Online Poker Revenue Declines in New Jersey and Pennsylvania Despite iGaming Growth
August poker revenue fell in both reporting states, while internet casino results rose and Michigan did not publish a separate poker figure.
Online poker revenue fell year over year in both New Jersey and Pennsylvania in August, even as internet casino revenue rose in each state. New Jersey poker revenue slipped 3.2% to $2.6 million, while Pennsylvania’s poker revenue dropped 5.2% to about $2.4 million.
The Pennsylvania Gaming Control Board reported that its broader iGaming category grew 6.3% from a year earlier to $245.7 million. Poker therefore remained a small part of a category dominated by online slots, which generated about $195.2 million, and table games, which produced about $48.1 million.
Pennsylvania’s total gaming revenue, covering its regulated gaming categories, declined 2.2% to $569.7 million in August. The state collected about $249 million in gaming taxes. Sports-wagering handle fell 3.3% to $498.5 million, while taxable sports-betting revenue declined 19.9% to $39.4 million.
In New Jersey, internet gaming win increased 4.4% to $259.3 million, and year-to-date internet gaming win was up 13.2% to $2.13 billion through August. The state’s total gaming revenue nevertheless fell 4.1% to $615.7 million for the month, although it remained up 5.4% year to date at $4.81 billion.
New Jersey sports-wagering gross revenue fell 25% to $61.4 million. The Division of Gaming Enforcement attributed that decline primarily to a later start to the fall sports calendar, including college football, and a lower overall win percentage.
Michigan’s monthly release does not break out online poker, so its poker result cannot be measured from the state data. Its operators reported $303 million in iGaming gross receipts and $34.6 million in online sports-betting gross receipts, for $337.6 million combined, down 2.5% from July. On an adjusted-receipts basis, iGaming rose 0.1% month over month while online sports betting fell 21.4%.
CardPlayer characterized poker as continuing a negative streak and said Michigan poker likely declined alongside the reported New Jersey and Pennsylvania results, but that Michigan assessment was an inference rather than a separately published revenue figure.
The weak poker figures sit within a market where the segment remains relatively small. PokerSites.org estimates that regulated U.S. online poker produces roughly $100 million annually and represents about 1% to 2% of the regulated online-gaming market. The site also said player liquidity is central to poker revenue because games require enough active participants to run.
Michigan had 15 commercial and tribal operators authorized to offer iGaming and/or online sports betting as of August, with all 15 offering iGaming and 13 offering online sports betting.
