BLOW OUT MAY IN MACAU

Table gaming revenues tracked through May 16th were a whopping HK$8.6bn. Wynn, MPEL, and SJM gained share at the expense of LVS and MGM.

 

 

We just received some preliminary Macau numbers for the first half of May.  Fueled in part by Wynn Encore, table revenues through May 16th were HK$8.6 billion.  The Golden Week celebration took place in early May and needs to be taken into account in predicting the full month revenues.  Adding expected slot revenue of approximately $700 million for May, we think May could end up generating approximately HK$16 billion in revenues, up 85% year over year.  Here are the market shares MTD:

 

SJM            35.3%
LVS            15.1%
Wynn          18.1%
MPEL          13.2%
Galaxy         11.9%
MGM             6.4%

 

We already wrote about Wynn’s impressive May so far in our note last week.  Other notable market share shifts concern LVS, MPEL, and MGM.  LVS has been losing share but it took a huge dip thus far in May and if it holds, will be the lowest on record for the company since Venetian opened.  We don’t know how the company held but we’re guessing it was pretty low.  For the last few months, LVS’s share has been in the 19-21% range.  On the other hand, MPEL’s share improved 60bps sequentially, despite the Encore opening.  MPEL could be the big winner this month relative to estimates.  Finally, MGM’s share fell again sequentially to a level not seen since February of 2009.  Not the kind of numbers to be posting into an IPO.

 

BLOW OUT MAY IN MACAU - macau1


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