S&P Global Ratings says Macau has seen a faster recovery than anticipated.
Macau.- S&P Global Ratings has forecast that Macau’s mass gross gaming revenue (GGR) for the fourth quarter of 2023 will reach pre-pandemic levels. Analysts anticipated 2024 mass GGR will be 5 per cent to 15 per cent stronger than in 2019, up 20-30 per cent year-over-year due to improvements in visitor arrivals and flights.
Despite the positive outlook for the mass-market revenue, S&P Global noted that VIP volumes are likely to remain stable, with casino operators cautious about expanding their junket operations due to tightened regulations.
S&P Global has upgraded its issuer credit rating on Wynn Resorts and Wynn Macau Ltd from ‘B+’ to ‘BB-‘, with a stable outlook. While large-scale development projects could impact leverage, S&P Global does not foresee such effects for at least the next 18 to 24 months.
The third quarter saw market-wide mass GGR reaching 93 per cent of the same period in 2019 while VIP GGR achieved 38 per cent.