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Atlantic City Casino Profits Up in H1-2016
ATLANTIC CITY CASINO PROFIT RISES IN H1-2016
Collective profit up 21 percent in the first six months of the year...the best since 2010.
Atlantic Citys remaining land casinos reported collective profits up 21 percent in the first half of 2016, indicating that the embattled industry may be stabilising following the closure of several venues.
Figures released Monday by the New Jersey Division of Gaming Enforcement show the eight remaining casinos reported a collective second-quarter profit of about $259 million, compared with $213 million in 2015.
The division also reported that operating profits for the gambling halls in the second quarter of the year were up 15 percent, at $152 million, compared with $132 million in the second quarter of 2015.
New Jersey Casino Control Commission chairman Matt Levinson told the Associated Press news agency that the results indicated that "slowly but surely" profits are increasing and are the highest for the first six-month period since 2010.
"For the first time in eight years, every single bricks and mortar casino reported positive operating income," Levinson said.
However, the positive environment may not last much longer; Associated Press notes that in November this year New Jersey voters will decide whether to end Atlantic Citys state-wide monopoly on casino gambling.
A ballot question asks voters to participate on allowing casinos in the northern part of the state at two yet-to-be-named locations near New York City, and potential licensees are lobbying and advertising heavily in the state.
Over the half-year The Borgata reported the largest rise in profit - up 27 percent year-on-year in the second quarter to $106 million, followed by Resorts (up 26 percent at $5.7 million); Tropicana (up 25 percent at $17 million); Golden Nugget (up 12 percent at $13.3 million);and Ballys (up 8 percent at $17 million).
Trump Taj Mahal (currently in line for closure) reported profits of $2 million, compared with operating losses of $9.6 million in the comparative period last year, whilst Caesars saw a decline in profits of 0.2 percent compared with 2015 to $36.5 million. and Harrahs profits were down 3 percent to $57 million.
For Internet-only operations Caesars Interactive-NJ posted a second-quarter profit of $5.2 million, compared with $857,000 a year ago. Resorts digital posted a loss of $1.4 million, compared with losses of $3 million in 2015.
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