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Atlantic City casino earnings up 1.6 percent in second quarter

The largest increase came at Resorts, whose profit was up nearly 64 percent to more than $9 million. Gross operating profit reflects earnings before interest, taxes, depreciation, and other charges and is a widely-accepted measure of profitability in the Atlantic City gambling industry. The numbers were closely watched in the industry because they were the last quarterly earnings that were largely free of the impact of the two new casinos that reopened in Atlantic City this year. Hard Rock and the Ocean Resort Casino both opened on June 27, and were minimally reflected in this quarter's earnings. "These numbers are an improvement from the first quarter and that is a positive sign in light of the new competition that was entering the market," said James Plousis, chairman of the New Jersey Casino Control Commission.

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July will be good for Atlantic City casinos, future uncertain, experts say

“But, I don’t see (anything) positive outside of July and August.” The state Division of Gaming Enforcement will release July’s casino revenue data Tuesday afternoon. The data will contain the first full month of gaming revenue since Hard Rock Hotel & Casino and Ocean Resort Casino opened to the public on June 27, which brought the total number of operational properties in the resort to nine. In July 2017, Atlantic City’s seven casinos reported $267.8 million. Last month, with a full month of legalized sports betting added to the casino’s bottom line, the industry reported revenue of $231.4 million. Norton said he could see a scenario where July’s 2018 numbers reflect a 10 percent increase from the year prior because of the combination of the casino openings plus legalized sports betting and a mid-week holiday. But, Norton said he could not see how Atlantic City will be able support two new casinos once the novelty factor wears off. The problem for Atlantic City casinos will be capturing repeat business, which Norton believes can only been done by opening up the resort to new markets, such as those in the Southeast and Southwest. With closer casino gaming available to the resort’s core markets of Philadelphia and New York City, Atlantic City has to rethink how to attract newer, younger customers, Norton said. “Atlantic City needs to change its method of business. Until we get some new markets, we’re going to get curiosity seekers and little more,” he said.

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