Macao casino operators continue to endure a rough start to the second half of the year, with Sands China posting disappointing second-quarter financial figures. Investors, however, seem unperturbed, with the firm’s share price growing to almost HKD 14 ($1.80) by the end of last week.
Sands China operates several integrated casino-resorts in the special administrative region.
After posting a 0.8% year-on-year drop in total net revenues to $1.78 billion on July 23, share prices dipped slightly before briefly recovering to over HKD 14 and remaining near this level for the rest of last week, closing at their highest level in around a month.
Macao Casino Q2: Silver Linings Few & Far Between
The Q2 report was not without a few silver linings. At the flagship Londoner Macao casino, revenues rose 9% to the $548 million mark. The Parisian, meanwhile, saw gaming revenues rise by over 13%.
Earnings, however, were down at both venues.
Other financial figures from the report made for much grimmer reading still. The group’s net income fell sharply by half to $107 million, the Japanese-language, Macao-based newspaper Macau Shimbun reported.
Adjusted property earnings before interest, taxes, depreciation, and amortization dropped from last year’s $566 million to $430 million.
Over the first half of 2026, earnings dropped by over 3%.
Gaming revenues were also down almost 14% at the Venetian Macao. Other Sands China casinos fared marginally better: Gaming revenue drops were in the single figures at the Plaza.
VIP Spending Down
The same newspaper quoted Patrick Dumont, Chairman and CEO of the Las Vegas Sands Group, as stating that betting volume across all gaming segments had increased year-on-year due to continued investment in service and hospitality improvements in Macao.
But Dumont added that an “unusually low hold rate in rolling play” had negatively impacted the quarterly results.
Analysts, however, have told a different story. The latest data continues to point to a drop in VIP spending at many Macao casinos.
VIP room receipts have dropped by almost 3% on last year’s figures, per the Macao gaming regulator.
The District Inspection and Coordination of Gaming also said second-quarter gross gaming revenues dropped 0.1% year-on-year to almost $7.6 billion.
The regulator, like many financial analysts, has blamed the World Cup.
However, other factors may also be causing malaise in Macao casinos. These include a rise in mosquito-borne illnesses, typhoons, and a spate of proxy betting-related arrests.
Despite the gloom, the taxman appears to remain happy. Figures released earlier this month reveal a 13% rise in casino tax revenues for the special administrative region.
The post Stock Market Unbothered as Macao Casino Behemoth Sands China Posts Profits Drop appeared first on CasinoBeats.
