However,the outlook is bleak for rival The Star Entertainment Group,which may be forced to close its Sydney operations in three months if it does not convince Adam Bell,SC,that it has reformed its culture in his inquiry into the casino operator’s business practice.
The Star is also facing significant cost pressures,with the company losing more than two-thirds of its value over the past 12 months and its financial outlook remaining bleak due to the lack of foreign high-rollers after COVID-19,increased regulatory costs and growing debt exposure.
It is also bracing for a multi-million dollar penalty from the financial watchdog,AUSTRAC.
Crown Resorts boss Ciaran Carruthers said Crown Sydney faced its own challenges,despite being deemed suitable to operate.
“We are taking a long hard look at the business. The current levels of demand are at a low level. We are focused on getting the business to be commercially viable long into the future.”
Crown has struggled to attract customers to its casino since it opened with strict restrictions in August 2022. It closed one of its two gaming floors one year into operations and made 275 people redundant last year,the bulk from its frontline gaming and casino support divisions.
Its margins lean heavily on its luxury hotel and its many restaurants,which are nearly always full. Blackstone bought Crown in 2022 for $8.9 billion.