Macau Gambling Revenues Down Just 4.5% in JulyAugust 1, 2016 2:08 pm
Macau’s gaming revenues fell by 4.5% to $2.2 billion in July, representing 26 straight months of declines for the Chinese casino resort, according to the latest figures reported by Macau’s Gaming Inspection and Coordination Bureau (DICJ). Nevertheless, Macau is finally beginning to see its declines improve to just single figures, with the previous month’s revenues also down by just 8.5% to $1.99 billion. Commenting on the encouraging trend, Bloomberg Intelligence analyst Margaret Huang stated:
“We’re starting to see gaming revenue declines easing, as visitation is showing signs of inflection after a downturn.”
Another positive is that July’s revenue contraction was in line with the market analysts’ forecast of a drop of between 4 and 8 percent, with Margaret Huang now predicting a possible year-on-year revenue increase in September of Q3 after a number of new resorts open their doors for business. As a result, 2017 is now being seen as the year in which a much anticipated return to growth finally takes place for China’s only legal gambling destination.
The optimistic forecast would also seem to be given credence by the fact that in June Sands China reported an improvement in its mass-market gaming revenue for the first time in two years. In the meantime, there has still been a mixed reaction to the latest results by investors, with Sands China noting a 2.3% increase in its share price, while Wynn Macau was lower by 2.2%.
In related news, the Macau Gaming Enterprises Staff’s Association has recently called upon the local government and casino operators to block abusive customers from gambling at the establishments. The past three months has seen at least six incidences of dealers being targeted by rowdy gamblers, and as the labor union’s director general, Choi Kam Fu, explains:
“Some [dealers] complained that the gambler threw cards in their faces; others report having been spat at, or even being slapped in the face.”