Casino revenue faces June slump amid weather

Macau’s casino gross gaming revenue (GGR) is expected to see a low point this year in June, due to a combination of exceptionally wet weather and the impact of China’s university admission exams on family leisure activities, according to a report by banking institution Citigroup.

Analysts George Choi and Ryan Cheung, in their latest monthly survey of Macau’s table game business conducted June 7, recommended that investors “treat this month’s data point as the floor for Macau’s GGR run rate this year.”

The analysts noted that total premium mass wagers in June were approximately 10% higher year-on-year, reaching HKD10.0 million (US$1.3 million), compared to HKD9.1 million in June 2023. However, the number of premium mass players observed was around 31% higher year-on-year, while the average wager per player declined by approximately 16% to HKD18,478.

Citigroup attributed the year-on-year drop in premium mass player quality to the high base in June 2023, when Sands China Ltd hosted 12 shows by renowned Cantopop singer Jacky Cheung, drawing a large number of high rollers to Macau.

The report also noted the number of June 2024 “whales” – players betting HKD100,000 or more per hand – remained flat year-on-year at 16. However, the bank’s “player of the month” was a gambler at a Horizon-branded room at Galaxy Entertainment Group Ltd’s Galaxy Macau resort on Cotai, who wagered HKD1 million, making them a “player of the year candidate.”

Citigroup said the last time they witnessed a seven-figure bet was in November 2019, when a player bet HKD1.7 million. Staff Reporter