Macau Casinos Seeing Positive Signs In OctoberGaming Revenue Decline Could Be Smallest In 9 Months |
|
The first third of October indicates that there might be a silver lining to Macau’s gaming revenue decline this month. According to a report from Bloomberg, casino performance so far this month could lead to a decline of just 25-28 percent, which would be the smallest year-over-year decline in nine months for the former Portuguese colony.
Gaming revenue in Macau has fallen for 16 straight months.
Casino stocks have seen a rare uptick thanks to the performance. According to Bloomberg, MGM China Holdings rose 6.9 percent to close at HK$11.42, the most intraday gain since July 9. Galaxy Entertainment Group jumped 6.1 percent while Sands China, SJM Holdings and Wynn Macau rising more than two percent.
Earlier this month, the Chinese government said that it will be taking initiatives to help Macau’s struggling economy. Casino win accounts for four-fifths of economic output. Macau’s GDP fell 26.4 percent in the last quarter.
Stock prices also rose when local media broke the news of Beijing’s unspecified plans.
Casino operators are collectively investing $20 billion into new Macau projects.
The VIP gambling segment once accounted for 70 percent of Macau gaming revenue. High rollers account for about 50 percent of the city’s gaming revenue these days. The casino industry there is shifting its focus to mass market customers.
Copyright © 2001-2024
CardPlayer.com. All rights reserved.
