Adelaide boosts gross, but eps also well ahead
Casino owner/operator Sky City Ltd continued its high-growth path with big rises in profits and earnings per share on revenue up 48.5% following the Adelaide Casino acquisition.
The result for the December half shows revenue at $213.7 million, pretax operating surplus up 22.3% to $51.4 million, after-tax surplus up 19.6% to $33.2 million, earnings per share up 18.4% to 34.1c and interim dividend up 4c to 28c.
Managing director Evan Davies said a concentrated effort to deliver enhanced product, service and entertainment experience resulted in higher visitor numbers and spending ratios.
Adelaide Casino made its first contribution to Sky’s coffers, $53 million in revenue and steady ebitda of $10.4 million, while Sky City Auckland revenue rose 9% to $157 million. The Australian casino is being refurbished and will be relaunched in April.
Auckland gaming revenue rose 12% to $130 million, visitation rose 2% to 12,650 customers/day, and spend/customer rose 10% to $64.
Sky City Hotel occupancy rose from 76% to 78% despite the city’s oversupply of hotel rooms. Tower visitors (excluding Orbit restaurant visitors) fell by 20/day to 1270/day.