Macau’s slowdown in casino revenue “generally” doesn’t hurt Sands China’s shopping mall operations, says one chief executive.
“We’re still getting customers,” said David Sylvester, pictured, senior vice president of retail at Sands China’s parent Las Vegas Sands Corporation. “We’re still getting customers,” he told GGRAsia.
The Macau market as a whole has seen a year-on-year decline in gaming grosses since June, mostly driven by a drop in VIP revenue and a recent drop in the popular market. The 23% drop in October was the biggest monthly drop since the Macau government began releasing its current form of gaming sales data in 2005.
“Sales of certain elements in retail, like some watches, are a little smoother,” Sylvester admitted. “But fashion, which is mainstream, is still seeing good growth.”
Sands China is the highest-grossing non-gaming player in Macau. Thanks to both strong performances in non-gaming, the company was able to avoid a year-over-year decline in net sales for the three months ending Sept. 30. During the period, the biggest contributor to Sands China’s non-gaming sales was its mall operations, which rose 17.5% year-over-year to $147.7 million.
The company operates three large shopping malls in three Kotai casino resorts.
On Saturday, Sands China officially opened its refurbished mezzanine level at a luxury shopping mall in Plaza Macau, where Four Seasons Hotel Macau is located. As part of a revamp project worth HK$100 million (W12.9 million), seven new duplex stores were created, adding 39,000 square feet (3,623 square meters) to the mall’s entire retail space, which now covers 260,000 square feet and houses more than 140 brands in total. 카지노사이트 모음
Sylvester says reinvesting in the mall was an “easy” decision because it was “making a really good return.” Branded “Shopping in the Four Seasons,” the mall boasts the world’s highest grossing retail area, averaging more than US$5,500 per square foot, according to Sands executives.