The Star Entertainment Group reduces EBITDA loss by 96 per cent
Streamlining of corporate office began during the period
The Star Entertainment group has reduced its losses by 96 per cent in the third quarter although revenue was down 12 per cent to $266m.
It’s third quarter EBITDA loss of $1m was a 96 per cent reduction on the Q3 FY25 EBITDA loss of $24m,
and compared to an EBITDA profit of $6m for Q2 FY26
At The Star Sydney, revenue declined by 10 per cent compared to the previous quarter, and by nine per cent compared to last year’s third quarter, reflecting continued softness in gaming results at the Sydney property, particularly in table games. Gaming revenue declined by 10 per cent year-on-year, largely due to lower table games revenue.
At The Star Gold Coast, revenue declined by six per cent compared to the previous quarter, reflecting a seasonal softening in volumes, but increased by five per cent compared to the cyclone closure impacted third quarter last year. The increase in revenue compared to the reflects stronger volumes across electronic gaming machines and hospitality, partially offset by softer results in table games.
Star said: “The Star, in consultation with its major shareholders, continues to review the resourcing structure and strategy of its operations. A number of cost out initiatives, including the streamlining of the corporate office, have begun phased implementation during the period. Further cost out initiatives at the properties and re-examination of all aspect of operations including reducing indirect cost pools are ongoing and are expected to continue to further reduce ongoing operating costs.
“Other initiatives, including with respect to administrative functions at each property and opportunities to reduce indirect costs and supplier expenses, continue to be explored to support long-term financial success of The Star, and to further strengthen the Group’s financial position. The Star’s ability to continue as a going concern remains dependent on the outcome of numerous material uncertainties, some of which are interdependent and outside The Star’s control.“
