Casinos post strongest May since pandemic

The gaming sector recorded its strongest May performance since the pandemic, with gross gaming revenue (GGR) reaching MOP22.61 billion, according to figures released by the Gaming Inspection and Coordination Bureau (DICJ).

The May total represented a 6.7% increase from the same month a year ago and was 13.7% higher than April’s MOP19.89 billion. The result exceeded a revised forecast issued by analysts at Citi, who had projected monthly GGR of around MOP22 billion.

In a research note released before the month-end figures, Citi estimated that Macau casinos generated approximately MOP17.9 billion during the first 25 days of May, implying average daily revenue of about MOP656 million for the remaining six days of the month.

That pace was roughly 5% lower than the previous week’s daily average, reflecting a moderation in gaming activity following the Labor Day holiday period.

Despite the softer trend, Citi analysts pointed to several factors expected to support demand through the end of the month, including a three-night UFC Fight Night event hosted at Galaxy Arena. The event was expected to attract additional visitors and boost spending at integrated resorts.

Basing on operational data available at the time, Citi lowered its May GGR forecast from MOP22.5 billion to MOP22 billion, which would have represented annual growth of about 4%. Based on that estimate, the bank projected average daily gaming revenue of approximately MOP683 million for the remaining days of the month.

In the first five months of the year, gaming revenue reached MOP108.4 billion, up 10.9% year-on-year. LV