JUNE PLAGUED BY LOW RC HOLD

Market Commentary

With City of Dreams opening on June 1st, June should've been a better month in the aggregate.  It wasn't a total disaster though as Mass revenue increased and Rolling Chip (RC) volume declined only modestly.  Low RC hold % made the market performance look much worse.

LVS was the only winner this month, due to "lucky" hold at both properties.  WYNN had a bad June, partly attributed to worse hold than May, although still in the "normal" range.  Galaxy & SJM are holding their own.  We all know about the abysmal hold at Crown so no point in belabouring that issue.  Here are the aggregate numbers.

Total table revenues down 17% to $978MM

  • Mass revenue up 3% y-o-y
  • RC revenue down 24%
  • RC volume down only 4%
  • Slot revenue flat

Y-o-Y property observations

LVS's table revenue down 6%

  • Sands table revenue down 27%, with RC down 34% and Mass down 14%
  • Venetian table revenue up 7%

WYNN table revenue down 36%

  • Mass down 16%
  • RC down 41%

SJM table revenue up 3%

Galaxy table revenue down 17%

  • However, Starworld's table revenue was actually up 1%

MGM table revenue down 19%

  • Entire decline coming from VIP as Mass was flat y-o-y

Altira (Crown) table revenue down 57%

Market Shares

LVS market share 25% up from 20% in May

  • Sands market share at 8.5% vs 7.1% in May, mostly due to better hold (65 bps better in June than May)
  • Venetian up to 17% from 13% in May, mostly due to better hold (May was a weak month at 2.4% but June was high at 3.6%)

Wynn down to 13.7% from 17.25% in May

  • Partly due to worse hold at 2.75% vs 3.3% last month
  • Cotai gaining share at the Peninsula's expense?

MPEL share down to 9.1% from 10.4% in May

  • Everyone knows hold was bad, 1.6% blended vs 2.92% in May

SJM share down 1% to 30.75%

Galaxy share flat sequentially at 12.8%

  • Starworld share up to 9% from 7% in May

MGM share up to 8.3% from 7.4% in May