Macau ADR shows signs of improvement from June

Average daily revenue in Macau in the first few days of July is down 91 percent from the same month last year, though is up about 193 percent from June, according to research from Bernstein.

Gross gambling revenue from July 1 to July 5 was MOP0.35 billion, the firm said, warning that for the month as a whole there is still very little clarity as to when border restrictions may be lifted.

If restrictions remain in place for Chinese visitors for all of July, with a normal hold rate, GGR is likely to be down low to mid 90 percent, it said. However, should there be an easing in the earlier part of July, there could be some improvement in premium play bringing GGR declines to the high 80 percent range, it added.

Border restrictions have been eased from this week, with nine cities in the Greater Bay Area allowing Macau residents to travel without mandatory quarantine. However, there has not yet been reciprocal access into the territory.

Bernstein said it expects further border easings to follow, though says it’s sceptical that individual visit schemes will restart in July. 

Bernstein said it expects GGR for 2020 to be down 44 percent, before rebounding 96 percent in 2021.