Macau’s casinos generated MOP21.2 billion ($2.6 billion) in gross gaming revenue in March, figures by the Gaming Inspection and Coordination Bureau show. The amount reported reflects an 18.1% increase from the same month a year earlier.
The rise was the highest year-on-year one since February 2014 when gross gaming revenue at the special administrative region’s casinos grew 40.3% to MOP38 billion. March came as the eighth consecutive month of revenue increase since August 2016.
Macau’s gambling venues had quite a tough time for over two years due to a massive anti-corruption, anti-money laundering, and anti-gambling campaign pushed forward by Chinese President Xi Jinping. If anything, the campaign helped China’s special administrative region realize its huge dependence on its gambling industry.
Actions taken against the proliferation of corruption-related practices and the illicit outflow of money from the country scared VIP players away from Macau’s casinos and this resulted in the massive revenue declines reported for over two years.
Concerned about its economy, the city government took actions to avert business course to more family-friendly entertainment options and mass market-oriented casino operations. The move has so far proved to be a positive one as results have shown over the past eight months.
The Gaming Inspection and Coordination Bureau posts every quarter more detailed reports on the performance of both its mass and VIP casino markets. The next such report is slated to be published on April 18-20, 2017 and will provide more clarity over the scope of the city’s casino market and how it has developed over the quarter when compared to the same period a year earlier.
Local casinos generated a total of MOP63.5 billion in the three months ended March 31, up 13% year-on-year. Last year’s first quarter saw VIP baccarat as the highest grossing product offered at Macau’s casinos with revenue from tables totaling MOP30.4 billion. Mass market baccarat also contributed a large portion to the bulk, with revenue from tables amounting to MOP19 billion for the three months ended March 31, 2016. Macau’s upcoming quarterly gaming report will show how exactly the market has changed over the past year.
With the integrated casino resorts model being introduced to more and more countries in the Asia-Pacific region, competition for precious high roller clientèle will certainly increase in that part of the world. The Philippines has opened several such resorts over the past several years, with the latest one holding its official opening in late March; Singapore features two such resorts; and Australia is on the way to further expanding its casino resort industry.
The Asia-Pacific casino landscape may also soon be enriched by up to two gaming complexes in Japan. The country has recently legalized casino gambling and major casino developers have already expressed interest in entering the country’s market.
