Atlantic City Casino Profits Double From Q3 20

ATLANTIC CITY, NJ – The nine casinos in Atlantic City saw their gross operating profit more than double in the third quarter of this year, according to state figures released last week.

Figures from the New Jersey division of the gaming app show that casinos posted collective gross operating profit of more than $ 310 million in July, August and September of this year.

That’s more than double the $ 151 million profit they reported in the third quarter of 2020, while still operating under state-imposed capacity restrictions due to the coronavirus pandemic.

For this reason, James Plousis, chairman of the New Jersey Casino Control Commission, said the results are not directly comparable.

Instead, he compared them to the third quarter of 2019, before the pandemic hit, and found that casinos had done almost 30% better in the third quarter of this year.

“Thanks to efficiency gains, every operator recorded a profit in the third quarter, a great achievement after an extremely difficult period,” he said in a statement. “Atlantic City‘s recovery is gaining momentum and is on track for an impressive year. The properties are to be commended for the way they have handled this challenge, both for their clients and their employees, and are now rebounding from it. “

Gross operating income reflects earnings before interest, taxes, depreciation and other expenses, and is a widely accepted measure of profitability in the Atlantic City casino industry.

The Borgata posted the highest operating profit at $ 57.2 million, up from $ 2.3 million a year earlier. Tropicana’s profit was $ 48 million, compared to $ 18.2 million; Hard Rock made a profit of $ 46 million, compared to nearly $ 21 million; Harrah’s made nearly $ 44 million in profit, compared to $ 19.3 million; and Ocean Casino made a profit of $ 37 million, up from $ 24 million.

Caesars made a profit of $ 27.6 million, compared to $ 17.5 million; The resorts made a profit of $ 16.1 million, compared to $ 7.7 million; and Golden Nugget made a profit of $ 14.3 million, compared to $ 7 million.

Bally’s reported an operating profit of $ 2 million in the third quarter of this year, compared to a profit of $ 13 million last year when it was still owned by Caesars Entertainment. The casino is now owned by Rhode Island-based Bally’s Corp.

“We are delighted that the north end of the Atlantic City Boardwalk – ‘North Beach’ – continues to dominate the market, with Hard Rock Atlantic City, Ocean Casino Resort and Resorts posting the majority of the increase from 2019 Said Joe Lupo, president of Hard Rock. “This positive growth shows the importance of investing in the city, and that working together can have a positive impact in our community.”

Among Internet-only entities, Golden Nugget Online Gaming made a profit of just over $ 9 million, up from $ 9.4 million a year earlier. Caesars Interactive Entertainment New Jersey made nearly $ 5 million in profit, up from $ 4.8 million, and Resorts Digital’s profit was $ 3.8 million, up from $ 6 million in the third quarter of the year. ‘last year.

In terms of hotel occupancy, Ocean had the highest average room price at $ 331, while Resorts had the lowest at almost $ 148.

Ocean and Hard Rock have the highest occupancy for the quarter at over 96%; Caesars was over 93% full. Golden Nugget had the lowest occupancy rate at 64%.

The occupancy rate of all nine of the city’s casinos was just over 81%.


Source link