Macau Casino Revenue Up 13.5% To $3.7bn In MayJune 3, 2013 11:26 am
The Chinese enclave of Macau has released its casino figures for May, revealing a 13.5% increase in revenue to $3.7 billion, compared to the same month a year ago. May’s total represents the second highest figure this year, and was in line with the 12% to 15% increase predicted by analysts.
Macau’s May results were particularly impressive considering the former Portuguese colony experienced its worst torrential rains since 1982, with transport access restricted for two days as a consequence. Nevertheless, Macau’s gambling revenue was given a boost by an improving Chinese economy, as well as a number of holidays which saw visits from wealthy Chinese up in May.
Macau is the only place in China where gambling is legal, and the island of half a million people relies heavily on the spending of high rolling VIP gamblers or ‘whales’ who spend $160,700 at a time and account for around two-thirds of the enclave’s casino revenue. Commenting on Macau’s high-rolling customers, MGM China CEO Bowie, said:
“VIP business will continue to be solid, although it may not be growing as fast as the mass market. In absolute terms, the VIP business is huge.”
Nevertheless, China’s middle-classes are seen as an increasingly important customer group to target, as they also help enhance Macau’s non-gambling tourist industry, an important perequisite for the resorts long-term health and sustainability.
In addition, a number of important infrastructure developments are being planned in order to make Macau more accessible in the future and so raise the number of visitors to Macau each year. These projects include upgrades to its ferry terminals and international airport, as well as an adventerous plan to build a bridge joining Hong Kong, Zhuhai and Macau.