Gaming Citigroup forecast gaming revenue to ‘look resilient’ in April

Business trends in the Macau gaming sector appear to be resilient in April, according to a recent memo from Citigroup,

“We won’t be surprised if Macau’s gross gaming revenue (GGR) is going to be generated by less premium-mass players this month, given the timing of the Labor Day holidays this year,” wrote analysts George Choi and Ryan Cheung following the institution’s latest spot-check survey of Macau premium mass gaming tables, as cited in a GGRAsia report.

Citigroup has forecast Macau’s GGR to reach MOP18.50 billion in April, a 26% increase compared to the same period last year, but a 5% decrease from March’s figure of MOP19.50 billion.

Citigroup conducted a survey of Macau’s premium mass gaming tables, which revealed a 5% year-on-year decline in wager by player. However, this decline was offset by a significant increase in player count, resulting in a 53% year-on-year increase in total wager observed.

The survey identified 568 premium-mass players and observed 18 “whales” (players with bets of HKD100,000 per hand or more), compared to 14 whales in the previous year’s survey. Whales were observed at five of the six casino operators, with SJM Holdings Ltd being the exception.

“Wager by player in April 2024 fell slightly by 5% to HKD19,467, but this is likely due to the 60% year-on-year higher player count, which likely means that there are relatively more casual premium players versus April 2023,” said Choi and Cheung.

The analysts from Citigroup noted that the upcoming Labor Day holidays are likely to attract more players, and some individuals may choose to save their Macau visas for that period. Overall, despite some fluctuations in wager amounts, the gaming sector in Macau is expected to remain resilient in April, the institution said. Staff Reporter