Join our daily newsletter At The Bell to receive exclusive market insights
SkyCity Entertainment Group Ltd (ASX:SKC) is set to lose NZ$5 million in expected earnings for 2025, due to a 5-day closedown of gambling operations at its Auckland casino as part of a settlement between the Secretary of Internal Affairs and SkyCity Casino Management Ltd (SCML) in order to avoid the temporary suspension of the company’s casino operator’s licence.
SkyCity announced that due to its planned shutdown, its EBITDA (earnings before interest, taxes, depreciation, and amortization) for 2025 had been revised down from a range of NZ$250 million and NZ$270 million, to NZ$245 million and NZ$265 million.
The decision to shut the gambling area of SkyCity Auckland represents the company’s response to an application made last September by the Secretary of Internal Affairs to temporarily suspend the licence, based on an allegation that SCML had not complied with requirements related to continuous play by a customer.
In addition to the closedown, SCML has acknowledged that it did not meet the requirement in the SkyCity Auckland Host Responsibility Programme (HRP), and has apologised to the Secretary, agreeing to closedown gambling at the casino for five consecutive days.
SkyCity CEO New Zealand Callum Mallett also apologised on behalf of the board and management team.
“SkyCity places great importance on host responsibility and takes these failures very seriously,” he said.
SkyCity has been trading at $1.37.
-1200x645-380x200.jpg)
-1200x645-380x200.jpg)