Galaxy Entertainment Group (GEG) Chairman Francis Lui revealed that its Broadway property in Macau may require a comprehensive renovation in the long-term to increase the number of hotel rooms and help the company cope with the growth in tourist numbers.
In an interview with Hong Kong media, Lui noted that Macau has expanded its non-gaming investment in recent years with GEG having strengthened its non-gaming investment while reducing commission costs for VIP gaming.
“The proportion of VIP gaming revenue has dropped to 10%, but the commission costs for junkets have been reduced as a result and we have successfully launched high-end mass gaming,” he explained.
Lui also said that the group’s overall profit margin is now higher than before, allowing it to increase its investment into non-gaming.
However, the challenge of limited hotel room supply remains significant, prompting GEG to explore how it can better utilize its existing infrastructure such as Broadway – located in Cotai right alongside Galaxy Macau.
“The supply of low-priced hotel rooms (below MOP$1,000) in Macau is insufficient to meet the demand of business and budget travelers,” he stated.
“Broadway only has a little over 300 rooms and may need to be renovated in the long run, although our priority is to complete the construction of Galaxy Macau Phase 4.”
In response to a question about Macau’s gaming revenues in 2025, with the government having this week lowered its FY2025 GGR forecast, Lui said he expects June to continue the momentum of May – further enforcing the importance of gaming to the Macau economy.
“GEG’s development strategy is also centered on this [gaming industry] to drive the development of industries such as conventions and exhibitions, hotels and concerts,” he said.
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