NY Racetrack Casinos Again Outperform All Regional Competitors
New York’s racetrack casinos – bolstered by strong growth in slot machine revenue for the first quarter of 2013 – widened their lead as the top performing gaming facilities in the Northeast, according to new industry figures.
“The numbers don’t deceive,” said James D. Featherstonhaugh, President of the New York Gaming Association (NYGA.) “New York’s racetrack casinos are outpacing other states in performance and return on investment.”
NYGA members saw its gross gaming revenues climb more than 5 percent ($23 million) in the first quarter of 2013. The strong growth was driven by a record-setting March — with revenues up more than 8% percent over the same period a year earlier.
Competing states all saw significant revenue losses during the first quarter of 2013: New Jersey’s Atlantic City casinos declined 14 percent ($75 million); Connecticut facilities declined 11 percent ($37 million); and Pennsylvania declined 4 percent ($25 million.)
New York facilities also significantly outpaced facilities in competitor states in tax revenue generation for education, racing and breeding support, and video lottery operations. Over the first three months of 2013, NYGA members generated nearly $317 million in tax revenues, a $15 million or 5% increase compared to the first quarter of 2012. This includes $220 million for education, a $9 million or 4.4 percent increase compared to the first quarter of 2012.
By comparison, Connecticut, Pennsylvania and New Jersey had tax revenue losses of $9 million, $8 million and nearly $7 million respectively.
With an effective tax rate of 67 percent — one of the highest in the nation — New York generates nearly as much tax revenue as the other three states combined.
NYGA’s nine racetrack casinos have passed New Jersey’s casinos in total revenue, and with the state’s Native American slot machine revenues added, New York is now firmly in the lead as the largest gaming market in the Northeast.
“New York has an extremely successful gaming model,” said Featherstonhaugh. “Right now, the New York market is strong, stable and has the right mix.”
| State | Jan-Mar 2013 | Jan-Mar 2012 | Difference | % Change |
| New York | 472,902,295 | 449,744,891 | 23,157,404 | 5% |
| Pennsylvania | 613,525,181 | 639,352,779 | (25,827,598) | -4% |
| New Jersey | 456,631,703 | 532,247,087 | (75,615,384) | -14% |
| Connecticut | 279,979,074 | 317,631,133 | (37,652,059) | -11% |
| State | Jan-Mar 2013 | Jan-Mar 2012 | Difference | % Change |
| New York | 316,844,538 | 301,329,077 | 15,515,461 | 5% |
| Pennsylvania | 208,598,562 | 217,379,945 | (8,781,383) | -4% |
| New Jersey | 42,238,433 | 49,232,856 | (6,994,423) | -14% |
| Connecticut | 70,324,769 | 79,407,784 | (9,083,015) | -11% |
| 2013 | 2012 | Difference | % Change |
| 220,062,017 | 210,816,282 | 9,245,735 | 4.4% |
*New York State Gaming Commission Website http://www.gaming.ny.gov/gaming/
*Connecticut Department of Consumer Protection http://www.ct.gov/dcp/cwp/view.asp?a=4107&q=482876 *New Jersey Casino Control Commission Website http://www.state.nj.us/casinos/financia/
*Pennsylvania Gaming Control Board Website http://gamingcontrolboard.pa.gov/?p=216
NYGA’s nine racetrack casinos employ 6,000 New Yorkers, have generated $3.8 billion for education, $170 million for local governments and $839 million in support for the racing industry including family farms, horsemen, breeders and other contributors to the state’s rural economy who preserve open space. For more information visit www.newyorkgaming.org.