According to JP Morgan analysts, Macau’s gaming operators had their best week since the first days of 2020 during May Golden Week. Their Gross gaming revenues are recovering back to around 50% of pre-COVID-19 levels.
GGR figures for the holiday period were described as “broadly satisfactory” by JP Morgan’s DS Kim, Derek Choi, and Livy Lyu in a Thursday note, led by a resurgence in the mass segment.
Visitation was only around 25% of May Golden Week levels in 2019. But GGR was between 40% and 50%, with a recovery to between 60% and 70% for mass GGR compared to 20% to 25% for VIP.
Preliminary estimates show a daily GGR run rate of MOP$400 million to MOP$500 million (US$50.0 million to US$62.5 million) over the past week, compared to recent run rates of MOP$270 million to MOP$280 million (US$33.7 million to US$35.0 million), “reflecting pent-up demand,” according to JP Morgan.
The analysts state that “weekly GGR data from industry consultants will come out on Monday for the first nine days of May.”
“The data will likely range from MOP$330 million to MOP$380 million (US$41.2 million to US$47.5 million) per day, as it will cover both the holiday (May 1-5) and the seasonal lull (May 6-9).
“As a result, May should be able to print GGR of MOP$9.5 billion (US$1.2 billion). It is slightly higher than consensus expectations.”