197.2 million).
Sportsbooks statewide benefited from interest in both the men’s and women’s NCAA basketball tournaments with “March Madness” culminating in the finals in early April. In keeping with increasing recognition of women’s sports, interest was especially high for the women’s final, as noted at LIGHT’s recent Shorecast event by Daniel Gallagher, the director of sports sales for the Atlantic City Sports Commission.
Over $1 billion in statewide handle generated nearly $30 million in revenue for Atlantic City-based sportsbooks, 2% shy of their 2023’s sportsbook revenue numbers.
Likely due to early spring weather and an unfavorable calendar, brick-and-mortar gaming revenue in April 2024 fell short of April 2023 by 6%. At $216.8 million, compared to April 2023 ($231.5M) and March 2024 ($239.8M), April 2024 brick-and-mortar gross gaming revenue was not enough to keep pace with internet and sports-betting revenues.
For Atlantic City's gaming operators, maturing internet gaming and expanding sports-betting
markets generated $217.8 million combined in gross revenue for the month — surpassing
brick-and-mortar revenues.
It will be interesting to watch how the return of warm weather and summer visitors
affects the gaming revenue mix for Atlantic City’s operators going into Summer 2024.
While stakeholders should expect to see gains in brick-and-mortar gross gaming revenue over the coming months because of typical seasonal increases in visitation to the city, Atlantic City may actually see greater gains in in-person revenue generated from nongaming operations. It will be many months before a clear picture of this trend is available, but operators’ recent investments in improving resort offerings suggest that a significant shift in the market’s overall revenue mix could be coming. A focus beyond gaming, to the elements that make Atlantic City unique and a stronger competitor against the threat of New York City casinos, is simply good business.
Regarding the first quarter of 2024, Closer review of first-quarter lodging data reveals a more positive outlook than initially suggested by the small drop in occupancy rate would initially suggest.
Atlantic City’s casino resorts sold 10,000 more room nights in the first three months of 2024 than in the same period of 2023 despite a nearly $8 year-over-year increase in average daily room rate (ADR). ADR increased by approximately $4 in first quarter 2023 compared to the same period in 2022. The first quarter 2024 ADR is nearly $35 higher than the same period in 2019.
Leap Day (February 29, 2024) added an additional day to the quarter compared to last year, adding both additional available room nights and the potential for additional sales. This dynamic likely contributed to the slight decrease in occupancy rate year-over-year, despite more room nights being sold.
At 902,092 the number of occupied room nights is the largest seen since 2019 (951,017) and is consistent with a subtle increase in visitation to the city as measured by the South Jersey Transportation Authority’s count of vehicles passing through the Pleasantville Toll Plaza of the Atlantic City Expressway. Vehicle counts for the period January through March 2024 increased 3% over the same period in 2023 and 9.5% compared to the same period in 2022.
This pattern is also seen in total net revenue for the quarter, which was the highest in recent history — growing nearly 2% year-over-year. While the industry might have hoped that this increase in net revenue would translate to an increase in gross operating profit for the period, it was sadly not the case.
While the third highest (in dollar value) in the past eight years, first-quarter Gross Operating Profit was down 8.7% in 2024 compared to the same three-month period in 2023. A variety of market circumstances can explain this dynamic, including an increase in the cost of doing business, inflation, and a potential shift in revenue mix to operations like lodging and food & beverage that traditionally have narrower profit margins.
Atlantic City Gaming Win & Total Casino Revenue
Source: N.J. Division of Gaming Enforcement
| Monthly Revenue (Casino Licensees, $ In Thousands |
April 2024 |
% Change from Prior Year | April 2023 | YTD
2024 |
% Change from Prior Year | YTD 2023 |
|---|---|---|---|---|---|---|
| Casino Gaming Win | 216,834 | -6.3% | 231,474 | 872,888 | -1.6% | 886,765 |
| Internet Gaming Win | 187,879 | 18.2% | 158,937 | 750,690 | 21.1% | 620,108 |
| Sports Wagering Revenue | 29,911 | -2.0% | 30,513 | 151,396 | 28.3% | 117,976 |
| Total Gaming Win (includes Internet & Sports Wagering) | 434,624 | 3.3% | 420,924 | 1,774,975 | 9.2% | 1,624,850 |
| Quarterly Revenue (Industry, $ In Thousands)** | Q1 2024 | % Change from Prior Year | Q1 2023 | YTD March 31, 2024 | % Change from Prior Year | YTD March 31, 2023 |
|---|---|---|---|---|---|---|
| Casino | 417,741 | -0.4% | 419,324 | 417,741 | -0.4% | 419,324 |
| Rooms | 148,126 | 6.1% | 139,649 | 148,126 | 6.1% | 139,649 |
| Food & Beverage | 129,686 | 0.4% | 129,135 | 129,686 | 0.4% | 129,135 |
| Entertainment & Other | 72,359 | 5.6% | 68,530 | 72,359 | 5.6% | 68,530 |
| Casino Licensees Total Revenue | 769,923 | 1.8% | 756,638 | 769,923 | 1.8% | 756,638 |
| Gross Operating Profit (GOP) | 155,397 | -8.7% | 170,177 | 155,397 | -8.7% | 170,177 |
** Data agregated from New Jersey Division of Gaming Enforcement Quarterly Financial Reports for individual properties, includes amended totals as of August 22, 2023. May not match totals from Quarterly Press Releases and Statistical Summaries, which represent a 'snapshot' of data at the time of publication and are not retroactively updated.
Atlantic City Hotel Lodging
Source: N.J. Division of Gaming Enforcement
| Casino Hotel Lodging Statistics For the Period Ended March 31, 2024 & 2023 |
Q1 2024 | Q1 2023 | YTD 2024 | YTD 2023 |
|---|---|---|---|---|
| Occupancy percentage | 64.82% | 65.18% | 64.82% | 65.18% |
| Average Daily Room Rate (ADR) | $164.20 | $156.52 | $164.20 | $156.52 |
| Revenue Per Available Room (RevPAR)* | $106.40 | $102.02 | $106.40 | $102.02 |
* RevPAR= ADR X Occupancy Percentage
Atlantic City Casino Operator Taxes & Fees
Source: N.J. Division of Gaming Enforcement
Total Paid Taxes & Fees |
$202,372,000 | $181,053,000 | 11.78% | |||
|---|---|---|---|---|---|---|
Taxes & Fees |
Q4 2023 | Q4 2022 | % | |||
|
Casino Gaming Gross Revenue Tax |
$41,117,000 | $40,737,000 | 0.93% | |||
|
Internet Gaming Gross Revenue Tax |
$77,886,000 | $66,611,000 | 16.93% | |||
|
Sports Wagering - Retail Gross Revenue Tax (includes racetracks) |
$1,039,000 | $967,000 | 7.45% | |||
|
Sports Wagering - Internet Gross Revenue Tax (includes racetracks) |
$37,005,000 | $30,752,000 | 20.33% | |||
| Investment Alternative Tax/CRDA Obligations | $21,425,000 | $19,237,000 | 11.37% | |||
| 1.25% Additional Tax | $1,405,000 | $1,205,000 | 16.6% | |||
| 1.25% EDT | $2,308,000 | $1,888,000 | 22.25% | |||
| Luxury Tax | $9,556,000 | $8,859,000 | 7.87% | |||
| Tourism Promotion Fee | $1,945,000 | $1,940,000 | 0.26% | |||
| Hotel Room Fee | $2,795,000 | $2,774,000 | 0.76% | |||
| Hotel Room Surcharge | $1,863,000 | $1,849,000 | 0.76% | |||
| Parking Fees | $4,028,000 | 4,234,000 | -4.87% | |||
Atlantic City Casino Operator Spending
Source: Casino Association of New Jersey - Member Reported
| Total | $195,709,608.74 | $166,359,279.56 | 17.64% | ||
|---|---|---|---|---|---|
Purchase of Goods and Services From New Jersey Vendors(By County) |
Q4 2023 | Q4 2022 | % Change | ||
| Atlantic | $104,259,719.11 | $105,505,857.06 | -1.18% | ||
| Bergen | $3,824,016.84 | $3,270,061.78 | 16.94% | ||
| Burlington | $3,748,472.55 | $5,605,478.74 | -33.13% | ||
| Camden | $5,710,417.47 | $6,146,934.11 | -7.1% | ||
| Cape May | $1,973,663.17 | $1,579,216.09 | 24.98% | ||
| Cumberland | $5,057,329.16 | $6,030,951.57 | -16.14% | ||
| Essex | $10,882,741.16 | $7,678,367.27 | 41.73% | ||
| Gloucester | $1,887,327.78 | $1,936,096.3 | -2.52% | ||
| Hudson | $429,999.969 | $498,204.85 | -13.69% | ||
| Hunterdon | $43,220.22 | $55,761.85 | -22.49% | ||
| Mercer | $6,323,970.47 | $6,506,703.72 | -2.81% | ||
| Middlesex | $2,701,846.96 | $3,717,282.54 | -27.32% | ||
| Monmouth | $2,779,287.96 | $3,806,751.83 | -26.99% | ||
| Morris | $2,441,912.24 | $4,440,407.01 | -45.01% | ||
| Ocean | $920,066.49 | $505,796.14 | 81.90% | ||
| Passaic | $1,055,955.44 | $924,441.32 | 14.23% | ||
| Salem | $96,747.31 | $20,920.11 | 362.46% | ||
| Somerset | $1,927,588.7 | $1,877,649.47 | 2.66% | ||
| Sussex | $8,492.97 | $5,640.00 | 50.58% | ||
| Union | $4,545,688.69 | $6,239,387.54 | -27.15% | ||
| Warren | $1,096.77 | $7,370.26 | -85.12% | ||
Other Spending |
Q4 2023 | Q4 2022 | % | |||
|---|---|---|---|---|---|---|
| Capital Expenditures | $64,227,515 | $71,180,013 | -9.77% | |||
| PILOT Contributions (Includes PILOT & additional payments under PILOT legislation) | $28,242,109 | $27,505,652 | 2.68% | |||
| CRDA Special Improvement District | $322,582 | $243,627 | 32.41% | |||
| Municipal/Atlantic City Fees- Water | $1,410,845 | $1,130,895 | 24.75% | |||
| Municipal/Atlantic City Fees- Sewer | $1,251,941 | $1,061,249 | 17.97% | |||
|
Municipal/Atlantic City Fees- Other (permits, boardwalk seating, mercantile etc.) |
$494,103 | $677,473 | -27.07% | |||
| Charitable Contributions | $252,181 | $294,895 | -14.48% | |||
Total Spending |
$96,201,276 | $102,093,806 | -5.77% |
|---|
Atlantic City Statistical Transportation Data
Source: South Jersey Transportation Authority
| Travel Mode | April 2024 |
Change from Prior Year |
April 2023 |
YTD 2024 |
Change from Prior Year |
YTD 2023 |
|---|---|---|---|---|---|---|
| AC Expressway | ||||||
| Total Toll-Paying Traffic Pleasantville Toll Plaza |
1,373,389 | 2.4% | 1,341,194 | 5,323,583 | 2.8% | 5,176,401 |
| AC Airport | ||||||
| Scheduled Service Passengers | 84,156 | 12.8% | 74,640 | 321,656 | 23.9% | 259,650 |
| Charter Passengers | 9,854 | -14.6% | 11,533 | 28,857 | -18.6% | 35,433 |
| Total Air Passengers | 94,010 | 9.1% | 86,173 | 350,513 | 18.8% | 295,083 |
Atlantic City Meetings and Conventions Data
Source: Vist Atlantic City
| April '24 | April '23 | % Change from Prior Year |
TOTAL 2024 YTD |
TOTAL 2023 YTD |
% Change from Prior Year |
|
|---|---|---|---|---|---|---|
| Conventions/Tradeshows/Meetings* | ||||||
| # of Shows | 5 | 6 | -17% | 27 | 31 | -13% |
| # of Room Nights | 6,034 | 7,938 | -24% | 45,457 | 46,618 | -2% |
| # of Delegates | 31,377 | 29,079 | 8% | 210,786 | 242,676 | -13% |
| Delegate Spending | $6,957,919 | $7,500,589 | -7% | $48,108,651 | $52,540,168 | -8% |
| Boardwalk Hall Bookings | ||||||
| # of Shows | 4 | 2 | 100% | 9 | 12 | -25% |
| # of Attendees | 22,703 | 8,983 | 153% | 57,687 | 65,827 | -12% |
| Hotel Bookings | ||||||
| # of Shows | 14 | 14 | 0% | 46 | 38 | 21% |
| # of Room Nights | 8,190 | 5,612 | 46% | 36,288 | 25,675 | 41% |
| # of Attendees | 7,230 | 6,848 | 6% | 39,112 | 27,617 | 42% |
| Delegate Spending | $4,262,043 | $3,201,881 | 33% | $22,528,331 | $15,883,973 | 42% |
| Monthly Totals | ||||||
| # Convs_Trade_Mtgs / Boardwalk Hall / Hotel | 23 | 22 | 5% | 82 | 81 | 1% |
| # of Room Nights | 14,224 | 13,550 | 5% | 81,745 | 72,293 | 13% |
| # of Attendees | 61,310 | 44,910 | 37% | 307,585 | 336,120 | -8% |
| Delegate Spending | $11,219,962 | $10,702,470 | 5% | $70,636,982 | $68,424,141 | 3% |
*Includes Visit Atlantic City events booked at Boardwalk Hall
Atlantic City Information
Atlantic City Mayor and School Superintendent charged - As reported by the Press of Atlantic City, on April 15, Superintendent La'Quetta Small was charged with three counts of disorderly persons simple assault and Mayor Marty Small Sr. was charged with terroristic threats, aggravated assault and disorderly persons simple assault, in the alleged abuse of their teenage daughter.
Casino Reinvestment Development Authority (CRDA) names new director - As reported by The Press of Atlantic City, the CRDA board voted unanimously to name former Atlantic County Sheriff Eric Scheffler as the authority's new executive director.
Housing project proposed for Orange Loop - As reported by The Press of Atlantic City, the Knights of Columbus building on Pacific Avenue at St. James Place, which was recently designated as a historic landmark by Atlantic City City Council, could soon be redeveloped for "workforce housing." A $25.7 million plan would see the five-story structure, built in 1927 and vacant for decades, developed into 40 apartments and ground-floor retail space. Developer 1408 Pacific Avenue LLC has asked for a $2 million loan from the Casino Reinvestment Development Authority (CRDA) to go toward the $4 million purchase of the building. A presentation at a recent CRDA meeting, which secured "preliminary determination of eligibility for the project," outlined financing plans, which include close to $4 million in state historic tax credits, $6 million in grants from the New Jersey Economic Development Authority, another $6 million in grants for workforce housing from the state Housing and Mortgage Finance Agency and funds from other sources.
Moody's Investors Service upgrades Atlantic City's bond rating - As reported by the City of Atlantic City and The Press of Atlantic City, Moody's improved the city's bond rating from Ba2 to Ba1 citing "substantial strengthening of the city's fiscal position."
One person dies as fires damage Boardwalk, Central Pier - As reported by The Press of Atlantic City, there was a fire that claimed the life of an elderly man and damaged Central Pier on April 18, and a fire that damaged the entrance ramp and walkway onto the Boardwalk at St. James Place on April 27. The fires, nine days apart, were a topic of discussion for several interest groups. Atlantic City's historic Boardwalk is currently undergoing a $26 million renovation project.
Petition puts expansion of Atlantic City cannabis "Green Zone" to public vote - As reported by The Press of Atlantic City, in March, the Atlantic City City Council, at the urging of Mayor Marty Small Sr., passed an ordinance to expand the cannabis zone to Albany Avenue on the edge of the Chelsea Heights residential neighborhood. A pettition submitted in April has succeeded in adding a question to the November 2024 ballot that would ask city residents if the ordinance should be repealed.
Plan may be forthcoming for 'Garwood Mills' site in Gardner's Basin - As reported by The Press of Atlantic City, city officials have been meeting with representatives of Kushner Companies, owners of a seven-acre waterfront site across from the city’s maritime park Gardner’s Basin, to encourage their development of the site. The company has yet to develop the property which they purchased from the city in 2004 for $2 million.
Stockton hosts third annual Community Day and Party in the Park - According to a Stockton University news release, members of the Stockton University and Atlantic City community gathered on April 27 for the third annual Community Clean Up and Party in the Park. Further coverage by The Press of Atlantic City.
New Jersey Gaming News
Bally's Atlantic City celebrates 45th Anniversary with capital improvements - As reported by Play NJ, Bally's Atlantic City will debut a new steakhouse, VIP players’ lounge, high-limit slot room and rewards card center for Summer 2024 as the property celebrates its 45th year.
Hard Rock Hotel & Casino Atlantic City to open two new nongaming venues - According to a news release shared by The Press of Atlantic City, Hard Rock Hotel & Casino Atlantic City will open a new outdoor restaurant, The Terrace, and a new nightlife venue, The Balcony, on Memorial Day weekend. A new beach experience is also planned for Summer 2024.
Monmouth Park racetrack breaks ground on Caesars Sportsbook - As reported by Play NJ, Monmouth Park in Oceanport Township, New Jersey, has broken ground on an on-site sportsbook. The 16,000 square-foot facility will feature indoor and outdoor viewing areas, as well as food and beverage offerings.
New Jersey Attorney General and casino union ask judge to dismiss lawsuit that seeks to ban smoking at casinos - As reported by Casino.org and The Associated Press, the New Jersey Attorney General and Unite HERE Local 54, Atlantic City’s main casino workers union, have asked a judge to dismiss a lawsuit brought by the United Auto Workers union. United Auto Workers represents dealers at the Bally’s, Caesars and Tropicana casinos. The lawsuit seeks to overturn New Jersey’s indoor smoking law, which bans it in virtually every workplace except casinos.
Stockton Atlantic City Summer Experience: Live-Work-Learn
National Gaming News
Churchill Downs and FanDuel set new record for Kentucky Derby betting - According to Legal Sports Report, betting on the Kentucky Derby hit record levels reaching $210.7 million in 2024 compared to $188.7 million in 2023. Twin Spires, the betting platform owned by Churchill Downs Incorporated, handled $60.9 million in wagers on the race $12 million more than in 2023. FanDuel had its most significant day of horse betting with more than 700,000 customers betting on the Derby compared to 500,000 in 2023.
Delaware online sportsbooks against market expansion - According to Legal Sports Report, the Delaware Lottery and Rush Street Interactive, the parent company of sole online Delaware sports betting operator BetRivers, are against legislation (HB365) that would expand the market to up to six sportsbooks.
East Coast Gaming Congress held in Atlantic City - As reported by Casino.org and The Press of Atlantic City, gaming industry stakeholders gathered in Atlantic City on April 17 and 18 to discuss challenges and opportunities facing the casino gaming industry. The 27th annual East Coast Gaming Congress also honored David Rebuck, former director of the New Jersey Division of Gaming Enforcement, with a lifetime achievement award.
ESPN Bet branded retail sportsbook opens in Detroit - As reported by Casino.org, the first ESPN Bet branded retail sportsbook opened at Penn Entertainment's Hollywood Casino at Greektown in downtown Detroit.
International online gaming operator 888 sells US assets to Hard Rock Digital - According to a news release shared by Play NJ, international online gaming operator 888 Holdings plc, has decided to sell some of its United States assets to Hard Rock Digital.
Louisiana bans prop bets on college athletes - According to a bulletin issued by the Louisiana Gaming Control Board shared by Legal Sports Report, Louisiana has, as of April 1, effectively banned prop bets on individual college athletes.
Nevadans in favor of indoor casino smoking ban - As reported by Casino.org, a study commissioned by the Nevada Tobacco Control and Smoke-free Coalition has found that nearly 6 in 10 Nevada residents think Nevada’s Clean Indoor Air Act that went into effect in December 2006 should be modified to remove the casino exemption.
Online casino referendum fails in Maryland - According to Legal Sports Report, a referendum legalizing online casino gaming in Maryland failed to pass the state's General Assembly before lawmakers adjouned the current legislative session. Legalizing online gaming in Maryland requires a constitutional amendment. If the referendum had passed the Assembly it could have gone to a public vote in November, as it stands, the next opportunity will not come until 2026.
Pennsylvania bill seeks to prohibit customers from using credit cards to fund online gambling accounts - As reported by Casino.org and Legal Sports Report, Pennsylvania legislators filed legislation (SB1159) that would ban credit card funding for all online gambling.
Pennsylvania casino opens smoke-free gaming lounge - As reported by Casino.org, Mohegan Pennsylvania in the Poconos has opened a smoke-free gaming lounge in partnership with Aristocrat Gaming. The 2,000-square-foot facility features 55 of the latest slot titles from Aristocrat.
Hospitality & Tourism News
Heavily eroded North Wildwood beach to be rebuilt - According to an April 26 joint statement from Gov. Phil Murphy & Mayor Patrick Rosenello, covered by The Press of Atlantic City, beaches in North Wildwood, some of the most severly eroded in the state, will be rebuilt with an unusual project planned through the state Department of Transportation’s Office of Maritime Resources. The project is a stop-gap measure until a U.S. Army Corps of Engineers project can begin.
New restaurant to open at Cape May's Sunset Beach - As reported by The Press of Atlantic City, a new restaurant, Fish House, is set to open at the former site of The Grille at 502 Sunset Blvd., just north of Cape May Point, overlooking the Delaware Bay and the SS Atlantus shipwreck.
Ownership of Miss America Organization disputed - As reported by Casino.org and The Press of Atlantic City, former casino owner Glenn F. Straub has sued Miss America's CEO for $20 million in a dispute regarding the ownership of the long-running beauty pageant.
Spirit Airlines announces closure of Atlantic City International Airport crew base amid restructuring - As reported by NJ.com and The Press of Atlantic City, Spirit Airlines announced that a crew base located at Atlantic City International Airport would close effective Sept. 1 amid a company-wide restructuring plan. The closure will impact 157 pilots and flight crew and follows the termination of a $3.8 billion proposed merger between Spirit and JetBlue.
Thousands gather for Atlantic City Beer & Music Festival - As reported by The Press of Atlantic City, thousands of beer enthusiasts gathered at the Atlantic City Convention Center on April 12 and 13 for the Atlantic City Beer & Music Festival. One-hundred-and-ten breweries, nine restaurants, 64 vendors, six charities and 12 attractions were represented at the event, which will have an outdoor counterpart at Bader Field in July.
LIGHT Snapshots is a publication of the Lloyd D. Levenson Institute of Gaming, Hospitality & Tourism, Stockton University School of Business
Jane Bokunewicz, Ph. D., Faculty Director and Associate Professor of Hospitality
