olden Nugget Online Gaming (GNOG) reported financial results for the third quarter of 2020 ended September 30.
Its New Jersey operations saw gross gaming revenues of $28.9 million, an increase of 93% compared to $14.9 million during the same period in 2019. Net revenue of $25.9 million represented a growth of 92% year-over-year. Operating income also climbed 92% to $8.2 million.
“We are very pleased with yet another quarter of profitable growth. Our pandemic-proof business model keeps showing its resilience in New Jersey and we look forward to expanding operations in Michigan,” Tilman J. Fertitta, GNOG’s owner, said in a press release.
Thomas Winter, President of GNOG stated: “Our third quarter confirmed and amplified our momentum in New Jersey, with record revenues supported by all-time-high player activity, sustained marketing investments and 64 new casino games, 20 of which we launched on an exclusive basis. Based on our October revenues, we believe that we could generate over $100 million of Gross Gaming Revenue in New Jersey this year.”
The company also reported that it is working towards a launch of its mobile sports betting and casino operations in Michigan, possibly by the end of the year, regulatory approvals permitting, and its licensing process is ongoing in Pennsylvania. GNOG said it is actively pursuing market access opportunities to further expand its US operations across multiple states, and believes that the accelerated growth of online gaming revenues in New Jersey and Pennsylvania will encourage more states to consider online casino legislation in 2021 and 2022.
On June 28, 2020, GNOG entered into a purchase agreement with Landcadia Holdings II, a special purpose acquisition company, which will see GNOG become a public company listed on Nasdaq. GNOG anticipates the transaction to close before the end of November 2020.