GGRAsia – Macau June GGR maybe 15pct of June 2019: Bernstein

Macau June GGR maybe 15pct of June 2019: Bernstein

Jun 14, 2022 Newsdesk Latest News, Macau, Top of the deck

Despite recent relaxation on inbound travel rules to Macau from neighbouring Guangdong in mainland China – involving an extension to seven days regarding the validity of a ‘negative’ Covid-19 test result – brokerage Sanford C. Bernstein Ltd still expects June casino gross gaming revenue (GGR) to be only 15 percent that of June 2019’s which had reached MOP23.81 billion (US$2.95 billion).

It “could still be lower if travel does not pick up during the month,” wrote analysts Vitaly Umansky, Louis Li and Shirley Yang, in a Monday note.

The institution added that the mainland China authorities’ “Covid travel impediments and visa control on frequent gamblers,” that might wish to enter Macau, “may continue to impact” near-term visitor numbers and GGR.

Nonetheless the institution expected June GGR to be up 11 percent sequentially on May.

Sanford Bernstein said – citing industry checks – that Macau’s daily GGR for the period June 6 to 12 inclusive, had been down 23 percent week-on-week, at MOP93 million versus MOP120 million daily during June 1 to 5 inclusive, i.e., the period encompassing the Dragon Boat Festival holiday period. June 3 to June 5 this year was a holiday in mainland China.

Sanford Bernstein observed however that Macau’s June 1 to 12 average daily rate of GGR was still down 87 percent versus June 2019, and down 3 percent on May this year’s average daily rate.

Macau’s May casino GGR was up 24.8 percent month-on-month, to just above MOP3.34 billion, versus the MOP2.68 billion achieved in April. The GGR tally in April was the lowest in nearly 20 months, near the start of the Covid-19 pandemic.