Year-on-Year New Jersey Gambling Figures Increasing
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The July revenue figures for sports betting and iGaming in New Jersey make interesting reading. While there has been a fall in revenue for the month, the total of $547.8 million compares favorably with the total recorded in July 2024 - as per NJ.Bet. The revenue figures have been released by the New Jersey Division of Gaming Enforcement. The $547.8 million total is 8.2% higher than the $506.2 million earned in the same period last year. It’s also 11.6% higher when compared to the June 2024 results. It’s not all good news as there was a 6.1% decline but this isn’t the easiest of times of the year to achieve higher revenue figures. That is particularly so when it comes to sports betting. There were a lack of NFL and NBA matches in July and those two competitions bring in so much revenue for gambling companies. When those competitions make their return (the NFL season has just started), much higher sports betting revenue figures will be achieved. In this modern day, it is important to look at how land-based gambling sites are faring amid the online competition. Land-based gambling revenue is still the higher source of revenue in New Jersey. July saw a figure of $272.3 million recorded but that was $17.7 million lower than the amount achieved in the same period 12 months ago. Slot games remain hugely popular whether they are played in land-based gambling venues or at online casinos in New Jersey. The total revenue for slots at land-based casinos in New Jersey was $207.3 million in July. That was 4.8% lower than in July 2023. There was a larger fall for table game revenue with that down 10% to $65 million. New Jersey has long been renowned for its land-based casinos, particularly in Atlantic City. Recent years have seen a huge rise in the popularity of iGaming and in July, the revenue for that sector was $195.4 million. That was a hugely impressive figure and 25.9% higher than that recorded 12 months ago. Of that revenue total, $192.8 million came from slots and table games, 26.4% up from July 2023. As for the other $2.6 million, that came from poker and was 2.4% lower than the same period last year. Although July was lacking NFL and NBA activity, sports betting in New Jersey still had a good month. Players spent a total of $652.3 million in July, that’s a rise of 11.1%. Of that total, just $28 came from retail betting so the online sector of the gambling industry really does rule the roost in New Jersey. The amount of revenue earned from all those wagers was $80 million, a rise of 31.2% year-on-year. Looking at July revenue results for other US states, Illinois recorded $135.8 million and Kentucky $125.4 million. One of the key reasons for the growth in the US gambling industry has been the desire of states to receive tax revenue. New Jersey was one of the leading campaigners to change the laws regarding the legalization of sports betting. Their campaign resulted in a groundbreaking US Supreme Court ruling six years ago. That allows individual states to make the final decision on whether or not to change their gambling laws. Over 30 US states have now changed their laws and received huge amounts of gambling tax revenue as a result. July alone saw New Jersey collect a total of $56.8 million in taxes. Of that amount, $29.4 million came from iGaming where there is a 15% tax on gross revenue. The tax rate for online sports betting is 2% less but there was still $10.1 million tax revenue collected by the state in July. The tax rate for retail sports betting has been set at 8.5% and tax revenue for July was $122,142. A total of $17.1 million was collected from land-based casinos who are subject to a tax of 8% on gross revenue. A total of $3.61 billion has been received in revenue for the first seven months of 2024. That’s up 11.5% from last year. That’s considerably higher than the figure of $956 million recorded by Illinois. Land-based casinos accounted for $1.63 billion (a fall of 1%) but it’s a different story for online casinos with a total of $1.33 billion which is a rise of 22% when compared to the first seven months in the previous year. Sports betting revenue is up 30.1% to $653.1 million, That has come from a handle of $7,41 billion, up 28.9% year-to-year. In terms of tax, $388.1 million has been collected in the first seven months of this year |