Atlantic City Casino Revenue Continues to Struggle in 2018
Atlantic City casino revenue continues to drop in 2018. February marked the third consecutive month of declining gross gaming revenue (GGR). This has largely been blamed on adverse weather, and the casino industry is still hoping for a strong year. However, it is still worrying as Atlantic City experienced two consecutive years of increased casino revenue, leading to more casinos planning to open.
Casino Revenue in Atlantic City Drops Again
Atlantic City currently has seven casinos. Together, they generated a total of $192 million in wins for the casinos. This is a decrease in casino revenue of 6.5% compared to February 2017 and equals $13.3 million less. While the land-based casinos continued to struggle, online casinos had another good month. Internet gambling sites generated just under $22 million, which is a 17.5% increase.
Even the New Jersey Casino Control Commission Chairman didn’t hide his disappointment with the casino performances in February. Typically, the commission tries to simply brush off poor months, but the fact that there have now been three in a row has caused a response. The chairman simply said that there was no denying February was a poor month, with business down at almost all casinos. He ended saying that he hopes the casinos will be able to turn things around soon and that Atlantic City can enjoy a busier spring and summer.
Hopes for Strong Casino Revenue in 2018
After nine difficult years with declining casino revenue, which lead to the closure of five casinos, Atlantic City finally saw two consecutive years of growth in 2016 and 2017. But things started to decline in December 2017, when there was a 0.5% drop in GGR. This continued with a 9.9% drop in January and now this 6.5% drop in February. Overall, Atlantic City has generated $33.6 million less in 2018 compared to what it had made in the first two months of 2017.
While the poor weather is definitely a factor, it will still be worrying many in the industry. This year will see another two casinos reopening, which will bring the total to nine. Many believe that having seven casinos is the right size for Atlantic City. The two years of consecutive growth supports this. Only time will tell if the casinos can turn this slump around and have a better remainder of 2018.