In June 2024, Macau, renowned globally for its bustling casino scene, recorded a total gaming revenue of MOP17.69 billion (approximately £1.74 billion/€2.04 billion/$2.20 billion). This figure marks a significant downturn, representing the lowest monthly total since November of the previous year.
Year-on-Year Comparison
Despite the month-over-month decline, June's revenue reflects a 16.4% increase from MOP15.21 billion in June 2023. This growth, while notable, is the smallest year-on-year increase reported in 2024, highlighting a trend of moderation in Macau's gaming sector.
June's revenue also saw a decline of 14.1% from May's robust figure of MOP20.19 billion. May's performance was buoyed by the Labor Day Golden Week holiday, traditionally a peak period for tourism and gaming in Macau.
Analysts note that June typically experiences lower gaming activity compared to other months in Macau. Despite this seasonal dip, there was a prevailing expectation among industry experts that June's revenue would still see a year-on-year increase of at least 17.5%.
Impact of Covid-19 Measures
Throughout the COVID-19 pandemic, stringent health and safety measures significantly hampered Macau's gaming revenue. Restrictions on visitor access to the Special Administrative Region (SAR) were particularly impactful. However, with the removal of these measures in January 2023, Macau's market has shown resilience, consistently reporting robust monthly growth rates.
For the first half of 2024, Macau's cumulative gaming revenue reached MOP113.75 billion. This represents a substantial 41.9% increase compared to the same period in 2023, where revenue stood at MOP80.14 billion. The strong year-to-date performance underscores Macau's recovery trajectory and its resilience in the face of global economic uncertainties.
Performance Highlights of Major Casino Operators
Later this month, leading casino operators in Macau are slated to announce their financial results for the first half of 2024. Based on their Q1 performances, significant growth is anticipated from key players such as Las Vegas Sands, Melco Resorts & Entertainment, SJM Holdings, and Wynn Resorts.
Las Vegas Sands reported robust Q1 results, with total revenue increasing by 39.6% to US$2.96 billion. Macau operations contributed significantly, generating US$1.81 billion, a 41.6% year-on-year rise.
SJM Holdings, a prominent player exclusively operating in Macau, reported a remarkable 73.0% revenue increase in Q1, amounting to HK$6.90 billion. The strong performance underscores SJM's strategic positioning in the local market.
Melco Resorts & Entertainment also reported strong Q1 results, with total revenue rising by 55.2% to $1.11 billion. Notably, each of Melco's properties in Macau contributed to this growth, with City of Dreams leading with revenues of $550.9 million.
Wynn Resorts posted a 30.8% year-on-year revenue increase in Q1, totaling $1.86 billion. Macau operations played a pivotal role, generating $998.6 million, representing 53.6% of the group's total revenue for the quarter.
The casino industry in Macau continues to navigate a dynamic landscape in 2024, characterized by fluctuating monthly revenues and robust year-on-year growth. While June saw a dip in revenue, the overall trend remains positive, reflecting the SAR's resilience and recovery from pandemic-related disruptions. As stakeholders await the H1 financial reports from major operators, the market's performance in the second half of the year will likely be influenced by broader economic conditions and ongoing efforts to enhance visitor experience and operational efficiency.
Source:
''Macau’s June GGR reaches $2.2B, down 12.4% m-o-m'', agbrief.com, July 01, 2024.