Macau’s gross gaming revenue fell 12% week-on-week, impacted by rising COVID-19 infections in mainland China and the collapse of the local VIP sector, according to brokerage Bernstein.
In their weekly GGR update, Bernstein analysts Vitaly Umansky and Kelsey Zhu said the daily revenue average in the seven days from 6 to 12 December was MOP$229 million (US$28.5 million), down from MOP$260 million (US$32.4 million) in the prior week on the back of lower visitation into Macau. The latest visitation statistics show an 18% decline in daily arrivals and departures to 47,300 combined, with China’s Zhejiang province reporting more than 100 local cases, while Shanghai, Heilongjiang and Yunnan have also reported new cases recently.
Perhaps more telling, however, has been a 35% to 40% decline in daily VIP rolling volume.
As reported by Inside Asian Gaming, Suncity Group closed all of its Macau VIP rooms on 1 December before announcing last Friday the complete cessation of its junket business. Tak Chun Group also confirmed it had received notice from two operators that their junket agreements were being terminated with most, if not all, concessionaires expected to follow suit by year’s end.
For the month to date, Macau’s GGR is estimated at MOP$2.9 billion (US$362 million) with an average daily rate of MOP$242 million (US$30 million), representing a 67% decline versus December 2019 and 4% lower than December 2020. It is, however, 7% higher than November 2021.
Bernstein is estimating December GGR will finish 68% lower than December 2019’s GGR of MOP$22.84 billion (US$2.84 billion), but 8% higher than November 2021 which saw GGR of MOP$6.75 billion (US$840 million).
