SkyCity reports 38% decrease in revenue for H1 2021

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SkyCity reports 38% decrease in revenue for H1 2021

SkyCity Entertainment Group has reported revenue of NZ$449.9m (US$323.8m) for the six months to 31 December 2020, a 38% year-on-year decrease.

The New Zealand operator reported H1 EBITDA of $152.6m, which represents a 63% decline from the prior-year period. SkyCity said the declines were a direct result of closures due to COVID-19, and the absence of international business.

The decline in revenue included a 25% decrease at the operator’s flagship property SkyCity Auckland to $230.8m, with its Queenstown venue reporting a 16% decline to $5.9m. 

SkyCity Hamilton and SkyCity Adelaide did, however, report increases in revenue from the prior-year period. The former reported an 8% rise to $36.8m, with the latter increasing by 16% to AU$89.5m.

Due to the pandemic, the Auckland site was forced to close for the majority of August 2020, with most of its operations halted once again on 14 February 2021 after the New Zealand Government reinstated COVID-19 Alert Level 3 in the city.

SkyCity Adelaide meanwhile was closed for three days from 18 November, before operating under government social distancing restrictions for the rest of the financial period.

The operator highlighted its near-term priorities in the update, which include pursuing online gaming in New Zealand, optimising its Adelaide expansion, navigating through COVID-19, and leveraging VIP/premium gaming rooms in Auckland.