Aug 07, 2014 Newsdesk Latest News, Macau, Top of the deck  
Deutsche Bank AG has reduced its growth forecast for Macau casino revenue in 2014 to 6.5 percent from 8.6 percent.
Analyst Carlo Santarelli thinks VIP and mass-market revenue combined will actually decline 0.9 percent year-on-year in the third quarter, hit by a combination of a continued decline in VIP play and a slowing of the lower volume mass market.
His prediction follows what investment analysts say is a significant slowdown in the year-on-year growth of the mass market in July. That follows two consecutive months of reported double-digit percentage year-on-year decline in VIP revenue.
Telsey Advisory Group in New York estimates from unofficial industry returns that the mass market slowed to 17.3 percent year-on-year expansion in July compared to 26.9 percent in June and 32.5 percent in the whole of the second quarter. It says that even with seasonal factors and other variables that can make month-on-month comparisons challenging, it looks like something has changed.
“While the choppiness in VIP is expected at this point, the bigger disappointment is clearly the deceleration in mass market growth,” said analyst Christopher Jones of Telsey Advisory Group.
“While Telsey Advisory Group had forecasted increased volatility in the mass market growth rate coming out of our trip to Macau in early June, July’s deceleration was even a bit more than we had expected.”
Deutsche Bank analyst Mr Santarelli said in a note he expected all casino revenue in Macau to grow by only 0.3 percent year-on-year in August.
He estimated the mass-market would contribute with 14.5 percent growth in the month, but that VIP would decline by 7.8 percent.
“Our 7.8 percent VIP revenue decline estimate is predicated on a 9.0 percent year-on-year decline in VIP rolling chip volume and the LTM [last 12 months] hold [rate] of 3.12 percent (excluding direct roll),” he said.
May 22, 2023
May 19, 2023
Jun 09, 2023
Jun 09, 2023
Jun 09, 2023
None of Macau’s six gaming concessionaires have so far applied for a form of “exemption” from the full 40-percent tax rate on casino gross gaming revenue (GGR), as potentially applicable...Jun 09, 2023
Commercial opportunities for utilisation of...Jun 08, 2023
Gaming content and equipment maker Konami says it is...Jun 07, 2023
Casino gaming content and hardware provider Light &...Jun 06, 2023
Electronic table games (ETGs) supplier Interblock dd is...Jun 05, 2023
Random number generator (RNG) testing tools are among the...Jun 01, 2023
Alfastreet, a manufacturer of electronic gaming machines,...Jun 01, 2023
Casino equipment maker Sega Sammy Creation Inc is tweaking...Jun 01, 2023
The iGaming segment in Asia “has grown rapidly” since...May 31, 2023
Showing slot machine players – via animations on the...May 31, 2023
Macau stocks in likelihood “have been punished too much...May 31, 2023
There are foreign companies still interested in investing...May 31, 2023
Thailand could pass the necessary enabling legislation for...May 30, 2023
China will remain a key market for Asian gaming...May 30, 2023
Alejandro Tengco (pictured in a file photo), chairman and...May 30, 2023
There are “plenty of reasons” for the global gaming...May 30, 2023
Gaming equipment provider International Game Technology Plc...May 30, 2023
The Global Gaming Expo (G2E) Asia 2023 Special Edition:...May 29, 2023
Austria-based gaming equipment maker and operator Novomatic...May 25, 2023
Sports betting and online casino operating platform...May 24, 2023
The business performance in Asia of gaming content and...May 18, 2023
The organisers of Global Gaming Expo (G2E) Asia 2023...May 17, 2023
Gaming content and equipment supplier Light & Wonder...May 16, 2023
Casino equipment maker Sega Sammy Creation Inc is to...May 09, 2023
Casino slot machine and digital gaming content provider...May 05, 2023
The Global Gaming Expo (G2E) Asia event in Singapore is the...May 04, 2023
An adviser to a Thailand parliamentary committee mulling...(Click here for more)
”We believe the intrinsic value of IGT’s market-leading businesses and diversified cash flow profile is not currently reflected in our stock price and the timing is right to assess opportunities that may enhance value for IGT’s shareholders”
Marco Sala
Executive chair of casino equipment supplier IGT