GGRAsia – Macau VIP revenue down 16 pct year-on-year in 2Q

Macau VIP revenue down 16 pct year-on-year in 2Q

Jul 18, 2016 Newsdesk Latest News, Macau, Top of the deck

Casino gross gaming revenue (GGR) in Macau’s VIP segment fell 15.7 percent year-on-year in the second quarter, according to data released on Monday by the local regulator, the Gaming Inspection and Coordination Bureau.

Mass-market GGR also contracted year-on-year, but more modestly, at 1.1 percent.

VIP GGR in the April to June period was approximately MOP26.60 billion (US$3.33 billion) compared to MOP31.57 billion in the prior-year period.

Mass-market GGR in the second quarter was MOP25.01 billion, compared to MOP25.30 billion in the prior-year period.

The aggregate for all casino GGR in the second quarter 2016 had been reported on July 1 by the gaming bureau as standing at MOP51.61 billion, down 9.2 percent from a year earlier.

In the breakdown of that revenue, released on Monday by the bureau, VIP play as a proportion of all casino GGR for the second quarter stood at 51.5 percent, compared to the 55.5 percent contribution made by VIP in the second quarter 2015.

Mass-market baccarat alone accounted for MOP18.65 billion, or 36.1 percent, of all casino GGR in the second quarter 2016. In the second quarter 2015, mass-market baccarat was 32.7 percent of all casino GGR. Revenue from mass-market baccarat increased 0.2 percent year-on-year, according to Monday’s data.

The number of live dealer tables in the Macau market rose 3.2 percent year-on-year in the April to June period, to 5,998, compared to 5,814 in the prior-year period.

Slot machine revenue in the three months to June 30 this year fell 11.3 percent to MOP2.63 billion, compared to MOP2.96 billion in the prior-year quarter.

The number of slot machines in the market during the second quarter this year fell 3 percent to 13,706, compared to 14,192 in the prior-year period.

Casino GGR from live multi game – a category of electronic table using a live dealer but electronic betting and bet settlement – rose 11.5 percent year-on-year in the second quarter of 2016, to MOP562 million, from MOP504 million in the prior-year period.

Banking group Morgan Stanley said in a note earlier this month that the second quarter of 2016 was likely to be the “worst quarter in the last five years” in terms of operating results for Macau casino firms. Earnings reporting season is due to start soon.