Casino gambling revenue in the world’s top gambling market – Chinese-controlled territory of Macau – has shrunk amidst intensifying pro-democracy protests in neighboring Hong Kong.
In August the gambling revenue at Macau casinos slipped for a consecutive second month as the number of high-rollers also dropped significantly.
According to the latest figures released by the Gaming Inspection and Coordination Bureau, the gross gaming revenue (GGR) for the Macau Casino Gmabling Industry was 24.3 billion Patacas ($4.17 billion). The figures represent an 8.6 percent year-on-year decline.
The drop comes unexpectedly as the analysts had predicted an average of 4 percent decline in GGR for the month of August.
While the casino Industry in Macau did manage to post positive growth figures for the Month of May and June, the gambling revenue fell more than what was predicted in July. In July the revenue from Macau casinos fell 3.5 percent year-on-year.
Lowering their projections for Macau gambling revenue in August, analysts at Sanford Bernstein said: “The first four days of August (comprising a full weekend) started off poorly, with low VIP volumes (hold was around normal) and softer-than-anticipated mass. Delivering positive growth in August would need to rely on outsized VIP volumes and higher hold – something not in our forecast.”
Macau Casinos have been struggling with slumping revenue for over a year now. The ongoing protests in neighboring Hong Kong are adding to the dampening of the casino revenues.