Macau’s gambling operators saw their margins tighten in the fourth quarter of 2024. The industry-wide margin was 27.2%, down from 27.9% in the September quarter, from 29.0% a year earlier and from 29.8% in Q4 2019.
This led to a 2% year-on-year decline in real estate EBITDA to $1.9 billion, while operating expenses related to non-gaming taxes rose 8% compared with just 4% year-on-year growth in betting revenue, according to an analysis by Carlo Santarelli of Deutsche Bank.
Providing an overview of the Macau market after the last of the city’s six concessionaires reported their fourth-quarter financial results on Tuesday, Santarelli noted that overall industry GGR grew 6% year-on-year in Q4 2024, with VIP GGR up 11% and mass GGR up 6%.
Qualitative metrics summarize Q4 2024 at a high-level aggregate based on company-reported numbers, he explained.
In the mass market, SJM, Galaxy and Melco increased share compared to Q4 2023. Sands, Wynn and MGM all declined. Meanwhile, SJM and Galaxy were the only ones to grow in VIP.
Total chip rolling volume increased 1% year-on-year, although total VIP segment revenue increased 11% at 3.00%, up about 27 basis points from the previous year.
Macau DICJ previously reported industry gross domestic revenue of MOP57.6 billion in Q4 2024, up from MOP54.3 billion in Q4 2023.
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