Golden Nugget Online Gaming is looking to secure further expansion across the US after the group lauded strong increases during a second quarter that saw New Jersey’s online casinos soar past the $2bn landmark in lifetime revenue.
Remaining the clear online market leader in the Garden State month-on-month, GNOG’s growth strategy most recently saw plans enacted to enter the Wolverine State after a partnership was rolled-out with the Keweenaw Bay Indian Community and Ojibwa Casino.
“We are pleased with the continued strong revenue growth in New Jersey and our ongoing profitability.” noted Tilman Fertitta, GNOG’s owner.
For the three month period ending June 30, 2020, GNOG gross gaming revenue for its New Jersey operations soared 85 per cent to $28.2m, far eclipsing the $15.3m recorded during the same period in 2019.
Net revenue of $24.8m represented a 78 per cent increase compared to the $13.9m reported a year earlier, with operating Income increasing 74 per cent to reach $8.5m, rising from 2019’s $4.9m.
Thomas Winter, senior vice president and general manager, of GNOG, stated, “Our second quarter beat our target, supported by record players activity and average revenue per user. Our online play has remained strong in July and into August, and we are confident that we will exceed our revenue and operating income forecast in New Jersey this year.
“We look forward to expanding our operations to Pennsylvania and Michigan, where our licensing process is ongoing. We are closely monitoring the legislative momentum in other states and, with the access to capital provided by the proposed transaction with Landcadia, we will seek to expand our US online gaming business, wherever regulations provide for profitable growth opportunities.”
Earlier this year GNOG entered into a transaction agreement with Landcadia Holdings, a special purpose acquisition company, whereby the group will become an indirect, wholly owned subsidiary of the latter, which will subsequently change its name to Golden Nugget Online Gaming, Inc.
