Sharechat Logo

SkyCity says on track to meet earnings guidance

Friday 10th December 2010

Text too small?

SkyCity Entertainment Group said it is on track to meet earnings guidance it provided at its annual meeting in October and personal income tax cuts seem to be having an impact on its casino business.

The comments were made in a prepared briefing for an open day for investors today.

At the annual meeting the company said it would be disappointed if it did not achieve an consensus of a normalised net profit after tax for the 2011 financial year of $127.4 million.

The casino operator reported a record $129.1m normalised net profit after tax in the 2010 financial year.

It has since said first-quarter normalised net profit after tax was up 3.7% on last year.

The presentation said that Auckland gaming machine revenues, after a softer start of the 2011 financial year, were starting to gain traction with revenues up 5% for three months ended November compared to the same period last year.

The company said that the overall picture for the wider New Zealand economy remained subdued but signs for SkyCity were more encouraging.

Auckland revenues for the first five months of the 2011 year were up marginally on last year. Gaming machine revenues for September and November were up 5% on last year.

"Personal tax cuts appear to be having an impact on visitation and spend," the company said.

Trading on local VIP tables was described as soft but was expected to recover as the economy recovered.

"Rugby World Cup in September and October 2011 will be a significant event for New Zealand and will generate additional revenues for SkyCity Auckland and our Hamilton, Christchurch and Queenstown properties in the first half of the 2012 financial year," the company said.

 

NZPA



  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

GEN - Equifax reaffirms General Finance Limited's BB rating
General Capital Subsidiary General Finance Market Update
CHATHAM ADVISES EXTENDED CLOSING DATE OF 9 AUGUST FOR SPP
Acceleration of expressway will be transformative for Northland economy says EMA
The Warehouse Group - Proposed Scheme of Arrangement
The Warehouse Group - Proposed Scheme of Arrangement
Winton announces timing of its Annual Results
Fletcher Building Announces Director Appointment
Meridian issues new demand response exercise notice to NZAS
CRP - Chatham Closes Private Placement of Shares