Scientific Game

Strong 1Q18 results as Macau data shows mass up 20% and VIP up 21%

Monday, 16 April 2018 18:57
Share
Visit us

Gaming data released by Macau’s Gaming Inspection and Coordination Bureau (DICJ) on Monday shows strength across the board in 1Q18 with mass and VIP growing at an almost identical rate at 20.1% and 21.0% respectively.

Keeping track sequentially at 5.8% growth for mass and 5.7% for VIP, the segments were also split down the middle in terms of revenue contribution at between US$4.4 billion and US$4.5 billion each according to estimates.

The remarkably similar results are important, according to Macau-based analyst Grant Govertsen, who said, “This is good news on dual fronts: 1) VIP growth remains strong yet not sky high and therefore is more sustainable from a business perspective while also being more politically acceptable, and 2) the profit engine that is the mass market segment is more robust than many had given it credit for when the year began and remains robust as summer approaches.”

The best performing game type of all was non-VIP baccarat, up 24% year-on-year and 7% sequentially, reflecting a surge in tourist arrivals to start the year including a 36% increase in Chinese tour group visitation.

Govertsen, though, notes the trend towards Cotai with an estimated 62% of total GGR generated in Cotai or Taipa.

“At the segment level, 64% of mass GGR was generated on Cotai (vs 36% on the peninsula), while 59% of VIP GGR was generated on Cotai (vs 41% on the peninsula),” he said.

“We expect the delta between Cotai and peninsula to widen slightly this year even as we expect GGR on the peninsula to experience high single digit growth.”

What's new

Osaka governor pushing for 2023 IR launch

Osaka governor pushing for 2023 IR launch The governor of Osaka has declared his ambition to open an integrated casino resort in the Japanese city by 2023. Speaking to local media this week, Governor Ichiro Matsui stated his intent to launch an IR within the next five years while downplaying concerns over ongoing political scandals involvi... Thursday, 26 April 2018 20:10

Steve Wolstenholme appointed Group COO of Vietnam IR Hoiana

Steve Wolstenholme appointed Group COO of Vietnam IR Hoiana Vietnam’s Hoi An South Development has announced the appointment of former Okada Manila President and Managing Director Steve Wolstenholme as Group Chief Operating Officer. Wolstenholme brings a wealth of international experience in Asia and North America to Hoiana, including senior roles as Pres... Thursday, 26 April 2018 17:34

Weike to present revolutionary ETG products at G2E Asia in 2018

Weike to present revolutionary ETG products at G2E Asia in 2018 Weike Gaming Technology has announced that it will present its new line of electronic table gaming products; Multi Electronic Table Game – Real Cards Virtual Chips (METG RCVC) and Virtual Multi-Game (VMG) at G2E Asia this year. The METG RCVC is a newly released Semi-Live Baccarat Dealer Table usi... Thursday, 26 April 2018 15:21

G2E Asia Awards: Meet the Judges – Steve Gallaway

G2E Asia Awards: Meet the Judges – Steve Gallaway Steve Gallaway is Managing Partner at Global Market Advisors. His areas of expertise include gaming market assessments, hotel and casino feasibility studies, operational reviews and marketing analysis. Mr Gallaway has spent his entire career in the gaming and hospitality industry, starting as a val... Thursday, 26 April 2018 06:58

Current Issue

G2E ASIA AWARDS to debut in 2018

G2E ASIA AWARDS to debut in 2018 Inside Asian Gaming and G2E Asia will co-organize the inaugural G2E Asia Awards in 2018 – the official awards of Asia’s biggest industry  trade show and exhibition, G2E Asia. In an exciting development for the Asian gaming industry, Inside Asian Gaming and G2E Asia announced in March that they... Wednesday, 04 April 2018 14:07

Indian Dreaming: Tiger Palace putting Nepal in the game

Indian Dreaming: Tiger Palace putting Nepal in the game By Ben Blaschke The first integrated resort to be built in South Asia, Tiger Palace Resort in Nepal’s lowland Terai plains sits just eight kilometers from the border with India’s most populous state Uttar Pradesh, home to some 215 million people. At US$52 million it also represents a fascinatin... Wednesday, 04 April 2018 14:12

Digital Danger

Digital Danger As the world becomes increasingly digital, the world’s casino operators are taking cyber security more seriously than ever before. But as leading risk mitigation company Kroll explains, risks remain – and not always where you might expect.  By Ben Blaschke AS cautionary tales go, the downfall... Wednesday, 04 April 2018 14:09

Gaming development outlook along the Belt and Road

Gaming development outlook along the Belt and Road Michael Zhu, SVP of International Planning and Analysis for The Innovation Group, delves into the benefits that Chinese President Xi Jinping’s “One Belt and One Road” initiative will bring to Asia’s gaming industry. By Michael Zhu PRIOR to the current recovery of Macau’s gaming malaise, ... Wednesday, 04 April 2018 14:08