Coronavirus decrease the gaming revenue in Macau dramatically, with 11.3% in January.
Gaming revenue in Macau fell 11.3% in January – not as steep as some gaming analysts predicted – but the prolonged impact of the coronavirus outbreak in China will continue to depress the world’s largest gaming market.
Analysts from Fitch Ratings Service said this week lengthy travel bans implemented by the Chinese government in wake of the viral outbreak could cost U.S. based casino companies operating in Macau up to $2 billion in lost cash flow.
Macau’s Gaming Inspection and Coordination Bureau said Saturday the market’s casinos collected $2.76 billion from gamblers during the month, a depressed figure given the virus’ effect just as country was celebrating the Chinese New Year Holiday, often considered the busiest time in the gaming enclave. Last week, Las Vegas Sands executives said visitation to the company’s properties was down 80% during the holiday.
Transport links with mainland China have been curtailed with dozens of flights and ferry services cancelled.
Macau halted public Lunar New Year celebrations but extended the holiday break to the end of the week, keeping banks and businesses closed.
Thousands of Chinese citizens have been inflected with the virus, but as of last week, just seven confirmed cases were found in Macau.
Before the coronavirus spread, analysts were hopeful Macau’s gaming market would recover during January after casino revenues declined 3.4% in 2019, the special administrative region’s first annual revenue drop since 2016.
You can read more about coronavirus problems in Macau HERE.
