Macau GGR to reach 63% of 2019 levels this year, analysts say
Jefferies Equity Research expects GGR to approach US$23bn.
Macau.- Jefferies Equity Research has forecast that gross gaming revenue (GGR) will reach 63 per cent of the 2019 levels this year. That compares to a previous prediction of 45 per cent.
In 2019, Macau’s gaming industry recorded GGR of MOP292.46bn (US$36.3bn). Based on the current projections, the sector could see nearly US$23bn in 2023. Mass market GGR is expected to recover by 86 per cent in 2023 and reach full recovery by 2024.
In July, Macau recorded its best monthly performance since January 2020, at the beginning of the Covid-19 pandemic. GGR was MOP16.66bn (US$2.07bn), up 9.6 per cent month-on-month and up 4,083 per cent year-on-year. Casino GGR for the first seven months of the year was MOP96.80bn (US$12bn).
Jefferies Equity Research highlighted Galaxy Entertainment Group (GEG), citing an expected positive impact of Phase 3 openings on foot traffic. The company recently posted a profit of HK$2.89bn (US$369m) in its financial results for the first half of the year. That compared to a HK$850.47m loss in the same period of 2022.
Revenue was up 141 per cent year-on-year to HK$15.72bn (US$2.04bn) and adjusted earnings before interest, taxation, depreciation and amortisation (EBITDA) was up 2,193 per cent to HK$4.4bn.
