August proved to be a challenging month for casinos in the Mid-Atlantic region, with decreased gaming revenue in multiple states including Delaware, Maryland, New Jersey, New York, Pennsylvania, and Virginia.
This week, Casino.org reported on the challenges faced by Atlantic City in August, noting a 5.5% decrease in in-person casino revenue to $294.9 million. Pennsylvania also experienced a decline, with brick-and-mortar gross gaming revenue (GGR) totaling $280.3 million in August.
The casino revenue in Pennsylvania was nearly 6% lower compared to the previous year, despite the addition of Happy Valley Casino in April 2026. In Maryland, the combined revenue from six casinos dropped by 6% to $160 million in August. Virginia also saw a decrease with $97.6 million in casino revenue from its five establishments, down almost 5% from August 2025.
Delaware experienced a nearly 3% decline in in-person casino revenue to $43.8 million, while New York witnessed a 38% drop in racino GGR to $137.2 million. West Virginia, another state in the Mid-Atlantic region, does not provide monthly casino revenue reports.
Factors Affecting Casino Revenue
Various factors contributed to the August woes of Mid-Atlantic casinos. The ongoing shift towards online casinos has impacted in-person gaming, particularly in states like Delaware, New Jersey, Pennsylvania, and West Virginia where legal iGaming is available.
While in-person casino revenue declined in some states, iGaming reported growth in Delaware, New Jersey, and Pennsylvania. New Jersey saw a 4.4% increase in iGaming revenue, Pennsylvania’s online casinos observed a nearly 6% growth, and Delaware experienced a 35% surge in iGaming revenue.
Despite the absence of iGaming in Maryland, Virginia, and New York, prediction markets and sweepstakes casinos continue to operate in these states, affecting the revenue of legal casinos.
Combatting Illegal Gambling
The American Gaming Association (AGA) has raised concerns about the proliferation of illegal gambling, which includes prediction markets and offshore sportsbooks. The AGA believes that these unregulated activities are diverting revenue from legal gaming and pose a risk to consumers.
Illegal gambling operators are thriving at the expense of American consumers, siphoning billions in tax revenue from state governments, and undercutting the efforts of the legal market,” said AGA President and CEO Bill Miller. “It’s time for a national crackdown on the pervasive illegal market that is draining state coffers and putting people at risk.”
According to AGA estimates, Americans wager approximately $673.6 billion annually with illegal and unregulated gambling operators, with online slots and table games accounting for a significant portion of these illegal bets.