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Throughout 2024, the continued boom of online gaming was a consistent theme in New Jersey.

On Thursday, the Division of Gaming Enforcement (DGE) released its December 2024 and year-end gross gaming revenue numbers. The figures reflect continued growth — and even some records.

“In 2024, online gaming solidified as a prominent and critical segment of New Jersey’s gaming industry,” said New Jersey Casino Control Commission Chairman James Plousis in his remarks about the report. “Annual internet gaming win exceeded last year’s record by more than 24%. Monthly internet gaming win ended the year strong, setting a record for the fifth consecutive month. Sports wagering revenue also set a new annual record. Together, internet gaming win and sports wagering revenue pushed Atlantic City’s annual total gaming revenue to nearly $5.7 billion – the highest figure in its history.”

“In 2024, Atlantic City’s casino operators set a record industry high for total annual gross gaming revenue surpassing last year’s record high of $5.24 billion by 8.7%,” said Jane Bokunewicz, faculty director of the Lloyd D. Levenson Institute of Gaming, Hospitality, and Tourism (LIGHT), Stockton University School of Business, in her analysis of the report.

“Strong wins in internet gaming revenues drove the city to its eighth consecutive year of year-over-year total gross gaming revenue growth (exempting 2020/the pandemic), even as the mature brick-and-mortar market remained essentially flat following the pandemic’s disruptions,” she added.

However, Bokunewicz noted that gross gaming revenues are an imperfect predictor of the overall performance of an industry “that incorporates so many additional experiences and amenities beyond gaming.”

“We will have a better idea of the industry’s overall performance and its impact on the regional economy when the fourth quarter and year-end net revenue reports are released this spring,” said Bokunewicz.

Key December 2024 and year-end numbers include:
(Year-over-year trend appears in parentheses)

• Total December 2024 gaming revenue reported by casinos, racetracks, and their partners: $522.6 million (up 0.1%)
• Total 2024 gaming revenue reported by casinos, racetrack, their partners: $6.3 billion (up 9%)
• Total December 2024 gaming revenue for the casinos-only: $490.1 million (up 5.4%)
• Total 2024 gaming revenue for the casinos-only: $5.7 billion (up 8.7%)
• Casino win in December 2024: $231.8 million (down 0.3%)
• Casino win in 2024: $2.8 billion  (down 1.1%)
• Internet gaming win in December 2024: $228 million (up 26.5%)
• Internet gaming win in 2024: $2.39 billion (up 24.1%)
• Sports wagering gross revenue in December 2024: $62.8 million (down 42.6%)
• Sports wagering gross revenue in 2024: $1.09 billion (up 8.7%)
• Sports wagering handle in December 2024: $1.2 billion (down 5.4%)
• Sports wagering handle in 2024: $12.8 billion (up 6.7%)
• Top performing properties by casino win in December 2024:
  • • Borgata – $62.7 million (up 6.8%)
    • Hard Rock – $42.8 million (down 4.6%)
    • Ocean Casino – $34.7 million (up 4.7%)
• Top performing properties by casino in 2024:
  • • Borgata – $738.1 million (up 1.2%);
    • Hard Rock – $544.9 million (up 6.3%);
    • Ocean Casino – $409.7 million (down 1.3%)

Room to grow

“Atlantic City’s casino win struggled to keep pace with the record growth of the online gaming and sports wagering segments in 2024,” said Plousis. “Still, annual casino win ranked as the second-best year since 2013. Gaming tax revenue streams for programs that benefit New Jersey’s seniors and disabled citizens now exceeds $600 million annually and eclipsed $13 billion since the introduction of legalized casino gaming in 1978.”

“December’s gaming revenue results highlight the resilience and robust growth of New Jersey’s gaming industry, with Total Gaming Revenue reaching an impressive $6.3 billion for the year – up 9% from 2023,” Bill Pascrell III, partner at PPAG, told NJBIZ. “Internet gaming continues to shine, growing 26.5% in December and an outstanding 24.1% year-over-year, solidifying its role as a cornerstone of the industry’s success.

“Sports wagering also posted strong annual growth of 8.7% – underscoring its ongoing appeal to bettors and its vital place in the broader gaming ecosystem,” said Pascrell.

“Atlantic City sports wagering gross revenue increased 4.5% (without racetracks) for the year-ended 2024 compared to 2023, and the sports betting industry overall (including racetracks) saw a 6.7% year-over-year increase in handle (the amount of money wagered by gamblers at New Jersey sportsbooks),” said Bokunewicz. “This seems to indicate that this form of gambling activity has not yet peaked.”

Innovating and adapting

Bokunewicz highlighted the Garden State as a fast mover when it comes to innovative, new gaming products, such as internet gaming.

“And the state seems to be reaping the benefits of this,” she said. “The industry is evolving and changing. These new products are very popular and do not seem to have reached their peak. At the same time, brick-and-mortar revenues have been relatively flat. They are not showing signs of proportionate decline, which we’d expect if cannibalization were an issue.”

She says there appears to be an opportunity for both brick-and-mortar as well as online offerings to shape the future of Atlantic City’s casino gaming industry. However, Bokunewicz added, operators will need to stay on top of emerging trends and respond to changes in customer preferences.

“Continuous innovation and reinvestment could be the ‘new normal’ for the industry, which can no longer rely on established ways of doing business,” she stressed.

Bokunewicz acknowledged challenges with incoming competition from New York. Meanwhile, she also highlighted the subsequent investment in properties and gaming experience by AC operators.

“While these investments may not translate into immediate profit gains, they could be seen as a safeguard against future market competition and disruption,” said Bokunewicz. “Beyond the performance and actions of the casino gaming industry, a concerted citywide effort to ‘up its game’ in appealing to visitors is underway – and will likely be critical to the resort’s future prosperity.”