Macau’s GGR to increase in May

Three brokerages estimate that gross gaming revenue will increase at least 15 per cent in Macau in May.

Macau.- May gross gaming revenue (GGR) is expected to increase between 15 and 20 per cent year-on-year, while casino GGR will likely accelerate next month, JP Morgan Securities said. Three different brokerages agreed that revenue will increase significantly during this month’s operations.

JP Morgan analysts said that for the first 20 days of May it forecasts GGR of US$2.1 billion. DS Kim and Sean Zhuang said: “This implies last week’s GGR jumped over 25 per cent week-on-week to US$115 million per day from a softer-than-expected post-holiday lull, with sharp demand uplifts week-on-week in both VIP and mass segments,” The analysts said that they continue to forecast June GGR to grow 17 per cent to 19 per cent, “which in turn would make second quarter 2018 GGR to grow 20 per cent to 21 per cent year-on-year.”

Japanese brokerage Nomura also said that they estimate that gaming revenue in Macau will be slightly above US$3.3 billion in May, a year-on-year growth of 20 per cent. Moreover, Sanford C. Bernstein Ltd said that if GGR average daily revenue continues to be US$100 million to US$102 million for the remaining days of May, GGR will be in a range of US$3.21 billion and US$3.25 billion, an estimated year-on-year increase of 16 per cent to 17 per cent.”