Macau Casino Revenue Reaches $2.31B in July

Last month, players in the Chinese Special Administrative Region (SAR) won MOP18.6 billion (US$2.31 billion) from Macau's six casino operators.

According to the Gaming Inspection and Coordination Bureau, the city's gaming regulator, gross gaming revenue (GGR) increased by about 12% in July compared to the same month last year. Compared to June, the month saw a 5% increase.

After May ($2.5 billion), March ($2.42 billion), and January ($2.4 billion), July was Macau's fourth-best gaming month of 2024.

Although the gaming sector in Macau continued to recover in July, the month's gross gaming revenue (GGR) only accounts for 76% of the total revenue generated by the casino concessions in July 2019, which brought in over $3 billion.

At $16.46 billion after seven months, Macau's casino income is around 37% higher than the industry's total at this time last year. However, the haul is still 24% smaller than it was prior to the 2019 epidemic.

According to Predictions

Analysts predicting July GGR initially estimated sales to be approximately MOP19 billion. Due to slower-than-expected activity, experts lowered their outlooks halfway through the month. JP Morgan issued a forecast of MOP18.5 billion.

Since VIP junket groups left the area and took the high rollers they had brought to Macau for decades with them, the city's several resorts have been increasing their mass-market advertising. After China ordered the Macau SAR Government to keep a closer eye on the flow of money from the mainland to the tax haven, the junket exodus occurred.

The majority of the opulent five-star luxury resort establishments on the Cotai Strip have not catered to the general public, but the casinos in downtown Macau on the peninsula have.

Last month, after neighboring businesses reported a drop in sales, casinos were instructed to stop giving them free drinks and snacks to gamblers. Macau has historically exclusively provided free refreshments, including alcohol, to high rollers in private rooms, in contrast to Las Vegas, where such benefits are common.  

A Year of Choppy Conditions 

Macau, the sole Chinese-controlled location where slot machines and table games are allowed, has seen mixed results this year.

February's win fell to $2.29 billion after a strong start with January's GGR of $2.4 billion, up 67% year over year. March saw a rebound in gaming, but April saw a slowdown once more, reaching $2.3 billion in GGR.

After having its strongest month in 2024 in May, the industry slowed in June to $2.2 billion, which was its lowest total to date this year. Because it comes after May's Golden Week celebration, when millions of mainlanders are granted a week off from work to take vacations, June is customarily a dull month in Macau.

The research firm Seaport Research Partners, which covers Macau, projects a "slight increase" in GGR in the third quarter, followed by a more notable 5.5% improvement in the fourth quarter. According to the brokerage, "operating costs, player reinvestment, July trends, August outlook, and impact of money flow crackdown" will all affect the actual results.