Macao officials have reported a rise in casino tax revenues despite a slowdown in gross gaming revenues and a slump in share prices.
Per the latest financial data released by the Macau Treasury Bureau, cumulative revenue for the first half of this year reached 59.542588 billion patacas ($7.4 billion).
The vast majority (86%) of this came from casino taxes, which rose 13.1% year-on-year to $6.3 billion.
Gaming tax accounts for 86.0% of total revenue.
This has left Macao with a fiscal balance surplus of $1.6 billion, a 14.7% increase on 2025.
But other numbers pointed to worrying trends. Casino revenues last month fell by over 12% year-on-year, the Japanese-language, Macao-based media outlet Macau Shimbun reported.
The bureau noted this was the first time in the six months since the beginning of the year that revenues had fallen below its monthly average target of $2.4 billion.
Casino shares have continued to slump on the Hong Kong Stock Exchange in the past few weeks, despite a sharp uptick in Macao visitor numbers.
Over the past month, the exchange’s benchmark Hang Seng Index has fallen by over 2%. But Macao casino shares have fallen further still. Sands China share prices have tumbled by 7.6% in the same period, with SJM Holdings’ prices down over 12%.
Rival operators have also seen losses. MGM China share prices have fallen by over 3% in the past four weeks, with Wynn Macau falling 4.1%.
The only outlier is Galaxy Entertainment, whose share price has risen by almost 2% in the past month.
Macao Casino Tax Revenues Mask Falling Gaming Incomes
Despite the rise of tax revenues and fast-growing tourist numbers, the region’s Gaming Inspection and Coordination Bureau said earlier this month that June gross gaming revenues dropped over 18% month-on-month from May.
Some financial analysts have talked of a post-World Cup recovery, but others think medium-term indicators are not pointing to one.
Several major integrated resorts with gambling concessions have begun to pivot to non-gaming revenue streams, focusing on developing restaurants, concert facilities, and children’s play areas.
However, police in the special administrative region have reported a wave of crime related to betting rings in Mainland China.
Officers are particularly alarmed by a rise in proxy baccarat betting services catering to remote gamblers in Mainland Chinese cities.
The rings have begun recruiting out-of-work people to cross the border into Macao equipped with secret cameras and modified clothing.
These innovations let them livestream baccarat games and place remote bets on behalf of their sponsors.
The sponsors offer their proxies a cut of their winnings, and let them keep any loyalty points they accrue while placing the remote bets.
Bettors place bets as sponsors direct them, receiving instructions via chat apps and Bluetooth earpieces.
Proxy Betting Rates Spiking
Police say the number of arrests in these cases has reached 10 in just two weeks.
Officers said they arrested five Chinese nationals for operating proxy betting rings in the space of 48 hours, taking two men and three women into custody at casinos between July 10 and 11.
In one case reported on July 11, a woman at a casino in the Cotai district was found near a baccarat machine in an “unnatural sitting posture.”
Security staff suspected she could be part of an online gambling ring, and alerted the police.
When detectives questioned her, she reportedly attempted to “destroy” a small camera connected to her smartphone.
Officers said subsequent investigations revealed she had conducted four proxy gambling sessions after arriving in Macao in late June.
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Macao officials have reported a rise in casino tax revenues despite a slowdown in gross gaming revenues and a slump in share prices. Per the latest financial data released by the Macau Treasury Bureau, cumulative revenue for the first half of this year reached 59.542588 billion patacas ($7.4 billion). The vast majority (86%) of this
The post Macao Casino Tax Revenues Rise By 13% Despite Share Price Slowdown appeared first on CasinoBeats.