Macau casinos face sharp revenue slump as China crackdown curtails high‑roller spending

Analysts have cut their forecast for Macau’s gaming income growth this year to just 3%, down from an earlier 7% outlook. Revenue at the city’s six casino operators fell double‑digit in June and July, with the number of VIP and premium players dropping sharply. The downturn follows intensified Beijing measures to stem capital outflows – taxing offshore trusts, tightening cross‑border brokerage rules and restricting outbound investments to Hong Kong and Macau – which have dampened sentiment among high‑rollers sensitive to market volatility. The MSCI China Index is down about 7% year‑to‑date, weakening the wealth effect that normally fuels premium gambling spend. Profit margins are already shrinking as operators increase freebies and rebates to attract bettors. Major operators such as Las Vegas Sands Corp., MGM Resorts International and Wynn Resorts have reported lower margins, raising concerns that the slowdown could extend into the second half of the year.