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The Pennsylvania Gaming Control Board (PGCB) has approved online slots and table game licenses for Golden Nugget Casino.
The approval took place at yesterday’s PGCB monthly meeting, with no board members opposing the motion to grant license issuance. The board has to finalize the licensing details at its upcoming meetings in the next two months.
During that time, the board will review the company and its principals before clearing a Golden Nugget online casino, PGCB Director of Communications Doug Harbach told PlayPennsylvania.
Golden Nugget’s approval means the casino is well on its way to offering the two most lucrative forms of online casino gaming. The launch will be the newest one since Bally’s Casino debuted its online casino earlier this month.
Golden Nugget started its push for Pennsylvania online gambling two years ago
In Pennsylvania, online gaming operators have two ways of getting an online casino license. They can partner with an existing casino, or they can apply for qualified gaming entity (QGE) status.
Golden Nugget doesn’t operate a casino in the Keystone State, nor would it want to partner with a competing casino to offer iGaming. So, QGE status was the perfect fit. Golden Nugget received QGE status in March 2021, according to the PGCB.
QGE status paved the way for the casino to apply for its two online gaming licenses, which cost $4 million each.
The license approvals are a huge victory for Golden Nugget. The Pennsylvania online casino market is the biggest one in the country. It has broken multiple records for the online gambling handle (total money bet) over the past six months.
What could online casino revenue look like for Golden Nugget in PA?
While Pennsylvania’s online casino market offers the prospect of significant revenue for Golden Nugget, the company will have to fit hard to get its share of dollars.
Here’s how that revenue looked last month, according to data for the PGCB:
| Casino | Total Taxable Revenue | Slots Taxable Revenue | Table Games Taxable Revenue |
|---|---|---|---|
| Hollywood Penn National | $71,415,282 | $53,287,543 | $17,765,628 |
| Rivers Philadelphia | $35,873,610 | $31,836,901 | $3,919,426 |
| Valley Forge | $34,705,869 | $23,045,237 | $11,660,633 |
| Mount Airy | $6,633,745 | $4,118,795 | $974,070 |
| Harrah's Philadelphia | $6,178,865 | $4,479,039 | $1,217,970 |
| Parx | $5,772,697 | $4,911,587 | $861,110 |
| Live Philadelphia | $4,381,131 | $3,788,262 | $592,869 |
| Mohegan Sun Pocono | $2,936,788 | $2,403,147 | $533,641 |
| Wind Creek | $2,492,960 | $2,140,130 | $352,830 |
In total, online slots and table games generated $167,888,816 across the nine online casinos in Pennsylvania.
When Golden Nugget enters the market, it will likely take the company several months to get consistent revenue generation going.
Launching an online casino in a new state requires solid marketing, good promos, and a concerted effort to gain new customers who otherwise would stick with a competitor.
As for revenue projections, there are two ways to look at how much Golden Nugget could earn from a Pennsylvania online casino:
- Short-term: Golden Nugget will likely generate less than $10 million in revenue for the first few months it’s on the market.
- Long-term: After six months, it’s possible Golden Nugget could eclipse $10 million a month, putting in a solid fourth place behind the state’s top three online casino operators: Hollywood Casino at Penn National, Valley Forge, and Rivers.
One thing working in Golden Nugget’s favor is its brand recognition. The longstanding brand has an iconic casino in Las Vegas, as well as locations in gaming-heavy cities like Atlantic City and Biloxi.
That recognition should go a long way in capturing new customers in the Keystone State.
