Atlantic City Casinos Enjoy Collective Increase in Profits
Atlantic City’s casinos saw their collective operating profit increase by 21% for the first six months of the year suggesting that the struggling industry may finally be turning things around.
The State Division of Gaming Enforcement released figures this week showing that the eight casinos reported a collective second-quarter profit of over $259 million compared with $213 million in 2015. Furthermore, operating profits in the second quarter of the year were up 15% at $152 million compared with $132 million in the second quarter of 2015.
Matt Levinson, the New Jersey Casino Control Commission Chairman, said that the numbers show that slowly but surely profits are increasing and that the profits are the highest for the first six-month period since 2010.
It was also the first time in eight years that all of the city’s casinos reported positive operating income.
The Borgata reported the biggest increase of 27% in the second quarter to $106 million compared to the same period last year. Resorts reported profits of $5.7 million, up 26% compared with last year and the Tropicana posted a profit of $17 million, up 25% over 2015. The Golden Nugget saw a profit of $13.3 million, up 12% compared to last year and Bally’s was up to $17 million, roughly 8% over 2015. Even the Trump Taj Mahal reported profits of $2 million compared with operating losses of $9.6 million in the second quarter of last year.
However, there is a vote in December to decide whether to end Atlantic City’s state-wide monopoly on casino gambling and allow casinos in the northern part of the state nearer to New York City. If the change is allowed then the casinos could find themselves with far greater competition.