Macau Casinos Underperform for January, Despite CNY
Last month, Macau casinos reaped gross gaming revenue (GGR) of MOP18.25 billion ($2.27 billion), up just 0.3 percent from December, and short of the industry consensus of MOP19.5 billion.
Analysts expected a lift from Chinese New Year travel. The weeklong national holiday, which typically begins in February, started on Jan. 29 this year.
CNY is primetime for travel among the Chinese, and Macau is a favorite destination. Maria Helena Senna de Fernandes, of the Macau Government Tourism Office (MGTO), expected up to 185,000 visitors per day for CNY, which continued through Feb. 4, but those figures also fell short.
Despite a slow start, JP Morgan analysts cited by Macau Business say GGR for February could reach MOP19 billion. And in a Feb. 2 note, Seaport analyst Vitaly Umansky called the Chinese New Year holiday “an important sentiment driver,” but not a reliable indicator.
“The actual holiday is often mixed in terms of results,” Umansky noted. In 2019, for example, New Year GGR represented only 2 percent of the total. It was only slightly higher last year, at 2.7 percent.
Secretary for Economy and Finance Tai Kin Yip is optimistic about the full-year outlook, due to the city’s “stable fundamentals.”
Singapore Money-Laundering Fugitive Arrested in Montenegro
Wang Shuiming, one of 10 people convicted in Singapore’s multibillion-dollar money laundering scandal, was arrested last month in Montenegro, in the Balkan Peninsula of southeastern Europe. He arrived by private plane at Tivat Airport. Local police picked him up after an alert from Interpol.
Wang and his associates funneled S$3 billion (US$2.19 billion) through banks and tech firms in Singapore, money gleaned from illegal gambling and scams. In a plea deal, he agreed to forfeit S$240 million in assets, and spent 14 months in prison.
On his release in June 2024, he was deported to Japan. But as a Chinese national—he also holds passports from Cambodia, Vanuatu and Turkey—he may still be subject to arrest by China, where the penalties for illegal gambling are much more severe.
In 2021, Beijing raised the maximum sentence for running an illegal casino from three years in prison to five years. It also added new penalties for offshore gambling operators, “especially organizers, ringleaders and repeat offenders.”
CNMI Seeks to Dissolve Casino Regulator
After a disastrous experience with its sole land-based casino, the Commonwealth of the Northern Mariana Islands (CNMI) is considering disbanding its casino commission.
On Jan. 4, Rep. Ralph N. Yumul told Marianas Variety the move would transfer the enforcement powers of the Commonwealth Casino Commission (CCC) to the local Lottery Commission. At that point, the CCC “will not be in existence.”
In addition, House members are considering a legal online gaming industry and “marketing it out to the world,” Yamul said.
The CNMI’s only casino opened and closed in under five years. In 2015, Imperial Pacific International (IPI) opened a temporary casino in a shopping mall on the island of Saipan. At first, it boasted Macau-level revenues. But a permanent resort was a failure almost from the start, due to financial mismanagement, shoddy workmanship, unpaid license and construction fees and interruptions from two typhoons.
The Imperial Pacific Palace, still unfinished, closed in 2020 due to the pandemic, and never reopened. Last year, IPI attempted to sell the property, which is deteriorating with exposure to the elements.
Philippine Regulator to Close Two Casinos
The Philippine gaming regulator has announced it will close two casinos in Cebu and Davao del Norte for subpar financial performance.
A news release from the Philippine Amusement and Gaming Corp. (PAGCOR) said both locations have lost money in recent years. The shutdowns are part of the agency’s revitalization plan, in which it is “upgrading most Casino Filipino properties nationwide in order to enhance their value ahead of privatization.”
The property in Talisay, Cebu incurred net losses of PHP39.32 million (US$677,000) in 2023 and PHP49.6 million in 2024.
PAGCOR Chairman and CEO Alejandro Tengco said no employees will lose their jobs. “While our decision was driven by mounting financial losses, safeguarding the welfare of affected employees through job reassignment and comprehensive support programs is our top priority.”
PAGCOR has been under pressure to sell its owned-and-operated casinos, most of which operate under the Casino Filipino brand. Critics say they pose a conflict of interest for the regulator. Prior to a sale, the agency is upgrading the casinos to maximize their value. Improvements include the installation of new gaming machines. Almost 2,000 new slot machines were delivered to the properties last year.
Singapore to Break Tourism Records for 2024
Singapore welcomed 16.5 million tourists in 2024, up 16.5 percent over 2023.
According to data from the Singapore Tourism Board (STB), arrivals were up 21 percent for the period. Tourism spend grew by 25 percent in the Sightseeing, Entertainment & Gaming (SEG) segment. SEG revenue comprised 21 percent of the total, at S$4.6 billion (US$3.41 billion).
The strong performance was “an affirmation of the industry’s efforts in refreshing our products and experiences, as well as embarking on new collaborations this past year,” said Melissa Ow, STB chief executive. “Collectively, these efforts elevated Singapore’s destination appeal and strengthened the sector’s capabilities and competitiveness.”
Mainland China was the top feeder market, followed by Indonesia and India. Growing markets included Japan, Taiwan, the UK and the United States.
Singapore’s two integrated resorts, Marina Bay Sands (MBS) and Resorts World Sentosa (RWS), did their part, expanding their entertainment lineup. Taylor Swift took her Eras tour to MBS, while the Harry Potter: Visions of Magic exhibition opened at RWS. The IRs are jointly investing more than S15 billion (US$11 billion) in new attractions as part of their concession agreements, which ensures them exclusive rights to gaming through 2030.
Hoiana Leadership Shuffle
Nam Hoi An Company, owner of the Hoiana Resort and Golf in Vietnam, has announced the appointment of a chairman and CEO after changes in the shareholder structure.
According to VnExpress, Steven Wolstenholme, chairman and CEO of Hoi An South Development Co., Ltd. (HASD) since 2018, has stepped down. He was succeeded by Benny Chong, founder of the Hong Kong-based VMS Investment Group, as chairman, and Alan Teo, former COO of Resorts World Sentosa in Singapore, as chief executive.
Hoi An opened in 2021 with 1,200 hotel rooms, a golf course, convention facilities, restaurants and other entertainment options.
A statement from the company said, “Our mission is to establish Hoiana into a world-class integrated resort for both business and leisure visitors, (turning) the south of Hoi An into a premier travel destination.”
In a LinkedIn post, Wolstenholme said he takes “immense pride in what we’ve accomplished, from … phase one through construction to full operation to launching the casino amidst a global pandemic and driving key performance indicators across all departments.”
