The Crown Resorts and Casinos Group experienced a significant revenue decrease of 31%, totaling $1.1 billion.
Financial statements from the company showed that statutory revenue for the fiscal year concluding June 30, 2021, amounted to AU$1.5 billion (US$1.1 billion), marking a 31% reduction compared to the preceding year. Earnings before interest, taxes, depreciation, and amortization (EBITDA) plummeted by 77%, reaching AU$1.141 billion. The company declared a net loss of AU$2.616 billion.
These financial setbacks are primarily attributed to the effects of the COVID-19 pandemic, which necessitated limitations and safety measures, resulting in the temporary closure of several of the group’s casino properties, including Crown Melbourne and Crown Perth.
“The year 2021 has presented extraordinary difficulties for Crown, with rigorous regulatory examination and the unparalleled impact of the COVID-19 pandemic on our business activities,” stated Jane Halton, Crown’s Interim Chairman. “Crown has upheld the state and federal government’s actions in response to COVID-19, and our foremost concern has consistently been the health and well-being of our staff, patrons, and the community.”
Notwithstanding the obstacles, Crown Melbourne recorded a theoretical win from its primary gaming area of AU$4.069 billion, contributing to the overall theoretical win of AU$5.825 billion. Conversely, the VIP program experienced a substantial 98% decrease in theoretical win, reaching a mere AU$440 million. Concurrently, Crown Perth reported a theoretical win of AU$7.428 billion, a 21% rise compared to the prior year. This accomplishment was fueled by a robust performance in its main gaming area, which generated AU$4.783 billion in win, and non-gaming revenue, which attained AU$2.641 billion. Crown Sydney also initiated its phased opening on December 28th, providing restricted public admittance to a portion of its non-gaming amenities.
“Crown’s complete year outcomes illustrate the considerable influence COVID-19 has exerted on the business,” remarked Alan McGregor, Crown’s Chief Financial Officer.
Melbournes Crown casino operations were closed for a significant portion of the financial year. Even upon reopening, the gaming areas were a shadow of their previous state due to reduced capacity and other limitations.
Conversely, Crown Perth experienced an outstanding year. Regrettably, Crown Sydney concluded the period in a deficit. The confluence of pandemic-related closures, travel restrictions, and operational constraints had a substantial negative impact.
