Macau's renowned casino operators, Galaxy Entertainment Group Ltd and Sands China Ltd, reported significant year-on-year improvements in their Cotai resort retail operations during the second quarter. These results underline a continuing positive trend towards 2026, a prospect both companies had previously anticipated.
During this period, Galaxy Macau, the key casino resort of Galaxy Entertainment, experienced a remarkable 15.6% increase in mall net revenue, totaling HKD379 million (USD48.3 million). However, a sequential comparison reveals a 5.3% decline in revenue from the previous quarter.
Meanwhile, Sands China registered USD131 million from its Cotai malls in Q2, representing a 4.8% rise compared to the same period last year, despite a slight 3.0% fall from Q1. The improved figures were attributed to prominent gains in both overage rent and base rent as per Las Vegas Sands Corp., Sands China’s United States-based parent company.
Driving Factors Behind the Retail Growth
The first-quarter developments set the stage for the ongoing growth, with Galaxy Macau and Sands China's retailers achieving a 19.4% and 8.9% year-on-year revenue increase, respectively. Following these results, both corporations expressed confidence in their retail futures for 2026.
According to Jefferies analysts Anne Ling and Jingjue Pei, Galaxy Entertainment's robust retail performance persisted despite the disruptions from the FIFA World Cup. Categories like gold jewelry and luxury watches saw notable growth, buoyed by a high-value customer demographic, favorable currency exchange rates, and a shift of luxury spending back to Hong Kong and Macau.
The casino operator also predicts that high-end jewelry sales will remain strong through 2026, alongside continued demand in the "athleisure" segment, which blends athletic and casual fashion styles. Even amid a globally challenging economy, Galaxy Entertainment remains optimistic about retail performance towards 2026.
Expanding and Refreshing Retail Offerings
Sands China demonstrated continued momentum in their tenant sales, especially noticeable at their prominent Shoppes locations. In the second quarter, sales per square foot at the Shoppes at Venetian rose by 27.1% to USD2,161, while sales at Shoppes at Londoner increased by 24.9% to USD1,886.
Shoppes at Four Seasons, a hub for high-end brands, led as Sands China’s most successful mall with tenant sales per square foot reaching USD4,650, marking a 7.2% year-on-year growth and breaking a seven-quarter streak of declines.
Macau's luxury retail sector is facing a "challenging consumer environment" due to cautious Chinese luxury buyers, according to Nomura analysts. However, structural growth opportunities remain, as noted in the performance of luxury conglomerates like LVMH, Kering, and Hermès who observed stabilising trends in 2026.
Sands China and Galaxy Entertainment continue to refine their retail offerings, with new shops launching and renowned brands like Laopu Gold, Boss, and Dior men’s boutique joining their portfolio, signaling an ongoing recovery and robust future for Macau’s retail landscape.
Source: Sands China, Galaxy Ent mall revenue growth continues in 2Q, GGRAsia, August 28, 2026.
Posted by Wizard
Aug 28 2026
Aug 28 2026
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