Deutsche Bank's Quick Take On Macau: No Rebound Expected In December

Carlo Santarelli of Deutsche Bank commented in a note on Tuesday that Macau's 19.6 percent gross gaming revenue decline seen in November was expected and December's gross gaming revenue is also expected to be lower than it was a year ago. Santarelli is projecting gross gaming revenue in Macau to fall 22.2 percent from a year ago throughout December. VIP revenue is expected to be 31.3 percent lower while the mass market segment is expected to decline 6.0 percent. The analyst is projecting total gross gaming revenue to fall 21.8 percent in the fourth quarter compared to the same quarter a year ago. For the full year 2014, gross gaming revenue is projected to be 1.8 percent lower than it was in 2013. At the end of November, Santarelli notes that SJM Holdings SJMHF was the overall market leader in Macau (inclusive of slots) commanding 22.6 percent of the market. Las Vegas Sands LVS ranked second with a 22.5 percent market share, followed by Galaxy Entertainment Group GXYEF with a 21.5 percent market share. Melco Crown Entertainment MPEL ranked fourth with a 13.50 percent market share while MGM Resorts MGM ranked fifth with an 11.0 percent market share. Wynn Resorts WYNN ranked last with an 8.8 percent market share.