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Macau Gaming Revenue Soars to New High on Golden Week Boost

By Shirley Zhao
Attendees look at slot machines during the MGS Entertainment Show in Macau, China, on Tuesday, Nov. 14, 2023. Macau’s casinos have largely stayed on a recovery path this year, with the city’s gaming revenue returning to 74% of pre-pandemic levels last month as tourists flocked to the hub during China’s Golden Week holiday. Photographer: Eduardo Leal/Bloomberg (Eduardo Leal/Bloomberg)

(Bloomberg) -- Macau’s gaming revenue jumped 6.6% in October, rising to a new high since Covid shut down travel as China’s national Golden Week holiday fueled tourism and spending. 

Gross gaming revenue reached 20.8 billion patacas ($2.6 billion) for the month, according to data released by the Gaming Inspection and Coordination Bureau on Friday. The result was in line with the median analyst estimate of a 6% year-on-year increase. 

The tally is a 20% increase from the previous month but remains 21% below the pre-pandemic level in 2019. 

Key Insights

  • Macau saw a surge in visitors during China’s seven-day holiday at the beginning of the month, with average daily tourist arrivals exceeding pre-Covid levels in 2019, reaching almost 142,000. Most of Macau’s visitors came from the mainland.
    • The casino hub reported 2.5 million visitor arrivals in September, about 91% of the pre-pandemic level. The city will release data for October later this month.
  • Gaming revenue was further boosted by concerts of Hong Kong and Korean pop stars in the final week of October.
  • Macau is facing longer-term regulatory headwinds, as China seeks to crack down on capital outflow and money laundering. In October, Macau’s legislature passed a gambling crimes bill which criminalized unlicensed money exchanges — a widespread practice around casinos.
  • Macau in October elected former judge Sam Hou Fai as its new leader. Sam had previously warned against the gambling industry’s outsize influence, adding to signs of a toughening approach for the city to diversify away from casinos.

Market Performance

  • The Bloomberg Intelligence index of Macau casino operators fell 11.4% in October, while the benchmark Hang Seng Index was down 3.9%.

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  • Macau Casinos Set to See Stagnant Profit Growth in Third Quarter
  • Macau Legislature Approved Gambling Crimes Bill: GGR Asia
  • Macau Elects Former Judge Wary of Casinos as Its New Leader
  • Macau Gaming Revenue Beats Expectations Ahead of Golden Week

©2024 Bloomberg L.P.