Gaming gross revenue increased in Macau during the second week of November and achieved better results than expected.
Macau.- Analysts from Bernstein revealed that gross gaming revenue (GGR) in Macau was stronger than expected during the second week of the current month. Month-to-date numbers increased to US$1.1 billion with an ADR of US$95.2 million.
Bernstein said that VIP hold rate during November so far has been in the expected range with strong volumes, whilst month-to-date AFR is approximately 9 percent lower than last month’s ADR but 28 percent up from the same period in 2016.
The Macau Grand Prix is getting closer, and gaming gross revenue usually lowers during that period. Bernstein believes that November GGR could be between US$2.6 billion and US$2.7 billion, which would mean a year-on-year increase of 18 to 20 percent during this month’s operations.
Last week, analysts from Morgan Stanley released a report called “Macau 2022 – Power of Compounding” which established that the market cap will double its size by 2020 to US$230 billion. GGR in Macau could be as high as US$53 billion in 2022 due to an increase in spending growth, visitation and infrastructure.