The “Thai Fight World Battle” was one of the many events held recently at The Venetian’s Cotai Arena
Hong Kong stocks rose yesterday, as property companies and casino operators lead the advance. Declines in Macau’s gaming revenue for the past four months didn’t stop Sands China Ltd. from rising 2.2 percent to place gains among Macau gaming shares.
A source from the industry told the Times that “while most gaming analysts and operators focus on temporary gains or losses in the casino market’s share of revenue, Sands China leads the industry consistently in non-gaming diversification and revenues, including Entertainment, Events, Hotel, Food & Beverage, MICE and Retail.”
Sands China’s strategy consists of elevating Macau’s profile as a travel and leisure destination through high-profile entertainment events that have been broadcast to over a billion viewers globally, the majority of these viewers being based in China.
“At a time when the industry is struggling to understand changes in the market, Sands China keeps a ‘steady hand on the wheel’, focusing on the rising middle class by developing high quality, affordable hotel rooms, spectacular events and diverse retail experiences,” the source revealed, stressing also that “creating ‘memorable experiences’ is a key component in Sands’ strategy to drive ongoing visitation to Macau and Sands China’s four properties. In the process, Sands China’s hotel brands and team members “have won more quality service and sustainability awards than any other operator.”
Sands China had the highest market share in Q3, but when asked about the significance of market share of revenue, the company’s CEO Edward Tracy was quoted as saying, “Market share of revenue is only one figure we look at. Market share of EBITDA is the best indicator of overall efficiency of the operations and the key to shareholder value.”
Sands China has consistently delivered over 30% of the entire market’s EBITDA, as noted by Union Gaming’s Grant Govertsen in a recent interview about market shares.
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