Sands China will continue leading Macau GGR, analysts say

Sands China and Galaxy lead Macau GGR.
Sands China and Galaxy lead Macau GGR.

Analysts at Sanford C. Bernstein have predicted Sands China will account for nearly 27 per cent of Macau’s GGR in the next few years.

Macau.- A report by Sanford C. Bernstein Ltd predicts that Macau casino operator Sands China will maintain its leading market share of gross gaming revenue (GGR) in Macau at approximately 27 per cent in the next few years. 

According to analysts, this is mainly due to the increase in business including the Londoner Macau Resort in Cotai and the availability of luxury accommodations at Four Seasons luxury suites.

Phase I of the operator’s revamped and renamed Cotai casino resort was inaugurated in February with the resort’s Crystal Palace, inspired by the concept of the original Victorian structure at London’s Great Exhibition of 1851.

Bernstein also believes Sands China will “continue to lead the non-gaming business in Macau.”

It said: “We forecast Sands China to deliver 103 per cent of 2019 revenue in 2023 and 124 per cent of 2019 revenue in 2025, driven by Macau recovery, the leading mass market share, and the redevelopment of the Londoner and the Grand Suites at Four Seasons.”

For the second quarter, Sands China’s contribution was US$782m, 24.9 per cent of the total. The casino operator and Galaxy Entertainment Group together accounted for 45.3 per cent of Macau’s GGR.

Mass-market results were led by Sands China at 25.1 per cent of the total US$2.3bn in slots and tables revenue. As for VIP results, Galaxy Entertainment took 28.1 per cent of the market share with US$219m, Sands 22.5 per cent with US$175m.

Sands China posts US$423m net loss for Q3

Sands China‘s results for the third quarter of the year revealed a higher net loss of US$423m. Despite an increase from the previous quarter, the figure is an improvement on the US$562m loss recorded a year ago.

The casino operator’s revenue for the third quarter declined 28 per cent sequentially to US$611m. However, it was still a 265.9 per cent improvement when compared to the US$167m recorded in 2020. Adjusted property EBITDA during the third quarter was US$32m.

Robert Goldstein, Las Vegas Sands’ chairman and chief executive, said: “We remain confident in the eventual recovery in travel and tourism spending across our markets.”

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