Macau’s gaming industry is poised to sustain its momentum in 2025, with the premium mass segment continuing to play a central role in driving gross gaming revenue (GGR), according to Goldman Sachs.
The insight from the investment bank comes after meeting with the management of Macau gaming operator Galaxy Entertainment Group.
According to Macau’s fiscal year 2025 budget, the gaming sector’s GGR is projected to grow by 6 percent year-on-year, reaching MOP240 billion ($29.9 billion). Galaxy Entertainment Group has echoed the government’s optimism, predicting that Macau’s GGR growth will surpass China’s GDP growth in 2025.
The company attributes this confidence to Macau’s relatively ‘low penetration as a travel and gaming destination’, suggesting ample room for future expansion.
Galaxy Entertainment’s management expects premium mass to remain the primary growth driver for the industry, albeit with notable changes in player behavior.
Goldman Sachs notes that the definition of premium mass has evolved. Before the pandemic, premium mass players were characterized by significantly higher daily losses. In recent years, however, most premium mass players now lose no more than HK$30,000 ($3,854) to HK$40,000 ($5,139) daily. While this represents only a fraction of pre-pandemic levels, it reflects a shift in spending patterns and player preferences.

Depreciation of the RMB
Despite the positive outlook, Goldman Sachs highlighted potential risks that could impact Macau’s GGR growth, risks that the gaming operator is also aware of.
The investment bank cites another study, which concluded that a sharp devaluation of the Chinese yuan (RMB) could reduce outbound travel demand. However, such effects are likely only if the currency depreciates by more than 10 percent.
As previously reported by AGB, the RMB’s continued weakening has already led to higher travel costs for mainland Chinese tourists visiting Macau, sometimes rising by double digits. These higher expenses, without corresponding price adjustments, could make Macau less attractive as a travel destination.

Market share gainer
Market share shifts remain a concern for Galaxy Entertainment in the near term as Sands China relaunched the Venetian Cotai Arena and introduces new suite hotels at The Londoner Macau.
According to Goldman Sachs, Galaxy’s GGR market share likely rose by about 1 percentage point sequentially in 4Q24, reaching 19.9 percent, translating into an 8 percent quarter-on-quarter GGR growth, compared to the industry’s 3 percent increase.
Despite a slight dip in industry-wide GGR and market share in December, amid Chinese President Xi Jinping’s visit – and some competitors, such as MGM, attracting more international high rollers – Galaxy outperformed expectations and gained market share in 4Q24.
Galaxy Entertainment remains confident in its ability to capture additional GGR and EBITDA market share. This optimism is fueled by new projects and offerings launched since FY23, which are expected to strengthen the company’s competitive position and attract a wider range of visitors.

Capella to increase competitiveness
Galaxy Entertainment Group is set to elevate its high-end offerings with the launch of the ‘ultra-luxury’ Capella hotel in mid-2025. The hotel will feature 36 Sky Villas and 57 Suites, ranging from 100 to 400 square meters in size. Despite its exclusive scale compared to Galaxy’s portfolio of 5,700 rooms and 22,000 staff, the company does not anticipate significant additional operating expenses.
Moreover, Galaxy Macau Phase 4, expected to be completed by 2027, will significantly enhance the group’s non-gaming amenities. This development will introduce 1,500 rooms across six new hotel brands, 120 retail outlets (in addition to the current 200), 80 new food and beverage options, and a 4,000-seat theater.
These additions are expected to diversify Galaxy’s offerings and support Macau’s broader push for economic diversification.