• About Us
  • The Team
  • Advertise with Us

The latest news on the gaming industry in Asia

() () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () ()
  • Home
  • Macau
  • Philippines
  • Singapore
  • Japan
  • Rest of Asia
  • World
  • Features
  • Industry Talk
  • Trends & Tech
  • follow
    • Facebook
    • Twitter
    • RSS Feed
    • LinkedIn

Macau VIP down 19 pct y-o-y in 3Q: govt

Oct 16, 2014 Newsdesk Latest News, Macau, Top of the deck  


Macau VIP down 19 pct y-o-y in 3Q: govt

Gross revenues from Macau casino games for the third quarter of 2014 fell 7 percent year-on-year to approximately MOP82.86 billion (US$10.37 billion) compared to the MOP89.19 billion tally in the third quarter of 2013. Revenue fell by 8.8 percent from the previous quarter.

The official quarterly numbers – some of them broadly anticipated in investment analysts’ unofficial estimates – were released on Thursday afternoon by the city’s gaming regulator, the Gaming Inspection and Coordination Bureau.

The decline in revenue from VIP baccarat was 19.1 percent year-on-year, to MOP46.77 billion, compared to MOP57.79 billion a year earlier. VIP revenue accounted for 56.4 percent of all casino gross gaming revenue (GGR) for the quarter, the first time it dropped below the 60-percent mark.

But mass-market revenue rose 16 percent year-on-year in the three months to September 30, to MOP27.74 billion, compared to MOP23.83 billion in the year earlier period.

“This is the lowest VIP mix – by a wide margin – since the liberalisation of gaming in Macau,” analysts Grant Govertsen and Felicity Chiang of Union Gaming Research Macau Ltd said in a note on Thursday.

“As the combined high-margin business of mass market tables and slots continues to grow (15 percent year-on-year growth this quarter), which we think should be largely sustainable over the coming years, the revenue mix shift towards mass market should continue,” they said. “However, when the VIP market recovers, we would expect the mix shift to return VIP to a 60-percent plus share.”

Macau’s casinos have seen four consecutive months of declines in gambling revenue since June, which analysts have blamed on a combination of supply side factors and demand side ones.

VIP revenue declined between 14 percent and 17 percent year-on-year in July and August, according to Karen Tang of Deutsche Bank AG. “In September, junket rolling declined 25 percent year-on-year, the largest decline since January 2009, further highlighting a demand problem,” Ms Tang said in a note earlier this week.

Overnight on Wednesday, Las Vegas Sands Corp had reported its third quarter results, showing margin pressure in the premium mass segment in Macau.

Sheldon Adelson, chairman of Las Vegas Sands and its local unit Sands China Ltd had told analysts on the earnings call that the companies’ continued “to execute our strategic objectives during this quarter, despite some obvious challenges in the VIP Gaming segment in Asia.”

(Updated at 6.40pm)


  • tweet
Related articles
  • Investors see 2H Macau gain, rebound 2022: Bernstein
    Investors see 2H Macau gain, rebound...

    Jan 19, 2021  

  • Mass market play record 65pct Macau GGR in 4Q: govt
    Mass market play record 65pct Macau GGR...

    Jan 15, 2021  

More news
  • Philippines to add POGOs to AML law to avoid FATF grey list
    Philippines to add POGOs to AML law to...

    Jan 25, 2021  

  • Okada Manila warns against online casino using its name
    Okada Manila warns against online...

    Jan 25, 2021  


Latest News

Philippines to add POGOs to AML law to avoid FATF grey list

Philippines to add POGOs to AML law to avoid FATF grey list

Jan 25, 2021  

The Philippine Senate (pictured) and House of Representatives have respectively approved amendments to the country’s Anti- Money Laundering Act, known as the AMLA, adding Philippine Offshore Gaming...
Read More
Okada Manila warns against online casino using its name

Okada Manila warns against online casino using its name

Jan 25, 2021  

CNY daily visit average could be down versus Xmas: MGTO

CNY daily visit average could be down versus Xmas: MGTO

Jan 25, 2021  

Sign up to our FREE Newsletter

UB8V5.qr.16(Click here for more)

Partners

Pick of the Day

"We have estimated that on average, the [daily] visitor arrivals for this year’s Chinese New Year break could turn out to be a bit weaker than for the Christmas holiday period"

Maria Helena de Senna Fernandes

Director of the Macao Government Tourism Office



Most Popular

  • Sands China sixth Macau op to pledge staff extra paymentSands China sixth Macau op to pledge staff extra payment January 21, 2021
  • Londoner Macao first phase launch Feb 8 says Sands ChinaLondoner Macao first phase launch Feb 8 says Sands China January 21, 2021
  • Macau Covid-19 case no bar to mainland travel tiesMacau Covid-19 case no bar to mainland travel ties January 22, 2021
  • Digital yuan eventually for Macau mass bets mulls BernsteinDigital yuan eventually for Macau mass bets mulls Bernstein January 22, 2021
  • Melco likely to take on more debt for expansion: Moody’sMelco likely to take on more debt for expansion: Moody’s January 20, 2021
Copyright 2014-2020 TEAM Publishing and Consultancy Ltd / All rights reserved
  • Code of Ethics
  • Privacy Policy
  • Useful Links
  • Contact Us