Macau’s casino operators generated an estimated MOP$2.5 billion (US$320 million) or MOP$625 million (US$80 million) per day during the first four days of February, keeping it in line with the MOP$624 million per day generated throughout January, according to investment bank JP Morgan.
In a note, analysts DS Kim, Mufan Shi and Selina Li said this was “pretty impressive” considering seasonality, with gaming revenues having traditionally slowed in the weeks before the Chinese New Year holiday period. As reported by IAG, January’s GGR of MOP$19.33 billion (US$2.40 billion) was 67% higher year-on-year and the second highest monthly tally since Macau’s borders reopened in January 2023.
Kim and co said the strong start to February suggests mass GGR has recovered to over 110% of pre-COVID levels, with VIP likely staying around the mid-20% recovery rate.
On the upcoming CNY holiday, they added, “Our checks on CNY indicate a very healthy level (essentially a record-high quality) of gaming patrons pre-booked for comped rooms.
“We expect over MOP$650 million per day print over the 8-day holiday, including a lull period (first few days of very weak days).”
The analysts also pointed to the impending release of more concessionaire results for 4Q23 – Wynn is due this week – with industry-wide EBITDA tipped to have reached 85% of pre-COVID levels, representing a 9% quarter-on-quarter increase.
Las Vegas Sands is the only concessionaire to have already released its Q4 results, reporting net revenues of US$1.86 billion and Adjusted Property EBITDA of US$654 million.
