(Reuters) – Casino revenue in Macau, the world’s largest single gambling destination, surged 42% in 2011 to a record 267.87 billion patacas (US$33.48 billion), propelled by a flood of gamblers from mainland China.
December gaming revenue rose 25% to 23.61 billion patacas, government figures showed on Tuesday.
The result, which marked a slight slowdown in growth from 2010 when full-year revenue soared 58%, continue to defy concerns over the global economy and a domestic credit squeeze.
Some of the major players in Macau include U.S.-owned Sands China Ltd (1928.HK), Wynn Macau Ltd (1128.HK), MGM China Holdings Ltd (2282.HK) and Melco Crown Entertainment Ltd (6883.HK).
The former Portuguese colony, an hour from Hong Kong by ferry, is the only place in China in which casino gambling is allowed, helping it rake in revenue five times larger than U.S. rival Las Vegas.
While Macau’s gaming revenue easily trumps that of Las Vegas, the non-gaming component accounts for less than 5% of total casino revenue. In Las Vegas, earnings from shows, conventions and dining account for more than half of total casino revenue.
Macau government officials have increased calls for the development of Macau’s tourism industry by stimulating growth in non-gaming areas of casino operations such as conferences and exhibitions, hotels, retail, and food and beverage segments.
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