Posted on: June 16, 2022, 01:58h.
Last updated on: June 16, 2022, 02:20h.
Atlantic City casinos experienced their best May in almost a decade, as brick-and-mortar gross gaming revenue (GGR) exceeded $233 million.
May 2022 represented a more than 9% year-over-year gain and 4.5% improvement on pre-pandemic May 2019. The land-based win marked the best May performance for Atlantic City since 2012.
The industry’s casino win was the strongest reported figure in the month of May for the past nine years,” James Plousis, chair of the New Jersey Casino Control Commission, told Casino.org.
While May 2022 was overall a strong month for retail casino gaming, Caesars, Golden Nugget, Harrah’s, and Resorts all reported reduced brick-and-mortar casino win from May 2021. However, those losses were more than offset by significant gains made by Borgata and Hard Rock, the two market leaders in Atlantic City.
MGM Resorts’ Borgata continued its market dominance with $63.4 million — a 30% year-over-year spike. Hard Rock was a distant second at $41.5 million, but that represented a nearly 19% surge for the Boardwalk property.
Land-Based Casino Win — May ’22
- Borgata — $63.4M
- Hard Rock — $41.5M
- Ocean — $25.3M
- Tropicana — $21.7M
- Harrah’s — $21.2M
- Caesars — $20.3M
- Resorts — $14.1M
- Golden Nugget — $12.8M
- Bally’s — $12.7M
iGaming, Sports Fare Well
May was yet another solid month for iGaming and sports betting. GGR from online casinos climbed 26% from May 2021 to $136 million. Oddsmakers generated an additional $61.6 million — 16% better than a year ago.
All combined, New Jersey’s gaming industry — the second-richest in the nation behind Nevada — won over $430.6 million from gamblers in May.
“Atlantic City’s casino win and total gaming revenue continued to outperform the same period last year as well as pre-pandemic levels. Total gaming revenue was the highest for May in over a decade thanks to growth in casino win, near-record internet gaming win, and an increase in sports wagering revenue,” Plousis explained.
Dark Cloud Looms
Business is seemingly good for Atlantic City casinos, but a great threat lingers over the industry. The collective bargaining agreements that govern worker contracts at all nine properties expired June 1.
The local Unite Here union that represents 10,000 workers engaged in a variety of resort occupations, including housekeepers, bartenders, cocktail servers, cooks, bellmen, and doormen, authorized a strike yesterday. The strike consent allows for a walkout at any point after July 1. The union is seeking an unspecified “significant” pay increase for its members.
Even if the two sides come to an agreement before the July 4 holiday, the failure to reach an agreement before the contracts expired could hamper bookings. Last month, the union began warning summer travelers that their vacations could be interrupted by the ongoing labor talks. The union debuted a website providing a listing of non-gaming union hotels that are not impacted.
“The Atlantic City casino industry is enjoying rising profits, but workers are struggling to make ends meet. They need wage increases and safe workloads,” the union said.