December 2023
In LIGHT of the data.
2023 may prove to be a landmark year for Atlantic City casino operators as they set a new record high for total gaming revenue. At $5.24 billion, year-end 2023 beat out the industry’s 2006 peak ($5.22) by a clear margin. At $2.85 billion, Atlantic City casino operator’s brick-and-mortar gaming revenue for the year was the highest it’s been since 2013.
New record high total gaming revenue would not have been possible without the contributions of new gaming products — internet gaming and sports wagering — which contributed nearly 46% of total gaming revenue for the year. Year-over-year these revenue streams grew by 15.7% and 60.6%, respectively, while in-person casino gaming still managed a 2.2% increase.
The industry’s gamble on innovative new gaming products for the internet gaming and sports wagering markets seems to be paying off. Operators continue to evolve to meet the changing preferences of consumers and compete with offerings from local and regional competitors. The year-over-year increase in brick-and-mortar gaming revenue is evidence that the demand for in-person gaming experiences is undiminished and suggests that this mature market may yet see even greater growth as operators and stakeholders continue to invest in Atlantic City as a destination resort.
Atlantic City Gaming Win & Total Casino Revenue
Source: N.J. Division of Gaming Enforcement
| Monthly Revenue (Casino Licensees, $ In Thousands |
December 2023 |
% Change from Prior Year | December 2022 | YTD
December 2023 |
% Change from Prior Year | YTD December 2022 |
|---|---|---|---|---|---|---|
| Casino Gaming Win | $232,450 | 7.8% | $215,631 | $2,847,916 | 2.2% | $2,785,624 |
| Internet Gaming Win | $180,308 | 19.1% | $151,455 | $1,923,742 | 15.7% | $1,662,696 |
| Sports Wagering Revenue | $52,434 | 36.0% | $38,558 | $471,670 | 60.6% | $293,721 |
| Total Gaming Win (includes Internet & Sports Wagering) | $465,192 | 14.7% | $405,645 | $5,243,328 | 10.6% | $4,742,041 |
| Quarterly Net Revenue (Industry, $ In Thousands)** | Q3 2023 | % Change from Prior Year | Q3 2022 | YTD September 30, 2023 | % Change from Prior Year | YTD September 30, 2022 |
|---|---|---|---|---|---|---|
| Casino | 433,501 | -7.6% | 469,191 | 1,272,122 | -7.3% | 1,372,068 |
| Rooms | 263,111 | 0.5% | 261,869 | 582,394 | 5.1% | 554,210 |
| Food & Beverage | 169,137 | 5.3% | 160,595 | 439,242 | 10.9% | 396,066 |
| Entertainment & Other | 106,032 | 19.8% | 88,486 | 253,621 | 20.9% | 209,760 |
| Casino Licensees Total Revenue | 971,781 | -0.9% | 980,141 | 2,547,378 | 0.6% | 2,532,104 |
| Gross Operating Profit (GOP) | 281,213 | -7.5% | 304,070 | 632,127 | -4.2% | 660,140 |
** 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 September 30, 2023 & 2022 |
Q3 2023 | Q3 2022 | YTD 2023 | YTD 2022 |
|---|---|---|---|---|
| Occupancy percentage | 85.6% | 86.7% | 75.2% | 76.2% |
| Average Daily Room Rate (ADR) | $217.74 | $216.55 | $185.61 | $184.71 |
| Revenue Per Available Room (RevPAR)* | $186.38 | $187.75 | $139.58 | $140.75 |
* RevPAR= ADR X Occupancy Percentage
Atlantic City Casino Operator Taxes & Fees
Source: N.J. Division of Gaming Enforcement
Total Paid Taxes & Fees |
$183,378,000 | $164,624,000 | 11.4% | |||
|---|---|---|---|---|---|---|
Taxes & Fees |
Q2 2023 | Q2 2022 | % | |||
|
Casino Gaming Gross Revenue Tax |
$43,860,000 | $45,085,000 | -2.7% | |||
|
Internet Gaming Gross Revenue Tax |
$70,339,000 | $60,911,000 | 15.5% | |||
|
Sports Wagering - Retail Gross Revenue Tax (includes racetracks) |
$778,000 | $1,010,000 | -23.0% | |||
|
Sports Wagering - Internet Gross Revenue Tax (includes racetracks) |
$27,279,000 | $18,327,000 | 48.8% | |||
| Investment Alternative Tax/CRDA Obligations | $20,479,000 | $18,871,000 | 9% | |||
| 1.25% Additional Tax | $1,255,000 | $643,000 | 95.2% | |||
| 1.25% EDT | $1,504,000 | $1,255,000 | 19.8% | |||
| Luxury Tax | $11,114,000 | $11,258,000 | -1.3% | |||
| Tourism Promotion Fee | $2,172,000 | $2,565,000 | -15.3% | |||
| Parking Fees | $4,598,000 | $4,699,000 | -2.1% | |||
**Add Tax Notes
Atlantic City Casino Operator Spending
Source: Casino Association of New Jersey - Member Reported
| Total | $183,102,000 | $183,251,000 | -0.08% | ||
|---|---|---|---|---|---|
Purchase of Goods and Services From New Jersey Vendors(By County) |
Q2 2023 | Q2 2022 | % | ||
| Atlantic | $129,091,000 | $140,881,000 | -8.37% | ||
| Bergen | $3,808,000 | $2,582,000 | 47.47% | ||
| Burlington | $5,057,000 | $4,238,000 | 19.30% | ||
| Camden | $6,243,000 | $5,336,000 | 16.98% | ||
| Cape May | $2,834,000 | $2,151,000 | 31.76% | ||
| Cumberland | $6,628,000 | $5,483,000 | 20.88% | ||
| Essex | $5,005,000 | $7,537,000 | -33.59% | ||
| Gloucester | $2,269,000 | $2,456,000 | -7.60% | ||
| Hudson | $800,000 | $669,000 | 19.60% | ||
| Hunterdon | $32,000 | $45,000 | -29.03% | ||
| Mercer | $678,000 | $8,582,000 | -92.10% | ||
| Middlesex | $3,422,000 | $3,337,000 | 2.55% | ||
| Monmouth | $3,195,000 | $2,894,000 | 10.39% | ||
| Morris | $1,285,000 | $1,017,000 | 26.36% | ||
| Ocean | $1,413,000 | $532,000 | 165.62% | ||
| Passaic | $777,000 | $871,000 | -10.79% | ||
| Salem | $81,000 | $12,000 | 580.82% | ||
| Somerset | $2,132,000 | $2,370,000 | -10.07% | ||
| Sussex | $10,000 | $8,000 | 27.92% | ||
| Union | $7,258,000 | $7,325,000 | -0.92% | ||
| Warren | $1,000 | $1,000 | 94.30% | ||
Other Spending |
Q2 2023 | Q2 2022 | % | |||
|---|---|---|---|---|---|---|
| Capital Expenditures | $82,333,000 | $109,136,000 | -25% | |||
| PILOT Contributions (Includes PILOT & additional payments under PILOT legislation) | $29,126,000 | $28,946,000 | 1% | |||
| CRDA Special Improvement District | $314,000 | $249,000 | 26% | |||
| Municipal/Atlantic City Fees- Water | $1,207,000 | $1,122,000 | 8% | |||
| Municipal/Atlantic City Fees- Sewer | $3,963,000 | $2,322,000 | 71% | |||
|
Municipal/Atlantic City Fees- Other (permits, boardwalk seating, mercantile etc.) |
$1,229,000 | $392,000 | 214% | |||
| Charitable Contributions | $333,000 | $272,000 | 22% | |||
Total Spending |
$301,606,000 | $325,689,000 | -7% |
|---|
Atlantic City Statistical Transportation Data
Source: South Jersey Transportation Authority
| Travel Mode | November 2023 |
Change from Prior Year |
November 2022 |
YTD November 2023 |
Change from Prior Year |
YTD November 2022 |
|---|---|---|---|---|---|---|
| AC Expressway | ||||||
| Total Toll-Paying Traffic Pleasantville Toll Plaza |
1,354,091 | 4.5% | 1,295,360 | 16,544,599 | 3.2% | 16,029,472 |
| AC Airport | ||||||
| Scheduled Service Passengers | 77,811 | 27.1% | 61,203 | 723,576 | -7.2% | 779,570 |
| Charter Passengers | 7,354 | -23.2% | 9,580 | 122,339 | 9.3% | 111,908 |
| Total Air Passengers | 85,165 | 20.3% | 70,783 | 845,915 | -5.1% | 891,478 |
Atlantic City Meetings and Conventions Data
Source: VistAC
| December '23 | December '22 | % Change from Prior Year |
TOTAL 2023 YTD |
TOTAL 2022 YTD |
% Change from Prior Year |
|
|---|---|---|---|---|---|---|
| Conventions/Tradeshows/Meetings* | ||||||
| # of Shows | 13 | 14 | -7% | 90 | 93 | -3% |
| # of Room Nights | 4,721 | 5,557 | -15% | 111,933 | 125,222 | -11% |
| # of Delegates | 8,634 | 9,101 | -5% | 472,432 | 441,971 | 7% |
| Delegate Spending | $5,376,521 | $3,666,222 | 47% | $121,192,789 | $113,995,282 | 6% |
| Boardwalk Hall Bookings | ||||||
| # of Shows | 2 | 1 | 100% | 37 | 39 | -5% |
| # of Attendees | 4,594 | 125 | 3575% | 181,591 | 175,336 | 4% |
| Hotel Bookings | ||||||
| # of Shows | 6 | 8 | -25% | 118 | 154 | -23% |
| # of Room Nights | 4,040 | 4,588 | -12% | 88,026 | 120,297 | -27% |
| # of Attendees** | 6,058 | 6,274 | -3% | 120,854 | 180,438 | -33% |
| Delegate Spending+ | $2,614,966 | $3,130,927 | -16% | $55,825,002 | $78,100,744 | -29% |
| Monthly Totals | ||||||
| # Convs_Trade_Mtgs / Boardwalk Hall / Hotel | 21 | 23 | -9% | 245 | 286 | -14% |
| # of Room Nights | 8,761 | 10,145 | -14% | 199,959 | 245,519 | -19% |
| # of Attendees | 19,286 | 15,500 | 24% | 774,877 | 797,745 | -3% |
| Delegate Spending | $7,991,487 | $6,797,149 | 18% | $177,017,791 | $192,096,026 | -8% |
*Includes Visit Atlantic City events booked at Boardwalk Hall
**January 2023 vs January 2022 Hotel Attendee variance is due to an event moved from hotel venue in 2022 to Boardwalk Hall* in 2023
+May 2022 Convention Center delegate spending updated due to an error in calculation formula
Atlantic City Information
Atlantic City mayor's office reports 91.2% of goals met for the year - As reported by The Press of Atlantic City, at a Dec. 18 news conference, Atlantic City Mayor Marty Small Sr. stated that his administration had accomplished 119 of 127 goals set for 2023. Among the goals not met, the construction of a full service supermarket in the city. The city's largest existing food store, Save-A-Lot at Renaissance Plaza, will receive a $250,000 subsidy following a Dec. 19 vote by the Casino Reinvestment Development Authority (CRDA) board in the hope that it will remain open at least through April 2025.
CRDA names interim executive director - As reported by The Press of Atlantic City, Deputy Director Maisha Y. Moore has been named interim executive of the CRDA following the departure of former director Sean Pattwell.
First midtown apartment building since 1986 opens in Atlantic City - As reported by The Press of Atlantic City, on Dec. 19 developers cut the ribbon for The James, a new mixed commercial- and residential-use building located at 124 St. James Place. The property is the first apartment building to be built in the city's midtown district in almost 40 years.
New Jersey Economic Development Authority (NJEDA) commits $19.6 million to economic projects in Atlantic City - As reported by The Press of Atlantic City, the NJEDA is set to allocate $19.6 million for projects in Atlantic City through the Atlantic City Revitalization Grant Program. Renovation or restoration of vacant buildings, as well as new construction aimed at improving the vitality of the city’s downtown, are eligible for funding. Projects that create jobs or office space, address food insecurity, or further the city’s clean and safe initiatives are being encouraged. Further reporting from ROI-NJ.
Repaving of Atlantic Avenue begins amid conflict over 'Road Diet' - As reported by The Press of Atlantic City, as of Dec. 13, the first phase of repaving Atlantic Avenue and implementing a controversial 'road diet' had begun. Phase 1, which runs from Maine Avenue in the Inlet to Tennessee Avenue in midtown, will cost an estimated $10.7 million, and should, according to the mayor's office, be finished by the end of the year. As reported by Casino.org, five casinos have filed a lawsuit requesting a stop to the project while its impact is studied.
New Jersey Gaming News
Borgata announces new president and chief operating officer - As reported by Play NJ, effective May 1, Niklas "Nik" Rytterstrom will replace Travis Lunn as president and COO of Borgata Hotel Casino & Spa. Lunn will become president and COO of the Mandalay Bay and Luxor casinos in Las Vegas, effective June 1. Rytterstrom will be the fourth person appointed to the role at Borgata in the last seven years.
Delay in decision over Casino Smoking Ban - As reported by The Press of Atlantic City, New Jersey legislators canceled a vote on the fate of a bill that would close a loophole in the state's indoor smoking ban that presently permits smoking on up to 25% of casino gaming floors. Members of the United Auto Workers union disrupted a Dec. 14 meeting of a state Assembly committee to protest the delay. Additional reporting from Play NJ and Casino.org.
New Jersey legislature advances bill requiring colleges to offer a gambling addiction awareness education program - As recorded in the state legislature and reported by Play NJ, on Dec. 7, Bill A5498, which "requires public institutions of higher education to establish gambling addiction prevention program," was passed 72-1-0 by the state assembly. The bill was received by the Senate on Dec. 11 and referred to the Senate Higher Education Committee (S4231). If passed, the new law would only apply to institutions that partner with a New Jersey sports betting operator or intermediary - at present no such partnerships exist and the industry has committed to eliminating the practice of partnering with schools.
RLX Gaming partners with BetMGM to launch in New Jersey - As reported by Play NJ, casino game provider RLX Gaming is launching content in New Jersey through a partnership with BetMGM. This is the first U.S. offering for the Malta-based group.
Stockton Atlantic City Summer Experience: Live-Work-Learn
National Gaming News
American Gaming Association names new chairman, senior vice president of strategic communications - According to Dec. 5 and 7 news releases, the American Gaming Association (AGA) has named a new chairman and senior vice president of strategic communications. Michael Rumbolz, executive chair of the board of Everi Holdings Inc., was elected by the AGA board of directors to succeed Hard Rock International Chairman and Seminole Gaming CEO Jim Allen as AGA Chairman. Joe Maloney "will lead the association’s communications, research, marketing and public affairs campaigns" as the new senior vice president of strategic communications.
Connecticut replaces Rush Street Interactive with Fanatics Sportsbook - According to Legal Sports Report, Fanatics Sportsbook, through a partnership with the Connecticut Lottery Corporation, will offer in-person and online sports wagering in the state. The arrangement replaces a previous agreement between the corporation and Rush Street Interactive. FanDuel Sportsbook and DraftKings Sportsbook hold the two remaining sports betting licenses in the state through partnerships with tribal operators Mohegan Sun and Foxwoods, respectively.
Delaware becomes 28th state to launch online sports betting - As reported by Casino.org, on Dec. 27, the Delaware Lottery launched legal online sports betting through a partnership with iGaming and Online Sportsbook provider BetRivers. The partnership follows the dissolution of Delaware lottery's relationship with 888 Holdings, which previously offered iGaming (but not online sports betting) in the state. Delaware is one of six states (including New Jersey) which offers legal iGaming.
Entain CEO Jette Nygaard-Andersen resigns - As reported by Casino.org, and Legal Sports Report, Entain CEO Jette Nygaard-Andersen stepped down on Dec. 13. Non-executive Director Stella David will take over as interim CEO of the BetMGM joint venture partner while a permanent replacement is found.
Florida online sports betting remains contested - As reported by Casino.org, Fox13 Tampa Bay, and Legal Sports Report, 2, on Dec. 2, the Seminole Tribe of Florida relaunched online sports betting in Florida through its Hard Rock Bet sportsbook app. Pari-mutual operator West Flager Associates continues to challenge the 2021 gaming compact reached between the tribe and Florida Gov. Ron DeSantis, which authorized gaming expansion in the state.
Pennsylvania Commonwealth Court rules that "skill games" are not gambling - As reported by Casino.org, on Nov. 30, the Commonwealth Court of Pennsylvania published a unanimous ruling agreeing with Dauphin County Judge Andrew Dowling’s March concluision that skill games do not violate the state’s Gaming Act or Crimes Code. As reported by Play Pennsylvania the state's Attorney General's office plans to appeal the decision at the Supreme Court level.
Hospitality & Tourism News
AHLA issues statement on U.S. Supreme Court action in case challenging 'tester lawsuits' - In a Dec. 5 news release responding to U.S. Supreme Court action in the case of Acheson Hotels, LLC v. Laufer, the AHLA noted the ubiquity of "tester lawsuits," which are lawsuits "in which plaintiffs file hundreds of legal complaints against hotels seeking quick settlements." The hotel operator in the case chose to challenge whether serial litigants have standing to sue hotels under the Americans with Disabilities Act (ADA) without any intention of visiting the property. In vacating and remanding the case the Court "sent a message to other serial litigants against ‘manipulating the jurisdiction of the (Supreme Court),’ and revealed how the court ‘might exercise its discretion differently in a future case.’' The AHLA viewed this as progress for "small business hoteliers who for years have been victimized by drive-by and click-by tester lawsuits."
Dave & Buster's opens in Atlantic City - As reported by The Press of Atlantic City, Dave & Buster's opened in Atlantic City on Dec. 14. The 21,900-square-foot entertainment and restaurant center located at 2120 Atlantic Ave. is expected to bring about 160 new jobs to the city.
Madison Resorts acquires Royal Hawaiian motel, aims to create largest resort in Cape May County - As reported by The Press of Atlantic City, Madison Resorts has aquired the Royal Hawaiian Motel in Wildwood Crest for $13.4 million. When combined with neighboring former Oceanview Motel, the company claims the property will be Cape May County's largest resort. Phase one of development is expected to open in early spring of 2024.
No Hidden FEES Act introduced in Congress, AHLA issues statement of support - According to a news release, the American Hotel & Lodging Association (AHLA) supports U. S. House of Representatives Bill 6543 known as the "No Hidden FEES Act." The bill, introduced Dec. 1, prohibits "unfair and deceptive advertising of prices for hotel rooms and other places of short-term lodging."
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
