Star Entertainment Group has reported a significant downturn in financial performance for the 2024-25 financial year. The casino operator’s results were impacted by regulatory changes, remediation costs, and a decline in market share. The company posted net revenue of $1.2 billion, a decrease of 29 per cent compared to the previous year. Earnings showed a loss of $77.1 million, with total losses reaching $471.5 million, including $212.4 million in post-tax significant items.
The trading environment was notably challenging, influenced by mandatory carded play and cash limits at The Star Sydney, the closure of Treasury Brisbane Casino, and the phased opening of The Star Brisbane. Gaming revenue experienced a sharp drop of 37 per cent, which is a 22 per cent drop excluding the Brisbane closure. Star Entertainment Group is an Australian gambling and entertainment company that owns and operates casinos and hotels. It aims to provide gaming, entertainment, and hospitality services to its customers.
Operating expenses saw a reduction of 10 per cent, falling to $982 million, which was supported by a $100 million cost reduction program. However, increased investment in risk management, controls, and IT partially offset these savings. The company’s cash position as of August 25 was $189 million, following a payment of $16 million in deferred casino taxes.
In other news, Bruce Mathieson Jnr has been appointed as a non-executive director of the company. His appointment is subject to the standard regulatory and ministerial approvals. He will be joining the board as the nominee of Investment Holdings Pty Ltd, the company’s largest shareholder.
