CLSA ups Macau GGR forecast

CLSA has upped its forecast by 2 to 3 per cent.

Macau.- Investment group CLSA has adjusted its gross gaming revenue (GGR) forecast for Macau to US$29.8bn, a 2 to 3 per cent increase from its previous forecast. Analysts Jeffrey Kiang and Leo Pan said GGR figures in May showed sustained demand in Macau’s gaming sector despite GGR remaining 22 per cent below 2019 figures.

They highlighted Macau’s appeal as a premier gaming destination for Chinese visitors, citing proximity and favourable policies and noted resilience in the premium segment. CLSA also highlighted the expansion of the Individual Visitation Scheme (IVS) to ten additional cities, including Qingdao, Xi’an, and Taiyuan, covering roughly 45 million residents, from March.

See also: Macau mass gaming to reach 113% of 2019 levels, analysts say

CLSA has adjusted its 2025 GGR forecast to US$31.7bn and raised its 2025 sector EBITDA forecast by 2 per cent to US$9.7bn, which would be above pre-pandemic levels. The report noted increasing competition between concessionaires, with combined discounts and investments in players rising by 10 per cent from the previous quarter to US$1.267bn in the first quarter of 2024

Galaxy Entertainment Group is expected to regain market share, achieving 18.2 per cent by the end of this year, due to restructuring its sales team and redesigning its gaming area at Galaxy Macau.

CLSA has upped its forecast by 2 to 3 per cent. Macau.- Investment group CLSA has adjusted its gross gaming revenue (GGR) forecast for Macau to US$29.8bn, a 2 to 3…