Macau’s high stakes gambling or VIP gambling revenue declined by 7.4% in the second quarter of 2024 compared to the first quarter, according to data from the Gaming Inspection and Coordination Bureau (DICJ).

Casinos generated MOP13.31 billion ($1.66 billion) from VIP baccarat gambling between April and June, down from MOP14.37 billion ($1.8 billion) collected between January and March, Macau Business reported.

The recent figure remains significantly below pre-pandemic levels. In the second quarter of 2019, VIP gambling revenue reached MOP34.61 billion ($4.3 billion). However, on an annual basis, the April to June 2024 revenue marks a 9% increase compared to the same period in 2023, when VIP gambling brought in MOP12.2 billion ($1.5 billion).

For the first half of 2024, high-stakes gambling revenue totaled MOP27.69 billion ($3.4 billion), according to the DICJ. As the only place in China where casino gambling is legal, Macau’s gambling industry is crucial to its economy.

During nearly three years of stringent COVID-19 restrictions, which ended in December 2022, Macau’s six gaming operators—MGM, Galaxy, Venetian, Melco, Wynn, and SJM—suffered significant losses. The government had to tap into its extraordinary reserve to manage the crisis, given the substantial portion of its revenue derived from gambling taxes.

According to a recent report, Macau is projected to generate MOP18.5 billion (US$2.3 billion) in gross gaming revenue this month, slightly below the initial forecast of MOP19 billion.

JP Morgan Securities Asia Pacific attributed this revision to a “slower start to the month”. In the first 14 days, the gaming sector recorded approximately MOP8.3 billion ($1 billion), averaging MOP593 million ($74 million) per day, JP Morgan analysts DS Kim, Mufan Shi, and Selina Li said in a recent note. A gradual improvement in casino revenues is anticipated now that the UEFA European Championship has concluded.