Macau aggregated gross gaming revenues expected to recover in June

A number of respected brokerage firms have reportedly predicted that Macau will post around a 20% rise year-on-year in aggregated gross gaming revenues for June after last month saw the monthly figure comparably improve by only 12.1%.

According to a Monday report from GGRAsia citing official figures from Macau’s Gaming Inspection and Coordination Bureau, April saw the over 30 casino in the former Portuguese enclave record a 27.6% swell year-on-year in aggregated gross gaming revenues while the previous month had seen this comparable increase top 22%. However, the start of the 2018 FIFA World Cup in Russia along with lower hold rates for VIP games of baccarat purportedly caused May’s combined tally to come in at a lower-than-anticipated $3.15 billion, although this was still better than the $2.81 billion seen for the same month in 2017.

But, GGRAsia reported that investment research firm, Sanford C Bernstein Limited, predicted that June’s year-on-year boost will be ‘20% to 21%’ to take Macau’s monthly aggregated gross gaming revenues for the 30-day period to just short of $3 billion.

Sanford C Bernstein Limited analysts, Kelsey Zhu, Zhen Gong, and Vitaly Umansky reportedly based their calculations on a prediction that Macau’s daily aggregated gross gaming revenues for the remainder of June will range from $90.29 million to $92.76 million while explaining that the equivalent figure for the six days from June 19 had improved by around 3% year-on-year to reach $88.56 million.

“Gross gaming revenues were slower last week due to the 2018 FIFA World Cup and a lower VIP hold rate,” read the analysis from Sanford C Bernstein Limited. “Month-to-date, the VIP hold rate was at [the lower end of] the range. Both mass gross gaming revenues and VIP volume were flat month-on-month compared with the May average daily rate number.”

For its part, JP Morgan Securities (Asia Pacific) Limited detailed that last week’s daily aggregated gross gaming revenues in Macau were likely to have been around $88.44 million, which is described as ‘quite decent and resilient in our view, especially considering the slow seasonality post the holiday and negative impact from the [2018 FIFA] World Cup.’

Finally, GGRAsia reported that a Friday announcement from Morgan Stanley Asia Limited has suggested that Macau’s aggregated gross gaming revenues had been negatively impacted last month by a drop in the VIP hold rate as well as a sequential deterioration in the numbers of mass-market players arriving as tourists.