Macau casino revenue last month dipped for a second consecutive month as the world’s biggest gaming hub faced headwinds from protests in Hong Kong and regulatory uncertainty over high-roller junkets.
Gross gaming revenue for Macau casino operators was 24.3 billion patacas (US$3 billion), down 8.6 percent from a year earlier, data from the Macau Gaming Inspection & Coordination Bureau showed.
That missed the median analyst estimate of a 4 percent fall, following a drop in July.
Casino stocks fell yesterday, with casino giant Wynn Macau sinking 2.42 percent, Sands China falling 2.11 percent and Galaxy Entertainment dropping 1.02 percent.
The latest numbers further illustrate the turbulence in the Macau gaming sector this year due to a myriad negative factors.
Of the first eight months of this year, gaming revenue expanded for four months and contracted for four months, failing to sustain momentum either way.
Macau casinos are not immune to the US-China trade dispute and a Chinese economy that has slowed to the weakest pace in three decades.
Well-heeled gamblers have been affected by the sluggish economy and more are staying away from baccarat tables, cutting short over two years of sustained gaming revenue growth at the beginning of the year.
High-rollers are also cautious after a series of moves to clamp down on telephone and online gaming in the past month by the Chinese government.
JPMorgan Chase & Co analysts estimate the VIP segment was down 26 to 28 percent last month, and said the mass sector’s estimated 7 percent gain was a “big disappointment.”
The ongoing protests in Hong Kong have disrupted transportation and visa applications for Chinese visitors to Hong Kong and Macau.
Weekend jaunts to Macau has also likely dropped due to people staying home as protests rage on the streets in Hong Kong.
JPMorgan cut its this year’s target for Macau gross gaming revenue growth to minus-3 percent from minus-1 percent, reflecting third-quarter trends and demand uncertainty.
Additional reporting by AFP
Gogoro Inc (睿能創意) yesterday launched its first electric bicycle, the Gogoro Eeyo 1, in Taiwan, after unveiling the bike in New York in late May and in France on Tuesday. The company said it would also introduce the series in other European countries such as Germany and the Netherlands. The “Eeyo project” is the fourth of Gogoro’s eight projects that concentrate on smart transportation, which includes Gogoro’s electric scooter, battery swap system and electric scooter sharing service, company founder and chief executive officer Horace Luke (陸學森) told a media briefing in Taipei. “There are various types of city commuters. We will not
EXPERIMENTAL DRUG: While news about a COVID-19 vaccine is more eye-catching, developing a treatment would be more viable, the Senhwa boss said Senhwa Biosciences Inc (生華科) aims to raise NT$1.5 billion (US$50.57 million) by issuing 15 million new common shares in the third quarter of this year to fund the research of new drugs, including the experimental drug Silmitasertib for the treatment of COVID-19, the company said on Monday. That would be the firm’s largest fundraising effort after it raised more than NT$1.4 billion from an initial public offering on the Taipei Exchange (TPEX) in April 2017, chief financial officer Sarah Chang (張小萍) told the Taipei Times by telephone. The price of the new shares would depend on the firm’s average share price
NOT A PANACEA: Offering 5G services would not solve the problem of declining telecom incomes, chairman Sheih Chi-mau said, expecting a flat 5G telecom revenue Chunghwa Telecom Co (中華電信) yesterday became the nation’s first telecom to debut its 5G services, offering tiered tariffs that include a threshold of NT$599 and flat rates, as it aims to switch half of its subscribers to the 5G network within three years. Subscribers would have unlimited data transmission for monthly fees starting at NT$1,399 — the same flat rate as when the company launched its 4G service in 2014 — and they can subscribe to the highest-rate plan for NT$2,699 per month for faster data transmission speeds and larger bandwidth, the company said. Data transmission speeds would be within the range
ROW: A probe would determine if the rights of shareholders who were not allowed to vote yesterday had been violated, while the stock exchange also wants answers The election of board directors yesterday at Tatung Co (大同) sparked controversy after the company blocked some institutional and individual shareholders from participating in the general shareholders’ meeting, prompting the Financial Supervisory Commission (FSC) to announce that the vote would be investigated. Lin Kuo Wen-yen (林郭文艷) was re-elected as chairwoman of the household-appliance maker’s nine-member board, but prior to the vote she announced that several shareholders would not have voting rights. They were being denied a vote because they had contravened the Business Mergers and Acquisitions Act (企業併購法), and the Act Governing Relations Between the People of the Taiwan Area and