Macaus gradual recovery from the effects of the COVID-19 pandemic has continued over the past week with gross gaming revenues reaching MOP$300 million (US$37.5 million) per day, according to analysts.
Described by JP Morgan as one of the highest non-holiday readings post COVID-19, the improved daily rate up from around MOP$290 million a week earlier has been attributed to rising visitation in the mass market segment plus high VIP hold.
Estimates have GGR for the week of 12 to 18 April at MOP$2.1 billion (US$262.5 million), with the average daily rate down 64% compared to April 2019 but up 12% on March 2021. The week also included the highest single day visitation in 15 months with 34,252 visitor arrivals last Friday 16 April.
This reflects gradual yet consistent improvements in gambler/travel sentiment, said JP Morgans DS Kim, Derek Choi and Livy Lyu, pointing to the upcoming May Day holiday period as the true test of Macaus recovery which they expect to be strong.
While its always challenging to forecast holiday trends, we think a GGR print of anywhere from MOP$400 million (US$50 million) to MOP$500 million (US$62.5 million) per day would be seen as a strong success for the May Day holiday from 1 to 5).
This, if it happens, would probably imply mass demand will have recovered to 70% to 80% of 2019 average levels despite ongoing travel frictions, hence very promising for full normalization into 2022.