The Star’s statutory loss after tax over the three months was $6.8 million,a significant improvement on the $50 million loss over the same period in 2023. The quarterly loss reflects $10 million in significant items such as provisions for a yet-to-be determined AUSTRAC fine and the legal costs of the second inquiry.
The company’s normalised earnings before interest,tax,depreciation and amortisation for the quarter were $38 million,which gives a clearer insight of the underlying performance of the group.
“The board and management will continue to exercise cost control with a focus on making the appropriate investment in improving the control environment,” The Star said in its update.
The Star also told the market the sale of its Treasury casino,hotel and car park was “progressing well”,and Queens Wharf Brisbane was still set to open in August.
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Adam Bell,SC,was engaged by the NSW Independent Casino Commission last month to conduct a second probe into the Pyrmont business following concerns it has failed to reform its culture since the regulator suspended its licence to operate its casino in October 2022.
The business may be closed if the second inquiry deems The Star unfit to operate the casino,putting 3000 jobs and billions of dollars in revenue for the NSW government at risk.