Market Transition Post-World Cup
With the World Cup now concluded, investors are directing their attention towards the upcoming earnings season in Macau’s gaming sector. As analysts seek indications of recovery in the second half of 2026, July’s gaming revenue seems to be declining compared to the previous year. Industry data points to an average daily gross gaming revenue (GGR) around MOP634 million for the month’s first 19 days. This trend suggests a full-month GGR ranging from MOP20.1 billion to MOP20.9 billion, reflecting a year-on-year decrease of 5 to 9 percent.
Mid-July Revenue Uptick
The market witnessed a modest improvement recently with a 9 percent week-on-week increase in average daily GGR, reaching approximately MOP678 million. This rise is attributed to enhanced gaming volumes and favorable VIP gaming outcomes, despite the ongoing World Cup matches. Although mass-market revenues remained stable compared to June, VIP rolling numbers showed slight growth of up to 2 percent. The VIP win rate stayed robust between 3.9 and 4.1 percent.
Summer Season Boost
Analysts from HSBC project a gradual improvement in the GGR as summer tourism increases and non-gaming events gain momentum. The average daily revenue is expected to range between MOP670 million and MOP740 million for the rest of July. The boost in revenue is anticipated to be backed by heightened travel activity and scheduled entertainment events at Macau’s resort facilities.
Anticipating Quarterly Earnings
Attention is now shifting to second-quarter earnings, with major players like Las Vegas Sands set to announce results soon. Jefferies projects stable yet modest growth in the coming quarters, forecasting Macau’s GGR to rise by 2 percent in the third quarter and 4 percent in the fourth quarter. This increase would result in an estimated annual revenue of approximately MOP260 billion, marking a 5 percent rise from last year.
Outlook for Investors
Jefferies evaluates ‘low- to mid-single-digit percentage GGR growth’ compared to last year’s challenging figures as a positive development. Such growth could help boost investor confidence and provide a favorable medium-term outlook for Macau’s gaming industry. These signs of recovery indicate a steadier path forward beyond the impact of major sports events.