This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Asia Entertainment & Resources Ltd. Announces 36% Increase In Rolling Chip Turnover To US$1.767 Billion For March 2012

Asia Entertainment & Resources Ltd. (“AERL”) (NASDAQ: AERL), which operates through its subsidiaries and related promoter companies as a VIP room gaming promoter, today announced unaudited Rolling Chip Turnover (as defined below) for the month of March 2012 at the company’s three VIP rooms in Macau was US$1.767 billion, up 36% year-over-year, compared to US$1.300 billion for the month of March 2011. This compares with a year-over-year increase in gross gaming revenue for Macau of 24% for March 2012.

For the first three months of 2012, AERL’s Rolling Chip Turnover was US$5.384 billion (an average of $1.795 billion per month), up 32% year-over-year, compared to US$4.076 billion (an average of $1.359 billion per month) for the first three months of 2011. Macau gross gaming revenue increased 27% for the first three months of 2012.

The growth in Rolling Chip Turnover was attributable to organic growth, increasing cage capital from retained earnings and the May 2011 opening of a VIP room at the new Galaxy Macau in Cotai.

“We are pleased with our March results with 36% year-over-year growth, as we significantly outperformed Macau industry growth of 24% on an overall basis, and despite a higher than normal 3.54% win rate (average normal win rate is 2.85-3.00%), which effectively could reduce our Rolling Chip Turnover,” said AERL Chairman Lam. “If the win rate for March were normalized at 2.85%-3.00%, our Rolling Chip Turnover could have been between US$2.196-US$2.087 billion. Play volumes continue to be strong in our VIP rooms and we continue to expect double-digit growth in Rolling Chip Turnover for 2012.”

The Company’s VIP rooms are primarily focused on high stakes baccarat. Baccarat accounts for approximately 88% of total Macau casino winnings according to the Macau Gaming Inspection and Coordination Bureau (DICJ). In Macau, two remuneration methods are used to compensate VIP room gaming promoters. On a fixed commission basis, VIP room gaming promoter revenues are based on an agreed percentage of Rolling Chip Turnover. On a win/loss split basis, the VIP room gaming promoter receives an agreed percentage of the “win” in the VIP gaming room (plus certain incentive allowances), and is required to also bear the same percentage of losses that might be incurred. Compared to the fixed commission basis, the win/loss split basis subjects the VIP room gaming promoter to the risk of losses from the gaming patron’s activity and greater volatility.

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free


Chart of I:DJI
DOW 16,472.37 +200.36 1.23%
S&P 500 1,951.36 +27.54 1.43%
NASDAQ 4,707.7750 +80.6910 1.74%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs