Golden Nugget Online Gaming Revenue Up 54% Year-Over-Year In First Quarter

Golden Nugget Online Gaming revenue is enjoying a spectacular 2021 so far and its New Jersey online casino product is the biggest reason why. No other jurisdiction that the company currently operates in has contributed to the uptick in revenue to the same extent.

For the first three months of 2021, GNOG’s revenue is upwards of $26.7 million. That’s 54.2% more than in the same time frame last year. Looking at the raw numbers from NJ iGaming and New Jersey sports betting from the same period, it’s easy to spot correlations.

Golden Nugget Online Gaming revenue up big

From January through March of 2020, GNOG reported revenue of $17.3 million. GNOG attributes the increase of just shy of $10 million for the same period this year to a few factors. According to a press release, those are:

• Successful completion of the company’s first quarter of operation in Michigan
• Income of over $81 million on warrant derivatives liabilities
• Further income of over $1 million on a tax receivable agreement liability

Among the company’s most significant expenses was debt servicing. Interest and fees along with principal surpassed $12 million. Additionally, the company incurred expenses of $2.3 million related to stock compensation agreements with investors.

Despite those expenses, GNOG is quite healthy. It maintains its outlook in terms of revenue for this calendar year of between $130 and $145 million. Also, its EBITDA (earnings before interest, taxes, depreciation, and amortization) sat at $3.5 million for the quarter.

The company’s net income for 2021 so far is $69.6 million. Interested parties get one guess where most of that came from as it should be quite obvious.

NJ online casino continues to fuel GNOG

Although GNOG fell off its perch atop NJ online casino market share last month, NJ is still undoubtedly the cash cow for GNOG. GNOG is actually coming off its best month ever in terms of gross revenue in NJ.

In March, GNOG brought in $31.7 million in gross gaming revenue in NJ. That isn’t just the strongest performance for the brand in the market so far. It’s 36.3% more than GNOG did in NJ in the same month last year.

The SugarHouse, BetAmerica, FanDuel, and Stardust online casino also fall under the GNOG license. However, it’s Play NJ’s understanding that Golden Nugget online casino is responsible for the bulk of the reported total.

GNOG reported GGR of over $27.8 million in February 2021 and $31.3 million the month prior. Thus, GNOG’s products in NJ have accumulated over $90 million in gross gaming revenue during the first quarter. For comparison’s sake, GNOG’s MI online casino product brought in a mere $3.3 million in GGR in April of this year.

Michigan and other markets might someday become serious contributors to GNOG’s overall pot. For now, though, GNOG owes a lot of its success to its popularity in NJ.