VIP market takes a beating in Q4 but Macau posts first sequential improvement

Macau’s VIP gambling market took a beating in Q4 2015, but the overall revenue number posted its only sequential improvement of the year.

According to figures released Tuesday by the Gaming Inspection and Coordination Bureau (DICJ), total casino gaming revenue in Q4 came to MOP 54.8b (US $6.8b), down 27% from Q4 2015. However, the figure was up 1% from Q3 2015, and any positive traction will be welcome after the pain Macau endured in 2015.

As expected, most of the Q4 pain was borne by the VIP sector, which fell 35.8% year-on-year to MOP 29.6b. Full-year VIP revenue was down 39.9% to MOP 127.8b. The VIP share of the overall pie slipped to 54%, well off the mid-70s peak of Macau’s heyday.

The mass market was unable to right Macau’s sinking ship, as it had its own problems. Counting slots activity, Q4 mass market revenue fell 14.5% to MOP 25.2b, although its share of the overall pie improved to 46% from 39.1%. For the year as a whole, mass revenue was down 26% to MOP 103b.