Star Entertainment Group Limited (SETY.PK), a prominent Australian gambling and entertainment entity, announced on Thursday a drop in revenue for the fiscal year. This downturn is attributed to challenging trading conditions influenced by cost of living pressures, casino operating reforms, and a loss of market share.
For the 12-month period, the Group reported a net loss of A$1.685 billion, which is an improvement over the previous year’s loss of A$2.435 billion. Normalized earnings for the period were A$12 million, down from A$41 million in 2023.
The company also noted a decline in special items, net of tax, amounting to A$1.697 billion, compared to A$2.477 billion the previous year. This reduction is primarily due to a non-cash impairment charge of A$1.44 billion, prompted by difficult trading conditions and anticipated regulatory changes that are expected to adversely affect earnings.
Depreciation and amortization expenses dropped by 38 percent year-over-year to A$75 million, largely due to a reduced asset base following prior year impairments. Earnings Before Interest and Taxes (EBIT) fell to A$54 million from A$122 million the previous year, while Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) stood at A$175 million for the period, down from A$317 million a year earlier.
Overall, revenue decreased to A$1.678 billion, compared to A$1.868 billion in the previous year.
