\nPosted: Monday, November 25, 2013 9:52 am
\n\tBy JENNIFER BOGDAN, Staff Writer<\/p>\n
\tFollow Jennifer Bogdan on Twitter<\/p>\n
\tThe Atlantic City casino industry\u2019s gross operating profits are down 23 percent in the first nine months of the year, registering $349 million.
\n\tTotal revenue in the first nine months was down 8.6 percent from last year, totaling $3.2 billion. Those figures include gambling, food and beverage, rooms and entertainment revenue.<\/p>\n
\tOperating profits in the third quarter alone decreased by 8.1 percent to $137.4 million, according to data released Friday by the New Jersey Division of Gaming Enforcement.<\/p>\n
\tMeanwhile, hotel occupancy in the third quarter held steady as the casino industry measured a 91 percent room occupancy rate with 1.55 million room nights occupied out of the 1.7 million available. That compares to a 92 percent occupancy rate in the third quarter of 2012 when roughly 140 fewer room nights were available.<\/p>\n
\tThe resort had an 80 percent occupancy rate on its more than 5 million available room nights in the first nine months of this year. That\u2019s down from an 85 percent occupancy rate in the first nine months of 2012, when 4.9 million room nights were available.<\/p>\n
\tIn order to give a more complete picture of the resort outside of gambling revenue, the state releases quarterly reports that include other indications of the health of the resort. Those indicators also include data on parking fees collected in the resort as well a luxury tax, which is levied at 3 percent on alcohol sold by the drink and 9 percent on other sales, including entertainment purchases.<\/p>\n
\tDuring the most recent 12 months, from October 2012 through September, Atlantic City collected $34 million in luxury tax, down 2 percent compared to the previous 12-month span. Sales tax in Atlantic City held steady, seeing less than a 1 percent decline in that 12-month span.
\n\tParking fees in the resort, however, have taken a hit, seeing a 9 percent decline. During the most recent 12-month span, $27 million was collected, compared with $29.7 million collected in the previous 12-month span.<\/p>\n
\tCasinos are required to charge at least $3 for parking. Of that, $2.50 must go to the Casino Reinvestment Development Authority, and 50 cents goes to New Jersey\u2019s Casino Revenue Fund, paying for social programs that benefit seniors and the disabled.<\/p>\n