• 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
  • Industry Talk
  • Trends & Tech
  • iGaming
  • follow
    • Facebook
    • Twitter
    • RSS Feed
    • LinkedIn

Macau ‘still a good environment for operators’: Hoffman Ma

Sep 25, 2014 Newsdesk Latest News, Macau, Top of the deck  


Macau ‘still a good environment for operators’: Hoffman Ma

Hoffman Ma Ho Man (pictured), deputy chairman of Macau casino investor Success Universe Group Ltd, says the city’s gaming industry continues to have the support of Beijing. That is despite President Xi Jinping’s anti-corruption drive in mainland China, which several gaming analysts say is having a depressive impact on Macau’s VIP gaming revenue.

“The Chinese government will support Macau. They are very proud of the city’s reputation as a gaming leader,” Mr Ma said on Thursday. “The Chinese government will keep pumping tourists into Macau.”

Mr Ma was talking in Macau during the 5th Annual Resorts and Entertainment conference, promoted by event organiser Marcus Evans. GGRAsia is a media partner of the event.

Success Universe Group is a joint venture partner with a unit of SJM Holdings Ltd in Macau casino resort Ponte 16. SJM Holdings also supplies the gaming licence for the property. Ponte 16 posted an increase of 51 percent in adjusted earnings before interest, taxation, depreciation and amortisation (EBITDA) for the first half of 2014.

Mr Ma pointed out that the anti-corruption measures in mainland China are impacting Macau’s VIP market not because there were a lot of corrupt officials gambling in the city before. Instead, it is because the new policies have restricted large money transactions out of the mainland, making it harder for junkets to operate.

“Junkets have difficulties in getting the money from the mainland back into the system in Macau because of that,” he explained. “This is mainly the cause of the slowdown in VIP.”

Those measures, he added, don’t impact the mass market because mass players have a lot of channels available to bring what they consider to be enough money to Macau.

“It is still a good environment for operators [in Macau],” Mr Ma said. “You can still expect the mass market to continue to grow, which has a higher profit margin than VIP,” he added.

‘Healthier’ structure

Mr Ma forecast VIP revenue should either remain flat or drop by one digit in the future, while mass revenue would continue to grow, despite a recent slowdown.

“It is healthier that way. Macau can gradually go towards a 50-50 mix, having a more diversified stream of earnings,” he said.

Mr Ma pointed out that the new holiday scheme being mulled by Beijing would further benefit the mass segment. Chinese authorities are planning to scrap the national statutory holidays – the so-called Golden Weeks – and introduce a paid annual leave system.

“We can expect the travel behaviour of the Chinese to be more linear throughout the year instead of packing it into big holidays,” Mr Ma said.

He added that Macau’s success story is leading other jurisdictions in Asia to consider legalising casino gaming or revising their regulatory frameworks. “Those with ground transportation access [to mainland China] will still have the advantage,” he said.

Mr Ma however warned not all jurisdictions would be successful.

“A lot of governments think that Macau’s success has been driven just by gaming, and that with a casino licence you can do it anywhere. Not exactly… Easy access, how money can be transferred in and out, the currency, the existing tourism industry… these all need to be considered in order for a gaming destination to be successful if aiming the Chinese market.”


  • tweet
Related articles
  • Macau gaming shielded in case of global recession: analysts
    Macau gaming shielded in case of global...

    Jul 06, 2022  

  • Macau publishes amendment to public tender regulation
    Macau publishes amendment to public...

    Jul 05, 2022  

More news
  • Coughlan to exit as Wynn Macau Ltd president in February
    Coughlan to exit as Wynn Macau Ltd...

    Jul 06, 2022  

  • Fitch downgrades Crown, signs off on rating casino firm
    Fitch downgrades Crown, signs off on...

    Jul 06, 2022  


Latest News

Coughlan to exit as Wynn Macau Ltd president in February

Coughlan to exit as Wynn Macau Ltd president in February

Jul 06, 2022  

Macau casino operator Wynn Macau Ltd said on Wednesday that its long-serving president, Ian Coughlan (pictured), would be leaving his role in February next year. Linda Chen will take over as...
Read More
Fitch downgrades Crown, signs off on rating casino firm

Fitch downgrades Crown, signs off on rating casino firm

Jul 06, 2022  

Macau could launch gaming tender within days: JP Morgan

Macau could launch gaming tender within days: JP Morgan

Jul 06, 2022  

Sign up to our FREE Newsletter

UB8V5.qr.16(Click here for more)

Pick of the Day

”As the Macau gaming revenue structure is now leaning heavily towards the mass business … once the border fully reopens, the recovery from mass should drive the sector to bounce more swiftly”

Vitaly Umansky, Louis Li and Shirley Yang

Analysts at Sanford C. Bernstein



Most Popular

  • Four Seasons Macao shops paused on Covid casesFour Seasons Macao shops paused on Covid cases July 4, 2022
  • GKL sees June casino sales up 34pct sequentiallyGKL sees June casino sales up 34pct sequentially July 4, 2022
  • Macau’s Grand Lisboa cordoned amid 13-case Covid clusterMacau’s Grand Lisboa cordoned amid 13-case Covid… July 5, 2022
  • Macau publishes amendment to public tender regulationMacau publishes amendment to public tender regulation July 5, 2022
  • Macau ops all likely had negative 2Q EBITDA: JP MorganMacau ops all likely had negative 2Q EBITDA: JP Morgan July 4, 2022
Copyright 2014-2022 TEAM Publishing and Consultancy Ltd / All rights reserved
  • Code of Ethics
  • Privacy Policy
  • Useful Links
  • Contact Us