• Badge

    Hedgeye’s 10 Year Anniversary Super Sale

    Huge Savings on All Hedgeye Products

    Subscribe now & save more than 25%!

Here is our more detailed review of March Macau gaming revenues

As we wrote about this morning, Macau had an outstanding month although not quite as good as the +25% headline.  If hold is normalized across both YoY periods, growth would have been 16%. Here is the detail.

Y-O-Y TABLE OBSERVATIONS

Total table revenues grew 26%, the highest growth since Jan 2012.  Mass revenue growth remain strong at 30%, in-line with its 6-month trailing average.  VIP revenues grew 25% while Junket RC volume grew 10% in March, its best monthly performance since April 2012.

LVS

Table revenues grew 61% YoY.  Sands China led the market in terms of mass revenue, VIP revenue, and VIP RC growth.  We estimate that Sands China held at 3.15% vs 2.85% last year, adjusted for direct play of 16%.

  • Sands grew 4% YoY, snapping 4 month losing streak  
    • Mass grew 9%
    • VIP was flat, reversing 4 months of declines.  We estimate that Sands held at 3.6% compared to 3.0% in the same period last year.  We assume 10% direct play in March vs 11% in March 2012
    • Junket RC fell 17%
  • Venetian grew 23% YoY 
    • Mass increased 21%
    • VIP grew 25%
    • Junket VIP RC fell 5%, its 13th decline in the past 14 months
    • Assuming 28% direct play, hold was 3.45% compared to 2.61% in March 2012, assuming 27% direct play 
  • Four Seasons dropped 19% YoY, marking the 3rd consecutive month of declines
    • Mass revenues soared 100%, a month after falling 19%
    • VIP tumbled 32% but Junket VIP RC grew 3% as hold in March (assuming 14% direct play) was 2.16% vs 3.03% in March 2012 when direct play was 16%
  • Sands Cotai Central produced $260MM in revs March, a new record
    • Mass and VIP hit new monthly records, $77MM and $184MM, respectively 
    • Junket RC volume of $4.8BN, up 17% MoM and a new high
    • If we assume that direct play was 11%, hold would have been 3.42% 

WYNN

Wynn table revenues grew 16% in March

  • Mass was up 20%, the best growth since Jan 2012 
  • VIP grew 14% while junket RC fell 22%.  
    • Aside from a 1% gain in November, 10 of the last 11 consecutive months have been in the red
  • Assuming 11% of total VIP play was direct, we estimate that hold was 3.37% compared to 2.34% last year (assuming 10% direct play).

MPEL

MPEL table revenue grew 21%.  Hold was low at 2.73% vs 3.09% last year.

  • Altira revenues grew 1%, with a 6% decrease in Mass and a 2% increase in VIP revenue
    • VIP RC grew 16%
    •  We estimate that hold was 2.90%, compared to 3.37% in the prior year
  • CoD table revenues grew 30% YoY
    • Mass popped 43%, continuing its impressive streak of strong double-digit gains since inception
    • RC grew 36%, the biggest growth since Nov 2011
    • Assuming a 18% direct play level, hold was 2.64% in March compared to 2.93% last year (assuming 16% direct play)

SJM

Table revenue grew 28%, SJM's strongest performance since Sept 2011

  • Mass revenue eked out a 1% gain, the lowest of the 6 concessionaires for the 2nd consecutive month
  • VIP grew 41% and junket RC gained 6%
  • Hold was 3.54%, compared with 2.66% last March

GALAXY

Galaxy table revenues grew 13%.  Mass rose 39%, its slowest growth since Jan 2011, while VIP gained 7%. Across its two owned properties, Galaxy held at 3.37% vs. 3.00% in March 2012.

  • StarWorld table revenues gained 2%
    • Mass rocketed 69% higher
    • VIP fell 4%.  VIP revenues fell in 8 of the last 9 months
    • Junket RC fell 7%, marking the 10th month of consecutive declines
    • Hold was normal at 3.11% vs 2.97% last March
  • Galaxy Macau's table revenues grew 24%
    • Mass grew 31%
    • VIP grew 21%, while RC gained 1%. RC volume growth has been hovering around zero for the last 8 months
    • Hold was high in March at 3.61% vs. 3.02% last year

MGM

MGM table revenue grew 14% in March

  • Mass revenue grew 34%
  • VIP revenue grew 8%, on 38% RC growth
  • If direct play was 9%, then March hold was 2.31% compared to 3.00% last year

SEQUENTIAL MARKET SHARE

LVS

LVS’s MoM share fell 0.5% to 20.9% in March, in-line with its 6-month average and better than the 2012 average share of 19.0%.

  • Sands' share gained 70bps to 3.6%.  For comparison purposes, 2012 share was 3.9% and 6M trailing average share was 3.6%.
    • Mass share ticked up 40bps to 5.5%
    • VIP rev share rose 90bps to 2.9%
    • RC share was 2.3%, down 50 bps and a hit an all time low for the property
  • Venetian’s share fell 180bps to 7.4%.  2012 share was 7.9% and 6 month trailing share was 8.2%.
    • Mass share declined 140bps to 13.8%
    • VIP share fell 170bps to 5.0%
    • Junket RC share dropped 50bps to 3.5%, only 30bps above the properties' all time low
  • FS gained 50bps to 2.6%.  This compares to 2012 share of 3.7% and 6M trailing average share of 3.0%.
    • VIP gained 50bps to 2.8%
    • Mass share rose 70bps to 2.2%
    • Junket RC lost 40bps to 3.8%
  • Sands Cotai Central's table market share gained 10bps to 6.9%, a new high, and compares to the 6M trailing average share of 5.8%.
    • Mass share declined 0.5% to 7.4%.
    • VIP share gained 0.3% to 6.7%
    • Junket RC share gained 0.1% to 5.9%

WYNN


Wynn lost 60bps to 11.2% share in March.  Wynn’s 2012 share averaged 11.9% and their 6-month trailing share averaged 11.1%.  

  • Mass share was unchanged at 8.4%
  • VIP share of 12.1%, 1.1% lower
  • Junket RC share decreased 150bps to 10.8%, only 20bps above the Wynn's all time low

MPEL

MPEL’s gained 80bps of share to 13.6%, in-line with their 6 month trailing share of 13.7% and their 2012 share of 13.5%.  

  • Altira’s share rose 40bps to 3.7%, below its 6M trailing share of 3.9% and below its 12-month share of 3.9%
    • Mass share slipped 0.3% to 1.1%
    • VIP gained 60bps to 4.7%
    • VIP RC share rose 50bps to 5.3%
  • CoD’s share gained 40bps to 9.7%.  March’s share was a little above the property’s 2012 and 6M trailing share of 9.4% and 9.6%, respectively.
    • Mass market share was unchanged at 12.1%
    • VIP share rose 0.6% to 8.7%
    • Junket share declined 30bps to 9.3%

SJM

SJM was the biggest share gainer, rising 1.5% to 26.9% due to hold.  March's share compares to their 2012 average of 26.7% and its 6M trailing average of 26.5%.

  • Mass market share fell 2.1% to 25%, an all-time company low
  • VIP share rose 280bps to 28.6%
  • Junket RC share lost 0.4% to 27.3%

GALAXY


Galaxy's share of 18.4% was unchanged MoM, below its 2012 average share of 19.0% but above its 6-month average of 18.2%

  • Galaxy Macau share declined 0.5% to 10.3%
    • Mass share gained 20bps to 9.7%
    • VIP share decreased 0.8% to 10.5%
    • RC share gained 10bps to 9.9%
  • Starworld share gained 40bps to 7.2%
    • Mass share gained 80bps to 3.8%
    • VIP share rose 30bps to 8.6%
    • RC share rocketed 120bps higher to 9.3%

MGM

MGM was the biggest share loser, giving up 120bps of share due all to hold. Its March share of 8.9% is below their 6M average of 9.6% and above their 2012 share of 9.9%

  • Mass share exploded 210bps higher to 8.2%
  • VIP share fell 220bps to 9.0%
  • Junket RC rose 170bps to 11.9%

Slot Revenue

Slot revenue grew only 7% YoY to $147MM in March.

  • Galaxy had the best growth at 31% to $20MM
  • LVS grew of 30% to $44MM
  • MPEL grew 6% YoY to $27MM
  • WYNN fell 2% to $21MM
  • MGM dropped 11% to $21MM
  • SJM had the worst YoY slot performance, losing 20% to $15MM

MACAU: MARCH DETAIL - table2

MACAU: MARCH DETAIL - mass1

MACAU: MARCH DETAIL - rc3