Melco CEO, Lawrence Ho has expressed confidence in the prospects of Macau’s casino gambling industry. According to Ho, the end of the US-China trade war and “stabilization of the renminbi” will positively impact the city’s casino gambling industry.
In an interview with CNBC, Ho was responding to questions about the financial figures posted by Melco.
Melco, a regional casino giant, posted a 16% increase in operating revenues and 39% rise in Adjusted EBITDA in 3Q19.
Commenting on Macau’s struggling casino gambling industry, Ho said: “I think on the top line things have been slower and we’re going to have a down year [in 2019] for sure, but … it’s as expected because with the US-China trade war and the renminbi devaluation, it is certainly having an impact on visitation into Macau and more predominantly on how much people spend when here.
“Especially on the higher end of the business, the spend per visit is a little bit lower.”
“I think the key is really in macro-economics and geopolitics. Assuming the US-China trade war, that there will be a phase one resolution to it.
I think that will give a lot of confidence to the travelling consumer that there is an end to this thing, [an improved] economy and a stabilization of the renminbi. I think these are all positive impacts for Macau in the coming year.”