Weekend Conversation Corner – October, 23

Welcome back to the latest instalment of our Focus Gaming News Weekend Conversation Corner. Here, we offer a brief, yet comprehensive, look at the week’s foremost headlines that have captured global interest. Our aim is to streamline the torrent of information into a sharp, accessible digest, highlighting the defining events that have influenced public discourse, shaped decisions, and sparked widespread conversation. Join us as we cut through the clutter to provide an essential roundup of the week’s most vital developments, ensuring you’re fully abreast of what genuinely matters in our ever-changing world.

Stay informed, stay inspired, and keep gaming on. And have a wonderful weekend ahead!

Philippines warns of illegal POGO resurgence

The Philippine Department of Justice (DOJ) warns that illegal offshore gaming operations are resurging despite the nationwide ban under the Anti-POGO Act of 2025. Operators have adapted by shifting from large compounds to smaller, decentralised setups, including single residential rooms, primarily run by Chinese nationals exploiting visa loopholes. Justice Undersecretary Nicholas Felix Ty highlighted that authorities are now targeting alleged security networks involving dismissed police/military personnel, tightening immigration oversight, and pursuing property owners. Landlords and property managers who knowingly lease premises to unauthorised gaming or scam operations face severe legal liabilities and potential asset seizures under anti-trafficking laws, aiming to cut off essential resources for these clandestine operations.

Sands China third quarter revenue rises 8.4% as Macau market share grows

**Sands China** reported US$1.93bn in net revenue for Q3 2026, an 8.4 per cent increase quarter-on-quarter and 1.4 per cent year-on-year, driven by higher gaming volumes and market share gains in Macau. Its mass-market gaming revenue share reached 26.1 per cent, the highest since Q4 2023.

Despite revenue growth, net income fell 29.8 per cent to US$191m, and Adjusted EBITDA declined 12 per cent year-on-year to US$529m, partly due to weaker high-end gaming demand at properties like **The Londoner Macao**. Individual properties showed mixed results, with **Sands Macao** posting the largest percentage increase. For the first nine months of 2026, net revenue was US$5.81bn. The company continues to invest in its Macau portfolio, including renovating **The Venetian Macao** for premium customers, expected by **Chinese New Year 2028**.

Macau casinos face structural risks as mass-market demand weakens, Truist warns

**Truist Securities** analysts **Barry Jonas** and **Jeremy Jacoby** warn that Macau casinos relying on traditional mass-market gamblers could face long-term competitive disadvantages due to weak demand and facilities designed for base mass players. This assessment follows four consecutive months of year-on-year gaming revenue declines. They suggest that a recovery in Macau’s overall gaming revenue may not benefit all operators equally if their properties are not aligned with current customer demand. Notably, MGM China and Wynn Macau are excluded from this concern, citing their established premium mass-market operations. Macau’s Q3 2026 gross gaming revenue (GGR) fell 3.8 per cent year-on-year to MOP60.22bn, with mass baccarat revenue dropping 7.9 per cent while VIP baccarat saw a slight 0.1 per cent increase.

Macau casino EBITDA to fall 10.6% in Q3, Seaport says

Seaport analyst Vitaly Umansky highlights high player reinvestment costs and agent commissions as key pressures on Macau casino operators’ profitability. Seaport Research Partners forecasts a combined 10.6 per cent year-on-year decline in property-level EBITDA to US$1.86bn in Q3 2026, with margins narrowing to 26.1 per cent. This profitability pressure is attributed to elevated player reinvestment, agent commissions, and weaker high-end gaming demand, with recovery unlikely without stronger revenue growth. Galaxy Entertainment is projected to be the only operator to post year-on-year property EBITDA growth (10.7 per cent), while most others face declines. This outlook follows a 3.8 per cent year-on-year decline in Macau’s third-quarter gross gaming revenue (GGR). Continued headwinds are expected for Q4, with EBITDA dropping 3.4 per cent.

Macau Q3 GGR falls 3.8% as mass baccarat declines

Macau’s Casino gross gaming revenue (GGR) declined 3.8 per cent year-on-year to MOP60.22bn (US$7.46bn) in Q3 2026, according to DICJ figures. This drop was primarily driven by mass baccarat, which fell 7.9 per cent year-on-year to MOP33.61bn, representing 55.8 per cent of total GGR. While the broader mass-market segment saw a 5.2 per cent decline, slot machines revenue impressively climbed 18.8 per cent year-on-year to MOP4.09bn. VIP baccarat revenue remained stable, increasing slightly by 0.1 per cent year-on-year to MOP16.91bn. Despite these declines, Macau’s Chief Executive maintains the 2026 GGR forecast of MOP236bn, awaiting the impact of China’s Golden Week holiday on casino spending before reassessing.