New Jersey’s gambling revenue for February 2025 showed a 5.1% year-on-year increase, with the total revenue reaching $484.8 million. This growth was driven primarily by iGaming and sports betting, while revenue from land-based casinos saw a decline. The state’s gambling sector continues to prove resilient, with online platforms like iGaming outperforming traditional venues.
iGaming revenue in particular saw a significant jump, rising 14% year-on-year to $207.8 million. This marks the third time iGaming has been the largest source of gambling revenue in New Jersey. The bulk of this revenue, $205.4 million, came from “other authorised games” like slots, which saw a 14% increase compared to February 2024. Peer-to-peer poker also contributed $2.4 million, a 2.6% rise from the previous year. FanDuel and Golden Nugget Atlantic City maintained their top position with $44.1 million in revenue, a 10.3% increase, followed closely by DraftKings and Resorts Casino Hotel, which reported $43.1 million, up 5.9%.
Sports Betting Revenue on the Rise
February also saw growth in sports betting revenue, which rose by 8.9% to $73.6 million. Online sports betting accounted for the majority of this revenue, with $72.7 million in earnings, an 11.1% increase from the previous year. However, retail sports betting revenue dropped by a significant 60.9%, amounting to just $824,895. The total amount wagered on sports in New Jersey was $988.9 million, down 8.5% from the previous year and 14.2% below January’s handle. 
FanDuel and Meadowlands remained the dominant force in the online market, generating $33.9 million in revenue, up 27.2% from last year. DraftKings followed closely behind, with $20.3 million in revenue, although this was a 16.4% decrease from the previous year. Other notable operators included BetMGM and Borgata, which saw a 41.9% increase, and Bet365, which generated $4 million, up 35.1%.
Decline in Land-Based Casino Revenue
Meanwhile, New Jersey’s land-based casinos faced a decline in revenue. Total gaming revenue for Atlantic City’s casinos dropped 3.8% to $203.5 million. Slot machine revenue fell 4.3% to $152.1 million, while table games saw a 2.5% decrease, generating $51.4 million. Borgata remained the market leader, despite a 6.9% decline in revenue, bringing in $49.9 million. Hard Rock saw a slight increase of 1.8%, with $41.9 million, while Ocean Casino’s revenue rose by 4.3%, reaching $32.4 million.
Tax Revenue Grows but Faces Potential Increase
New Jersey’s gambling taxes also saw an increase in February, with the state collecting $53.3 million from gambling operations. This includes $31.1 million from iGaming, $12.7 million from land-based casinos, and $9.4 million from online sports betting. However, a potential increase in taxes could be on the horizon. Governor Phil Murphy has proposed raising the tax rate on both sports betting and iGaming to 25%, up from the current 13% and 15%, respectively. This proposal has received pushback from industry groups like the Sports Betting Alliance (SBA), which warns that higher taxes could raise costs for customers and slow investment in the state’s gaming sector.
As New Jersey continues to generate strong gambling revenue, the proposed tax hike could significantly impact operators, making it a key issue to watch in the coming months.
Photo credit: Pexels
