The boardwalk of Atlantic City
19
04.2019

15% Decline in profit for Atlantic City casinos

By Sophie Couard
Although revenue increased by 7% to $2.9 billion, casinos combined for a decrease in profit of 15% to $582m.

Between 2014 and 2016, five of Atlantic City's 12 casinos closed in a difficult operating climate. Although we're now in 2019, the city never quite recovered even though last June saw the opening of the Ocean Resort Casino and the Hard Rock.

Profit drop

In 2018, profit was down 15% to $582m even though revenue was up by 7% to $2.9 billion. The explanation for the decline was mainly influenced by the 41% decline in gross operating profit after taking into account business investment designed to lure in new customers.

Atlantic City Casinos

Four casinos

Despite the drop in profit, the future looks bright for Atlantic City casinos that saw positive momentum going into 2019 while investing in delivering a better product to customers.

There were only two casinos with an increase in operating profit in 2018. These were the Tropicana and the Golden Nugget. while Ocean Resort reported an operating loss of $17.8 million and Hard Rock reported an operating loss of $9.1 million. The Hard Rock President Joe Lupo expressed satisfaction with the volumes and momentum go into 2019.

How will Atlantic City casinos perform in 2019? While we can't be certain, investments to attract new players as well as momentum going in 2019 may be just what the doctor ordered, so stay tuned!

By Sophie Couard
By Sophie Couard - EDITOR

I am a great fan of gambling, I became a croupier to finance my studies. After my high school diploma in economic and social sciences , I obtained a bachelor's degree in economics and then a master in philosophy with a thesis on player behavior. After working in an online casino customer support, I became a writer on FeedBack Casino.