Profits Continue to Rise in Atlantic City
ATLANTIC CITY, N.J. – (Associated Press) - Atlantic City's casinos have seen their gross operating profits increase by nearly 20 percent in the first six months of this year, according to new state date released Tuesday.
The figures from the New Jersey Division of Gaming Enforcement also showed that the seven casinos reported a collective second-quarter profit of $169.3 million, compared with $145.7 million for the same period last year. That's an increase of 16 percent.
New Jersey Casino Control Commission Chairman Matt Levinson was pleased with the results.
"For three consecutive quarters now, the current operators reported double-digit growth in gross operating profits. They must be doing something right," Levinson said. "Revenue, occupancy rates and profits all increased, and with everything else that's going on or going up in Atlantic City right now I think the industry's future looks a little bit brighter every day."
The data showed gross operating profits for the year are up 19.1 percent to $308.6 million over the same period last year.
Gross operating profit reflects earnings before interest, taxes, depreciation and other charges. It's a widely accepted measure of profitability in the gambling industry.
Five of the seven casinos reported increased gross operating profits through the second quarter of the year.
The Tropicana reported the biggest increase, up 105 percent in the second quarter to $35 million, compared with the same period last year. Resorts reported profits of $9.5 million, up 63 percent; Golden Nugget posted a profit of nearly $17 million, an increase of 27 percent; Caesars saw a profit of $45.6 million, up 25 percent; and Borgata was up to $129 million, or up about 22 percent.
Ballys reported nearly $16 million in profits, down 5.8 percent from last year. Harrah's profits were down 13 percent to $50 million.
