SkyCity revenue up 17.9 percent in 15H2

Wednesday 27th of May 2015

SkyCity Entertainment Group said its revenue rose 17.9 percent to $415.6 million in the second half of the 2015 year-to-date, attributing the growth to its international business which saw a 63 percent increase in turnover boost to $8.62 billion during the period.

In an investor presentation, the Auckland-based company said the rise in international business reflected an improved win rate of 1.37 percent compared to 1.12 percent in the previous corresponding period.

The company said its Hamilton property “has improved significantly” in 15H2 compared to 15H2, with normalized revenue up 6.0 percent.

The company said its Adelaide property is also showing clear signs of recovery since the major refurbishment, with normalized revenue up 5.2 percent, while Darwin “has continued to experience challenging trading conditions,” with normalized revenue down 2.8 percent.

“International Business (IB) has continued to achieve strong growth: - IB group turnover for FY15 year-to-date is up 63% to $8.62 billion; - Actual IB revenue (including gaming GST) for FY15 year-to-date is up 99% to $118 million, buoyed by an improved win rate of 1.37%.”

Earlier this week, the company said it has agreed with the Crown on the preliminary design, and executed an amended agreement, for the development of the New Zealand International Convention Centre.

The design is for a slightly smaller centre than initially planned, the company said, due to costs overrunning.