{"id":777003925,"date":"2023-03-31T13:29:21","date_gmt":"2023-03-31T16:29:21","guid":{"rendered":"https:\/\/focusgn.com\/asia-pacific\/?p=777003925"},"modified":"2026-04-22T23:13:15","modified_gmt":"2026-04-23T02:13:15","slug":"macau-2023-ggr-to-reach-45-of-pre-pandemic-levels-analysts-say","status":"publish","type":"post","link":"https:\/\/focusgn.com\/asia-pacific\/macau-2023-ggr-to-reach-45-of-pre-pandemic-levels-analysts-say","title":{"rendered":"Macau 2023 GGR to reach 45% of pre-pandemic levels, analysts say"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">Moody&#8217;s expects the mass-market segment to drive the increase in GGR.<\/p>\n\n\n\n<!--more-->\n\n\n\n<p class=\"wp-block-paragraph\">Macau.-\u00a0<strong>Moody\u2019s Investors Service<\/strong>\u00a0has predicted that\u00a0Macau\u2019s GGR will reach <strong>45 per cent<\/strong> of pre-Covid-19 levels\u00a0this year. In 2019, Macau\u2019s GGR was just below MOP292.46bn (US$36.5bn). In 2022, it was just <a rel=\"noreferrer noopener\" href=\"https:\/\/focusgn.com\/asia-pacific\/macau-gaming-revenue-down-51-in-2022\" target=\"_blank\">14 per cent of that<\/a>\u00a0due to Covid-19 lockdowns and travel restrictions. <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Moody&#8217;s expects the mass-market segment to drive the increase in GGR. It expects mass-market GGR to reach 75 per cent and 100 per cent of 2019 levels in 2023 and 2024 respectively.\u00a0<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">However, Moody&#8217;s warned that the earnings of Macau-focused companies such as SJM Holdings and Melco Resorts &amp; Entertainment will not return to pre-pandemic levels until 2024. This is partly due to their shrinking VIP business and the start-up costs of new properties.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Analysts expect Macau casino operators&#8217; revenue to grow &#8220;significantly&#8221; over the next two to three years &#8220;from a very low base&#8221; in 2022.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Macau lifted most of its travel restrictions on January 8, including all testing requirements for inbound travellers from mainland China, Hong Kong, and Taiwan.\u00a0This has already resulted in\u00a0<a rel=\"noreferrer noopener\" href=\"https:\/\/focusgn.com\/asia-pacific\/macau-sees-highest-daily-visitor-tally-since-start-of-covid-19-pandemic\" target=\"_blank\">an increase in visitor arrivals<\/a>.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">In the first two months of 2023, Macau\u2019s GGR stood at just above MOP21.90bn, about 43.5 per cent of that seen in the first two months of 2019. The number of visitor arrivals\u00a0<a rel=\"noreferrer noopener\" href=\"https:\/\/focusgn.com\/asia-pacific\/macau-visitor-arrivals-up-143-1-in-february\" target=\"_blank\">in the first two months of 2023<\/a>\u00a0rose by 121.6 per cent year-on-year to around 2.99 million \u2013 52.5 per cent of all arrivals in 2022.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Moody&#8217;s expects the mass-market segment to drive the increase in GGR.<\/p>\n","protected":false},"author":176,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"is_press_release":false,"is_interview":false,"is_opinion":false,"focusai_summary":"Moody's Investors Service projects Macau's Gross Gaming Revenue (GGR) to reach 45% of pre-Covid-19 levels in 2023, primarily driven by the mass-market segment, which is expected to recover to 75% and 100% of 2019 levels in 2023 and 2024, respectively. Despite this recovery, earnings for Macau-focused operators like SJM Holdings and Melco Resorts & Entertainment are not anticipated to return to pre-pandemic levels until 2024, due to a shrinking VIP business and new property start-up costs. The lifting of travel restrictions in January 2023 has already led to a significant increase in visitor arrivals and GGR in the initial months of the year.","focusai_entities":"Moody\u2019s Investors Service, SJM Holdings, Melco Resorts & Entertainment","focusai_location":"Macau, China, Hong Kong, Taiwan","focusai_target_profile":"ceo_executive (0.9), regulator (0.7), operator_casino (1.0), marketing_crm (0.7), investor_analyst (1.0), supplier_vendor (0.7), journalist_researcher (0.9)","focusai_suggestions":[{"label":"Mass Market Strategy?","query":"Given Moody's projection of mass-market GGR reaching 100% of 2019 levels by 2024, what specific operational and capital expenditure strategies are Macau concessionaires deploying to optimize yield from this segment, particularly in light of the structural shift away from VIP?"},{"label":"Earnings Recovery Drivers?","query":"Beyond the identified challenges of VIP contraction and new property ramp-up costs, what are the key drivers and potential impediments to SJM Holdings' and Melco Resorts & Entertainment's earnings normalization to pre-pandemic levels by 2024, considering their respective market positioning and asset portfolios?"}],"footnotes":""},"categories":[157,16338],"tags":[23906],"class_list":["post-777003925","post","type-post","status-publish","format-standard","hentry","category-business-news","category-east-asia-news","tag-macau-casinos"],"_links":{"self":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777003925","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/users\/176"}],"replies":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/comments?post=777003925"}],"version-history":[{"count":2,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777003925\/revisions"}],"predecessor-version":[{"id":777003932,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777003925\/revisions\/777003932"}],"wp:attachment":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media?parent=777003925"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/categories?post=777003925"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/tags?post=777003925"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}