Atlantic City Casinos Show Profits For Q3 Of 2014
Many saw the closing of four of Atlantic City casinos as a bad sign of things to come but the latest Q3 figures for Atlantic City’s casino industry tell another story. We reported earlier that many experts believe that Atlantic City needed to get rid of the dead weight of their underperforming casinos in order for the remaining casinos to form a viable gambling market.
It is a year since online gambling was launched in New Jersey and the pressure is on to make the Garden State live up to its potential as one of the bigger U.S. gambling markets. The AC casinos reported a 7.2 percent increase from the same period last year in gross operating profits for the months of July, August and September to reach $147.5 million.
The remaining casinos enjoyed the benefits of not being included along with the now defunct four casinos who lost large amounts of money in 2013.The remaining eight casinos recorded a gross operating profit of $152.3 million in Q3 which is an increase of 3.4 percent.
The big winners included the Resorts Casino Hotel which posted the largest increase in gross operating profits at $4.9 million which is a massive 600 percent increase for the same quarter last year. Another outstanding performer was the Golden Nugget Atlantic City that posted an operating profit of $5.6 million which was up 165 percent from the $2.1 million in the same quarter last year.
On the losing side the Taj Mahal reported the largest drop in operating profits at $5.7 million which was down 39 percent from the $9.4 million in the same quarter last year. Another loser was the Trump Plaza which closed on Sept. 16 with a Q3 loss of $5.6 million. Other big names including Caesars, Harrah’s and Bally’s who are all owned by Caesars Entertainment also reported declines in Q3 operating profits.