GGR surges 16 percent year-on-year last week: Bernstein

Macau gross gaming revenue (GGR) month-to-date is estimated at MOP 12.7 billion ($1.6 billion), implying an average daily revenue of MOP 635 million for the month.

The results in the last week (Nov 14-20) was particularly strong, coming in at 16 percent higher than the same period in 2015, with an ADR of MOP 686 million.

Buckingham Research, on Monday noted the Macau Grand Prix did not have as much of an impact on GGR as it has in the past.

“This lift is despite the Macau Grand Prix having dominated the Peninsula region of Macau all week. Given the continued shift of volume towards the Cotai region, the impact of the Macau Grand Prix was likely less of an issue this year vs. prior years.”

“We believe the market is benefiting from increased hotel capacity in Cotai, driving increased overnight visitation, especially during the weekends.”

Assuming an ADR of MOP 610-650 million for the remainder of this month, October GGR would be in the range of MOP 18.8 billion and MOP 19.2 billion, said Bernstein.  

The forecasted GGR would represent a year-on-year increase of 14.5 percent to 17 percent, “better than our previous estimate on much stronger weekly performance this past week.”