Macau GGR could see first year-on-year growth in August

Macau gross gaming revenue may see growth after 26 months of decline, according to a note from Bernstein on Monday.

According to the brokerage, Macau gross gaming revenue for the first week of August was MOP 4.1 billion ($513.1 million), implying an ADR of MOP 586 million.

VIP volume and mass segments saw a decline on a week-on-week basis, most likely as a result of Typhoon Nida having an impact on visitation late Monday through to Wednesday morning. However, Bernstein analysts say they expect gaming volumes to improve in the next few weeks, further assisted by Wynn Palace’s opening on August 22.

Assuming an ADR of MOP 580-625 million for the remainder of the month, Bernstein said August GGR would be MOP 18.0 – 19.1 billion representing a year-on-year decline of between -3 percent to 3 percent. The higher end of the estimate would mean Macau’s first year-on-year GGR growth in 27 months.