Record $38 Billion Gaming Revenue in Macau
Figures released last week show that in 2012 gambling revenue in Macau jumped 13.5% to a record $38 billion despite the pace of growth slowing from 2011.
Despite the rate of growth slowing, gaming revenue from December was better than expected and suggests that a rebound may be around the corner.
In December revenue rose 19.6% year-on-year compared to growth of 3.2% in October and 7.9% in November.
Aaron Fischer, head of consumer and gaming research at CLSA, said that “The strong December (performance) represents a recovery in gaming revenue growth.” He went on to say that his firm predicts revenue will grow 9% in the coming year.
Fischer did concede that “with initial signs of macro-economic recovery in China, infrastructure improvements and a more stable political environment, our current gaming revenue estimate might appear to be on the conservative side.”
Macau overtook Las Vegas as the world’s gaming capital in terms of revenue in 2002. It stands in sharp contrast to Las Vegas which is suffering from the global economic crisis.
There are six firms licensed to operate casinos in Macau and they have turned the Cotai Strip, once a swap, into a world class gambling destination.