Macau Casino Revenue Rises 1.7% in April, Still Lags Pre-Pandemic Levels

Last week, the casino sector in Macau posted its April figures, revealing a modest 1.7% year-on-year (YoY) gain in its gross gaming revenue (GGR), totaling US$2.36 billion for the month.

Following a slow start to the month, April’s figures unexpectedly surpassed analysts’ expectations. However, it marked a notable 4.1% drop from March’s tally and remained 20% below 2019 pre-pandemic levels.

Easter Surge Helps Macau April Casino Revenue Recover

Industry insiders believe that April’s late recovery resulted from a surge of Easter holiday tourists. Figures suggest the seasonal holiday added approximately 520,000 visitors to Macau – a 28% increase from last year.

Predictably, the overwhelmingly dominant high-end VIP segment has shrunk dramatically due to regulatory pressure and regional policy crackdowns. Whereas it once accounted for nearly half of Macau’s GGR in 2019, it now generates just 25.1% of casino revenues.

Consequently, the Asian casino hotspot has become more dependent on mass-market visitors, who now contribute nearly 75% of total GGR, although this still suggests a 10.9% lag compared to 2019’s figures.

Macau’s inconsistent casino revenues are not the only industry problem, as local casino operators continue to adjust to the region’s post-relicensing obligations. The most significant being the mandated US$16 billion in non-gaming investment by 2032, which critics argue has yet to show a meaningful return to the region’s economy.

Dual Regulatory and Economic Pressures Intensify

One example of its diversification effort is the Hengqin In-Depth Cooperation Zone project. Designed to pilot Macau toward becoming a broader tourism and technology hub, its progress has been sluggish, reflected in the 5% YoY decline in operators’ Q1 profits.

This continued instability has also dented investor confidence. The Bloomberg Macau Casinos Index dropped 6.5% in April, underperforming the Hang Seng Index’s 4.3% slide, fueling doubts about the region’s recovery in the longer term.

Added to this is the threat of a weakening Chinese yuan, in tandem with a reduction in domestic spending and the ongoing U.S.-China tariff war, which all threaten to reduce consumer spending in the region further.

An example of this was JPMorgan recently revising its 2025 GGR forecast from a determined 3% growth to an expected market contraction. This is despite Macau’s year-to-date GGR being up 0.8% at US$9.57 billion, which remains short of the US$2.5 billion monthly average required to hit the government’s full-year target.

May’s Golden Week Respite

In light of April’s GGR figures, Golden Week began on 1 May and will be a critical barometer for Macau’s upcoming second-quarter performance. Traditionally welcoming between 127,000 and 140,000 daily visitors, casino operators see it as a much-needed revenue injection. Regional competition could also intensify, with Thailand considering a casino bill and the construction of a $8.9 billion entertainment complex in Japan underway. 

Nevertheless, analysts warn that fluctuating casino revenues may continue to impact Macau’s government spending power in the future unduly. The belief is that if Macau’s average monthly casino GGR drops below US$1.88 billion, the pressure will substantially strain state finances.

Despite April’s marginal year-on-year growth in GGR, the region’s reliance on casino tourism means the outlook remains unclear. While the sector’s momentum remains fragile, external factors such as the resilience of China’s economy could make or break the sector’s recovery.

The post Macau Casino Revenue Rises 1.7% in April, Still Lags Pre-Pandemic Levels appeared first on CasinoBeats.

 Last week, the casino sector in Macau posted its April figures, revealing a modest 1.7% year-on-year (YoY) gain in its gross gaming revenue (GGR), totaling US$2.36 billion for the month. Following a slow start to the month, April’s figures unexpectedly surpassed analysts’ expectations. However, it marked a notable 4.1% drop from March’s tally and remained
The post Macau Casino Revenue Rises 1.7% in April, Still Lags Pre-Pandemic Levels appeared first on CasinoBeats.