Macau gaming operator Sands China has secured its leadership in the gaming industry, according to data provided by Deutsche Bank.
Sands strengthened its overall leadership with 25.6 percent of the gaming market share in Macau, increasing from 24.4 percent by the end of 2022.
In the mass segment, Sands extended its market share from 24.5 percent in 4Q22 to 26.6 percent at the end of last year.
In the same note, Deutsche Bank reaffirmed that Macau’s mass market had already recovered to 105 percent of 4Q19 levels, while its VIP revenue was still 77 percent lower than the 2019 levels. This is attributable to the VIP gaming crackdown by the Chinese government.
Sands China’s VIP market share stood at 17.2 percent, while Wynn leads the VIP market with 20.5 percent of VIP market share.
According to updated data regarding 4Q23, Galaxy Entertainment Group continues to hold its second-place market share ranking, with 17.8 percent. Meanwhile, MGM China has gained significant market share since its reopening in January last year, as the company added nearly 200 gaming tables. Its share increased from 14.6 percent to 16.3 percent from a year ago.
Melco has 14.7 percent of the market share in GGR, just ahead of Wynn Macau, which was recorded with 13.5 percent of the share.
SJM Resorts seems not very benefited from its first Integrated Resorts in the Cotai area – Grand Lisboa Palace; the gaming operator has only 12.1 percent of share.
Industry margins at 29 percentÂ
Analysts from Deutsche Bank note that the industry margins were 29 percent in 4Q23, while it stood at 29.8 percent in 4Q19. This is due to the net revenue being down 16 percent from 4Q19 levels, while non-gaming tax-related operating expenses were flat versus 4Q19.
The overall industry’s property EBITDA was $1.94 billion, which is still 18 percent lower than 4Q19.
Macau’s gross gaming revenue (GGR) amounted to MOP183.05 billion ($22.68 billion) in 2023, reflecting a 333.8 percent increase from 2022. The GGR recovery accelerated in 4Q23, with the GGR recording a 421 percent yearly increase, according to the same data.
