Thursday, May 23, 2024
HomeNewsMacauCitigroup trims Macau April GGR to $2.23B due to flat daily run-rate

Citigroup trims Macau April GGR to $2.23B due to flat daily run-rate


Citigroup has trimmed its forecast for Macau’s gross gaming revenue (GGR) from MOP18.5 billion ($2.3 billion) to MOP18 billion ($2.23 billion) for April due to the anticipated flattish daily run-rate.

According to the investment memo issued on Monday by analysts George Choi and Ryan Cheung, citing industry sources, Macau’s GGR for the first 21 days of April is likely to have reached MOP12.5 billion ($1.55 billion). The implied daily run-rate of last week was about MOP600 million ($74.4 million), which was 2 percent higher than that of the prior week at MOP586 million ($72.7 million) per day.

Macau VIP volumes were 5-6 percent lower month-to-month, while mass volumes were 4-5 percent lower month-to-month. The VIP hold rate appears to be below the normal level, reflecting the lower-than-expected VIP hold rate.

In this context, the research team from Citigroup cuts April’s GGR forecast, implying the daily run-rate to ‘stay largely flattish for the rest of the month’.

Macau’s March GGR amounted to MOP19.5 billion ($2.42 billion), reaching a new 49-month high.

Macau Gaming GGR, March 2024, Citigroup trims Macau April GGR to $2.23B due to flat daily run-rate

The results reflect a 5.5 percent increase from February’s MOP18.5 billion ($2.29 billion) and a 0.01 percent increase from the last post-COVID October high of MOP19.5 billion ($2.41 billion).

The new post-COVID high GGR was attributed to the holidays falling in March, as Macau received an influx of visitors from Mainland China and Hong Kong during Easter and Cheng Ching.

Earlier last week, the Macao Government Tourism Office (MGTO) projected that Macau may receive an average of 130,000 inbound tourists per day during the Labor Day break. The projection surpasses the numbers seen during the Cheng Ming and Easter holidays.

The Labor Day break spans from May 1st to May 5th for mainland China. Citigroup has projected that Macau’s hotel occupancy is expected to reach 90 percent during the period.

Viviana Chan
Viviana Chan
Viviana Chan is an editor, interpreter, and journalist. With over a decade of experience, she writes in English, Chinese, and Portuguese. Viviana started her career in Macau-based newspapers, where she became passionate about the region's social, financial, and cultural development. Her writing focuses on the economy, emerging industries, gaming development, political affairs, and cross cultural-exchange in the business and cultural domains. She is avid for news and eager to discover and cover stories that generate public relevance.