In January 2025, New Jersey iGaming’s revenue amounted to $221.6 million, while the sports betting market fell by 28.4% on-year. The total income from all types of betting was $553.9 million, 0.9% less than January 2024.
The New Jersey Division of Gaming Enforcement (NJDGE) released figures on February 14, and gambling in the Garden State had a mixed start to 2025. Total revenue was $553.9 million, down 0.9% from January 2024 but up 6% from December.
January 2025 showed two sides of the same coin. Online gambling and gaming revenue was $586 million, up 7.3% from December and down 0.5% from January 2024.
In New Jersey's history, it's the second time iGaming was the highest earning vertical across all gambling in January. iGaming revenue was $221.6 million, up 20.9% from last year but down 2.8% from December's record $228 million.
Most of iGaming revenue came from "other authorized games" (mostly slots), $218.9 million, up 21.1% from last year. Online poker was up 8.1% to $2.7 million.
The iGaming competition was fierce. FanDuel and Golden Nugget Atlantic City led with $49.7 million, up 26.4% from last year. DraftKings and Resorts Casino Hotel were second with $44.1 million but were first last December.
Third place was BetMGM and Borgata online casino games, with $28.8 million. Borgata's own platform was fourth with $21.9 million. Caesars and Tropicana Atlantic City were fifth with $14.8 million.
Sports betting was a different story in January, with revenue down 28.4% from last year to $122.2 million. While this is up 94.1% from December’s $62.8 million, it’s still down from January 2024.
Online sports betting accounted for most of this revenue, $118.5 million, down 29% from last year. Retail sportsbooks were $3.6 million, down 6.4% from last year.
The total handle (amount wagered) was $1.15 billion, a 33.1% drop from the record $1.72 billion in January 2024. This included $1.11 billion online and $46 million retail, for a monthly hold of 10.61%.
Despite the overall decline, FanDuel and Meadowlands remained in first place with $53.1 million in revenue, down 34.2% from last year. DraftKings and Resorts Casino Hotel were second with $35.6 million, up 11.5% from last year.
New Jersey casinos, typically brick-and-mortar, which have historically served as the industry’s backbone in the state, grew 2.6% to $210.1 million in January.
Revenue from slot machines grew by 2% to $145.4 million, while revenue from table games grew 4.1% to $64.6 million. Borgata held the top spot in the market with revenue of $60.4 million, up 4.7%. Hard Rock was next with $38.1 million, while Ocean Casino was close with $35.2 million.
Tropicana experienced remarkable growth, with a 13.2% increase in its casino revenue, reaching $15.1 million.
The land-based casino growth rate is taking place even though talks continue about smoking in casinos. A 2006 New Jersey law banned smoking indoors, but casinos were exempt from that ban. Loretta Weinberg is the former state senator who sponsored the ban. She urges legislators to end the exemption. Also, the senator seeks a total smoking ban in all state casinos.
During January of 2025, a New Jersey gambling tax haul exceeded $48 million in total due to iGaming and online sports betting activities. Taxes on retail sports betting brought in $307,487, and taxes on casino gross revenue were $13.3 million. Gambling activities amounting to a total of $62.1 million as the tax revenue generated by the state.
As we move through 2025, industry experts will be considering if the iGaming sector can keep up with its growth levels and if sports betting operations can recover from significant losses year-on-year. At the same time, the land-based casinos continue to perform well against digital gambling even as tobacco regulatory questions remain without answers.
The January figures reveal a gambling market in transition. The online gaming or iGaming market is growing and seems to be making a permanent shift for players. However, the sports betting downturn raises the question of whether the market is saturated and whether neighboring states are competing for the market share. The ability of traditional casinos to remain stable in the face of these shifts is highlighted. New Jersey regulators and industry participants may reinforce support for the state's iGaming sector while actively aiding land-based sites instead of ditching them.
