The Macau recovery is well underway for global gaming giant MGM Resorts, with CEO and President Bill Hornbuckle revealing the company’s Macau IRs are already its highest earning businesses just a month after local borders reopened.
Speaking with analysts during MGM Resorts’ 4Q22 earnings call on Thursday morning (Macau time), Hornbuckle also confirmed that mass gaming volumes were back to 100% of 2019 levels, with the company having achieved record market share in Macau during the month of January – aided in part by the addition of 198 new gaming tables under MGM’s 10-year concession starting 1 January 2023.
“We are experiencing a rebound in 2023 as our guests are returning in force, just as they did in Las Vegas when restrictions were lifted there,” Hornbuckle explained.
“In fact, quarter to date we are excited to report that MGM China’s combined properties are the highest earning businesses within our company.
“We see these early results as validation of our confidence in the Macau market’s recovery and the long-term viability upon which our retendering commitments were built.”
Asked to provide further color in the Macau recovery, Hornbuckle said, “The rebound come January 8 was pretty much instant. We peaked during Chinese New Year making a little over US$5 million per day, achieved 16% market share and our mass piece of volumes were 100% of 2019 levels. We’re only talking 30 days here but from where we came from, and having activated between 150 and 200 new tables, we are very excited by what’s happened in that first 30 days.”
According to MGM China President and COO Hubert Wang, the 16% market share achieved in January is the highest in the concessionaire’s history, with both daily mass GGR and direct VIP volumes having exceeded 2019 levels. This, Hubert said, put MGM China comfortably ahead of the market average since Macau’s 8 January reboot.
“It is also very promising to see January run rate has extended into the first week of February,” Wang said, “so we are very confident in the sustainable recovery of the Macau market and beyond.”
RelatedPosts
