Investment bank Sanford Bernstein has published January’s information about Macau casino revenues.
Macau.- Investment bank Sanford Bernstein has shared Macau gaming revenue results from January and predicted good news for the upcoming weeks. According to Bernstein’s analysis, the casino industry has increased its revenues 10–12 percent in the first week of the year, in comparison with the same period of 2016.
Last reports show that Macau gaming gross revenues (GGR) during January are estimated to achieve MOP$20.5 billion to MOP$21 billion (US$2.6 billion), meaning that the total year-on-year growth would be of 10 – 12 percent. “Upside GGR in January would be largely driven by stronger than anticipated VIP volumes or high hold,” Bernstein’s report said.
Average daily revenue (ADR) has been growing to MOP$715 million (US$90 million) during the first days of January, which represents a 31 percent of increment related to December’s ADR. “GGR during the Jan 1 New Year holiday was quite strong, and the strength carried over into the weekdays, in particular for the VIP and premium mass. VIP in particular was strong in both volume and hold (where channel checks indicated hold of over 3.2 percent),” stated Bernstein.
“With Chinese New Year commencing on January 28, the first two days of the holiday are generally softer compared to the latter part of the week. We expect strong GGR performance at the end of January preceded by softening in GGR over the next 3 weeks,” added the report.