Bernstein's Umansky on Macau's Gaming Outlook

The video discusses the decline of the junket industry in Macau due to structural changes and the pandemic. It highlights the shift from VIP to mass market gaming, affecting revenue and profitability. Despite challenges, the long-term growth potential remains, with a focus on mass and premium mass markets. Investment opportunities are explored, emphasizing a long-term perspective and the potential for market recovery. Sands China is highlighted as a favorable investment due to its mass market orientation.

What percentage of Macau's gaming revenues did junkets contribute in 2019?

• 70%

• 50%

• 35-40%

• 15%

What is the expected future contribution of VIP revenues in Macau's gaming industry?

• 5% or less

• 50%

• 80%

• 25%

What has been a significant issue for junket operators in recent years?

• Focus on mass market

• Involvement in online gambling

• Expansion into legal markets

• High profitability

What is the current investment outlook for Macau's gaming industry according to the transcript?

• Promising for long-term investors

• Overvalued

• Uninvestable

• Stable

What is a key factor for Sands China's attractiveness as an investment?

• Limited hotel capacity

• Focus on VIP clients

• Mass market orientation

• High junket revenue

What percentage of Sands China's EBITDA in 2019 was estimated to come from junkets?

• 5-7%

• 10-15%

• 20-25%

• 30-35%

Which operator is suggested to be avoided according to the transcript?

• Sands China

• Galaxy Entertainment

• MGM China

• SJM