[ET Net News Agency, 2 June 2020] BofA Global Research said Macau's gross gaming
revenue (GGR) in May was down 93.2% (or +134% MoM) to MOP1,764mn, which was slightly worse
than the research house's initial forecast of down 90%.
BofA forecast that June GGR will still be down 80% year-on-year, assuming the border to
be reopened and Individual Visit Scheme (IVS) visa to be resumed both in June.
In Hong Kong, airport transit service will gradually resume starting 1 June. By 31 May,
Macau has had no new imported or domestic COVID-19 cases for 52 consecutive days, with all
45 confirmed novel coronavirus cases already recovered and patients discharged.
It said that the sector is now trading at an attractive 11.2x 2021 EV/EBITDA (28.6x 2020
EV/EBITDA), which is 15% below its long term average. BofA remains constructive on long
term mass growth driven by infrastructure improvement, new capacity, and potential visa
relaxation. (KL)