Has the worm finally turned in Macau?

Not likely, according to most commentators. But at least, for the first time in more than 2 years, Macau’s casinos have posted a month on month gain in gross gaming revenues compared with the previous year.

It’s a very modest gain; 1.1% to 18,836 million MOP (USD 2.3 billion). But a gain nonetheless.

August 2016 also saw a 3rd consecutive monthly increase in revenue, suggesting June/July 2016 may have been the bottom.

Source: Gaming Inspection and Coordination Bureau. Unit MOP millions.

Macau’s often analysed, long and at times very steep decline in gaming revenues began in mid-2014, coinciding with a Chinese corruption crackdown. Monthly gross gaming revenues peaked at just over 38 billion Macau Patacas (USD 4.6 billion) in February 2014, more than double current numbers. This is despite new integrated casino resorts being opened there during this time.

Hopes of a strong recovery to the halcyon day numbers have been watered down by most analysts, who seem to think Macau is stabilizing at it’s new normal.

As Reuters noted, “a swift rebound is unlikely, say analysts, who caution the new properties… will be impacted by slow market growth and infrastructure bottle necks.”

The worm probably hasn’t turned. But at least it has stopped rolling down the hill.