Macau GGR to reach US$2.465bn in August, analysts say

Seaport Research Partners expects Macau’s gross gaming revenue to be up 6.7 per cent when compared to July.

Macau.- Analysts at Seaport Research Partners have forecast that Macau’s gross gaming revenue (GGR) will reach MOP19.84bn (US$2.465bn) in August, up by 6.7 per cent when compared to last month and up 15 per cent in year-over-year terms.

Analyst Vitaly Umansky noted that the August calendar is more favourable than July’s, with 14 weekend days. It could test the strength of Macau’s recovery, as both June and July’s performances were softer than expected. Any significant increase in visitation could boost base mass GGR, but there’s also the risk that significant weather events in the region during the summer could negatively impact revenue and visitation.

In July, Macau casinos generated MOP18.59bn (US$2.31bn) in GGR. The figure was up 5 per cent month-on-month and 11.6 per cent in year-on-year terms. Umansky noted that the monthly increase fell short of the typical 9-10 per cent range partly due to the calendar, which had only 12 weekend days compared to 15 in July of last year. Weekend days generally see a 20 per cent higher GGR. The month also saw negative impacts from a crackdown on money exchange, which began in early June.

Year-to-date mass revenue is about 113 per cent of the same period in 2019, although base mass recovery is 75-80 per cent of the 2019 level, offset by strong premium mass performance. VIP revenue year-to-date is running at about 23 percent of the 2019 level.