In terms of its percentage of Macau gross gaming revenue (GGGR), Sands China, the Macau division of Las Vegas Sands (NYSE: LVS), saw the largest increase in 2017.
Deutsche Bank stated in a recent client report that the special administrative region's (SAR) total gross generated revenue (GGR) in 2023 was $22.66 billion, more than quadrupling the $5.19 billion recorded the previous year. One of the most successful integrated resorts in the world, Venetian Macau, is one of the five casino hotels that Sands operates in China.
According to Deutsche Bank, Sands China's portion of Macau GGR increased to 26.6% last year from 23.4% in 2022. That comes to $6.03 billion, a significant amount more than the operator's 2022 total of $1.21 billion. Sands was the winner as well, with a property market share of 34.2%, which was 10% greater than the previous year. At 20.8%, Galaxy Entertainment came in second, according to Deutsche Bank.
Because of its broad menus of non-gaming services at its venues and its ability to draw in more business from mass and premium mass clientele, Sands China increased its market share in Macau.
Wynn Gaining, MGM, Too
The Macau divisions of MGM Resorts International (NYSE: MGM) and Wynn Resorts (NASDAQ: WYNN), MGM China and Wynn Macau, respectively, increased their market shares in the SAR last year.
According to Deutsche Bank, MGM China, which has a 56% stake in the US-based parent company, held 15.3% of Macau's GGR last year, up from 13.7% in 2022. In the SAR, that corporation manages two casino hotels. The owner of Wynn Palace and the venue bearing its name, Wynn Macau, took home 13.4% of the Macau GGR in 2023, up from 11.8% the previous year.
Winnings before interest, taxes, depreciation, and amortization (EBITDA) share at the property level put Wynn third, behind Sands China and Galaxy, at 14.8%, and MGM in fourth place at 13.4%.
The largest operating market for Wynn is Macau. Recent data shows that Wynn Macau and Wynn Palace, with the assistance of a solid pivot to premium mass clients, have recently taken incremental market share from several larger rivals in the Chinese territory.
A Good Year for EBITDA in Macau
EBITDA in the gaming enclave significantly improved last year, after a depressing three years during which the sustainability of some Macau concessionaires was called into question. The six operators combined reported $6.46 billion in EBITDA in 2023 after suffering a $1.31 billion deficit the year before.
Melco Resorts & Entertainment (NASDAQ: MLCO) and SJM Holdings (NYSE: SJM) were the worst offenders in terms of market share losers, losing 1.7% and 4% of their respective shares.
In addition to aggressively deleveraging, City of Dreams operator Melco is moving to reclaim lost market share in Macau. In an attempt to recover lost market share in the SAR, the operator has announced new sales initiatives and managerial reforms.
