The Star Entertainment Group has published a business update for fiscal 2022, anticipating AU$1.53bn ($1.07bn) in normalized revenue.
Citing healthy performance for the quarter ending in June, the Australian operator’s recovery from Covid-19 appears to be setting in. However, The Star said its full-year results will be impacted by a net loss in the first half.
In the last three months of fiscal 2022, The Star’s revenue exceeded pre-covid levels by 11%, rising to AU$512m.
Slots revenue increased by 28%, while non-gaming revenue rose by 26%. However, the company said the table’s revenue “had not fully recovered” but was within 5% of pre-pandemic levels.
Star Gold Coast, meanwhile, performed well during the June quarter, reporting a 48% increase in revenue from pre-pandemic levels. This has benefited from a recovery in tourism and the opening of The Dorsett Gold Coast Hotel and The Star Residences.
Elsewhere, Brisbane’s revenue rose 13% when compared to pre-covid numbers, while The Star Sydney returned to pre-pandemic levels.
However, The Star’s expected AU$1.53 billion for FY2022 as a whole is still far lower than the AU$2.5 billion in normalized gross income it recorded for FY2019.
The company said, “Full-year results will be impacted by the first-half net loss associated with property closures, operational restrictions and border closures, as well as costs associated with regulatory reviews and increased investment in compliance functions.”
The organization also offered an update on its casino under development at Queen’s Wharf in Brisbane. The project has been delayed to the second half of 2023. The development will also increase the value by around 10% due to higher building material costs, labor shortages and supply chain challenges, among other things.
