Total table revenue in July grew 3-4% y-o-y, driven by 7% growth in the VIP market and a 5% decline in Mass. City of Dreams ramped nicely after a soft start and drove the market VIP growth.
Crown, MGM, and Galaxy were the clear winners this month and the only operators whose properties experienced positive table revenue growth. Crown’s gains were a function of City of Dreams (CoD) ramping up and very high hold at CoD following disastrous hold in June. While both LVS and SJM where both down this month, at least SJM had weak hold to blame.
Supply:
- Mass tables were up 1% y-o-y. LVS continued to remove mass tables from all three of its properties this quarter. We estimate that total mass tables at LVS declined 28% y-o-y
- VIP tables up 17 y-o-y, primarily driven by the additions at Four Seasons, WYNN, CoD, MGM and somewhat offset by reductions at SJM
Y-o-Y Property Observations:
LVS table revenues down 10%
- Sands was down 1%; Mass was down 38% offset by a 54% increase in VIP win
- VIP RC decreased at Sands (~25%), however hold comparisons were very favorable
- Venetian saw decreases on 17%; Mass down 14% and VIP down 19.4%
- VIP would have been worse if not for better hold
- Four Seasons had negative hold on its VIP RC in July (~1%), volumes were up slightly from June levels
- Slot revenues increased 16%
Wynn table revenues were down 3%
- Mass was down 17%, offset by a 2% increase in VIP
- Driven by higher RC volume; note that WYNN has materially increased the # of VIP tables in 2009
Crown table revenue up 19%
- Altira was down 53.6%, RC volumes were down over 45%
- As speculated by the media, CoD had a big month, generating 129MM of revenues
- $107MM came from VIP win (so much for being a mass property)
- This huge July number is not likely to be repeated, as it appears that hold was indeed the primary driver. We estimate that high hold added approximately 37MM of revenues to the property
SJM table revenue was down 6%
- Mass was up 10% while VIP was down 19%
- VIP decline driven solely by weak hold, RC was up
Galaxy table revenue was up 17%
- Starworld continued to perform well with table revenue up 31%, driven by a 47% increase in VIP revenues despite weaker hold
MGM table revenue was up 36%
- Mass revenues were down 9%, but VIP revenue was up 52%, more than offsetting mass weakness
Market Share:
-LVS share dropped to 20.9% from 25.4% in June
- Sands share remained consistent at 8.6%
- Venetian & FS share dropped to 12.3% from 16.8% in June
- Most of the drop was driven by VIP down 5.5% to 9.9% from 15.25% in June
-WYNN share was up to 14.5% vs 13.7% last month
-Crown market share practically doubled to 17.8% due to the strong performance at CoD
-SJM share took a big 7% hit in July, ending at 23.8%, driven by a big drop off in VIP revenue
-Galaxy at 10.6% lost some share this month compared to 12.8% share last month
-MGM had a large gain of 400bps, as its share jumped to 12.4% - all driven by VIP revenue
