Australia-listed Star Entertainment Group saw its net profit after tax (NPAT) increase 351.4 percent year-on-year in the first half of the 2019 financial year, driven by high win rate in its VIP business.
Said NPAT reached A$149 million, while net revenue increased 14.9 percent to A$1.2 billion, and EBITDA increased 65.9 percent to A$331 million.
The company said the positive results were driven by the high actual win rate in its International VIP Rebate business. However, VIP turnover declined 33 percent year-on-year to $20.7 billion in the half year.
Star Entertainment also brought attention to its strong domestic performance as a result of “high quality, broad-based growth.” Slots revenue was up 6.3 percent, while domestic tables were up 6.4 percent, largely driven by its Queensland property.
“FY19H1 delivered strong growth in key segments, evidencing effective commissioning of investments and operational improvements. Sydney domestic revenues continue to grow strongly,” said Matt Bekier, managing director and chief executive officer of Star Entertainment Group.
“Pleasing growth in domestic and international volumes in the Gold Coast support our growth strategy and confidence in the long term potential of that location, adding that construction of the first joint venture tower has commenced, scheduled to finish in 2022.
Bekier also noted that the Queen’s Wharf Brisbane project remains on time and on budget.