Gaming stocks extended their gains in afternoon trading. As of press time, SANDS CHINA LTD (01928) rose 5.45% to HK$21.28; GALAXY ENT (00027) gained 5.44% to HK$42.26; WYNN MACAU (01128) climbed 4.51% to HK$6.95; and MELCO INT'L DEV (00200) increased 4.34% to HK$5.05.

On the news front, Macau's Gaming Inspection and Coordination Bureau previously announced that July's gross gaming revenue rose 19.0% year-over-year to MOP 22.1 billion, reaching a post-pandemic high and recovering to 90% of the same period in 2019.

HSBC Holdings PLC previously released a report stating that intensive non-gaming activities in Macau over the coming months will continue to attract visitor traffic. Assuming daily average revenue for the remainder of the month ranges between MOP 680 million to MOP 760 million, August gaming revenue is projected to reach MOP 21.6 billion to MOP 22.7 billion, representing a year-over-year increase of 9% to 15%, compared to July's 19% growth.

CITIC Securities noted that abundant entertainment activities and newly opened/renovated properties effectively attract core gaming clientele, while the industry's win rate may have structural upside potential. However, the institution believes that demand-side changes are the more fundamental reason behind the gaming industry's data improvement. As an important bellwether for high-end discretionary consumption, Macau gaming may benefit from the recent marginal improvement in mainland high-end consumers' spending willingness. Under neutral assumptions with no additional positive or negative catalysts from top-down policies, the institution forecasts the industry's GGR will achieve 8-10% growth in 2025.