Macau’s Gambling Revenues Continue to Drop Amid COVID-19 Hurdles

April 21, 2022 Macau Earnings & Filings Industry Updates

While the COVID-19 pandemic has winded down in the Western world, China is experiencing a new wave of COVID-related hurdles. The situation has hugely affected the special administrative region of Macau, leading to a 25% drop in its gross gaming revenues (GGR).

Macau’s Results for April Are Expected to be the Lowest since September 2020
Bernstein analysts report that the 25% drop has been recorded in the period between April 11 and April 18. Translated into currency, this drop has cost Macau $9.3 million. Macau’s GGR for the period April 1 – April 18 sits at $197 million, with the region earning about $11 million a day. These numbers show a dramatic year-on-year drop compared to Macau’s results in 2019 and 2021 when it earned 89% and 68% more respectively. This drop notably marks the worst period for Macau’s gambling industry since September 2020.

The tendency of decline continues as analysts predict that the final mass GGR results will see a 30% drop compared to those in March 2022 and the VIP GGR will be roughly 25% lower.

As of now, there are an estimated 55 million people in China who are under some form of quarantine. The strictest anti-COVID measures are in Shanghai where countless people are prohibited from venturing out, regardless of how urgent their reasons might be.