Total online and retail sports betting revenue in New Jersey reached $558.3 million (£428.2 million / €515.2 million) in September. That represents a 7.1% increase from last year and a 0.6% increase from August of this year, according to the New Jersey Division of Gaming Enforcement.
DraftKings is the highlight of New Jersey
Once again, New Jersey’s highlight in September was igaming, with revenue up 27.1% from the previous year, reaching US$208.1 million. This surpassed the existing record of $200 million, which was set in August.
Revenue from content classified as “other authorized games,” including online slots and table games, increased 27.6% to $205.9 million. However, online poker revenue fell 6.9% to $2.2 million.
DraftKings remains the top igaming operator, with $45.8 million in revenue in September. It was followed closely by longtime rival FanDuel with $45.3 million. BetMGM also had a successful month with $26 million.
But as for top licensees, Resorts Casino Hotel came in first with $52.9 million in igaming revenue. The casino counts DraftKings, ESPNBet and PokerStars among its partners.
Sports betting revenue was US$119.6 million in September
Turning now to sports betting, total revenue for the month of September was US$119.6 million. This represents an increase of 7.6% compared to last year and almost double the US$62.7 million in August.
In other words, the month-over-month increase is not a real surprise, as the summer months are usually quieter for sports betting in the US. The month of September precisely marks the beginning of the new NFL season.
But the curious thing is that there was an increase in revenue despite players spending less compared to the previous year. The total handled in the month was US$1.09 billion, a drop of 16.2% compared to last year, but 56% more than in August.
Mobile spending reached $1.03 billion, while retail sportsbooks processed 58.5 million in bets. This means that New Jersey had a monthly withholding of 11.28%.
FanDuel took over as the leading mobile operator with $48.6 million in revenue in September. The Flutter-owned brand, which is partnered with Meadowlands Racetrack, recorded a 14.12% retention.
DraftKings, which works with Resorts Casino Hotel, came in second with $36.6 million and a 16.99% share. Borgata partner BetMGM came in third place with $7.8 million and a 16.28% stake
In terms of key licensees, Meadowlands maintains its position as market leader, recording revenue of $52.8 million.
New Jersey land-based casino revenue drops 6.5%
As for the land-based casino market, September was a difficult month for operators. Total revenue reached US$230.6 million, which represents 6.5% less than last year and 21.6% less than in August.
Physical slot machine revenue fell 5.2% year-over-year to $173.3 million, while table game revenue fell 10.1% to $57.3 million.
Considering that igaming continues to grow at a rapid pace and that the physical gaming industry appears to be heading in the opposite direction, it may not be long before igaming becomes the main source of gaming revenue in New Jersey.
Looking now at the nine months through the end of September, total gaming revenue in New Jersey was $4.72 billion, a 10.1% increase over the same period last year.
Online gaming revenue is 23.2% higher at $1.73 billion, and sports betting revenue is up 17.8% at $835.4 million. Revenue from physical casinos, on the other hand, fell 0.9%, reaching US$2.15 billion.
