Articles

Macau to experience first year-on-year decline

The Chinese gaming hub Macau is preparing to experience its first year-on-year decline in revenue since it was opened to foreign competition in 2002.

It has recorded a 12.4 per cent decline in first-half casino revenues.

When gaming legislation was liberalized in the special administrative region, a number of major casino operators invested there, such as MGM Mirage, Las Vegas Sands and Wynn Resorts.

However, there has been a 20 per cent decline in visitor arrivals over the last year.

An investment bank gaming analyst told the Financial Times: "The key factor is what happens in July. In the second half we're looking for a bit of a rebound."

This could be helped by the opening of two new casinos in Macau by the gaming mogul Stanley Ho, which will increase the number of tables available by ten per cent.

Earlier this year, Melco Crown Entertainment opened a new casino in Macau, which pulled in over $1.94 billion in rolling chip volume during the first month, reports Casino Gambling Web.