Feb 1-5 GGR exceeds expectation

Macau recorded a strong start to February, raking in MOP 6.3 billion in the first week of the month (Feb 1-5), anoted Bernstein on Monday. 

The week saw ADR of MOP 1.3 billion, up 103 percent compared with January and +49 percent over the similar period in February 2016, which was above expectations.

“According to our channel checks, mass revenue was approximately 70 percent higher than recent (non-holiday period) performance while VIP was more than double,” said Bernstein.

“Conversations with operators in Macau over the last several days suggest that trends in the market have improved considerably. Despite what appeared to be a slow start to CNY, we are hearing from our contacts that overall volume has been strong,” noted analysts from Buckingham research on Monday.

“The key for the February performance is the strength for this week and how quickly GGR falls off in the second half of February,” added Bernstein.

Assuming an ADR of MOP 615 – 630 million for the remainder of the month, Bernstein says it estimates February to achieve GGR of MOP 20.4 – 20.8 billion, representing a year-on-year GGR increase of 4.5 percent to 6.5 percent for the month.