SKYCITY Entertainment Group Ltd

Overview Key strengths Key risks Long-dated exclusive casino licenses in New Zealand and Australia. Further COVID-19 related business interruptions to trading. Stable mass-market gaming cash flow from the group's established casino assets. Execution risks associated with rebuilding of the New Zealand International Convention Centre (NZICC). Supportive financial policies. Regulatory risks and earnings concentration risks at SkyCity Auckland, a key driver of the group's performance. SkyCity was adversely affected by COVID-19 restrictions during the first half of fiscal 2022 (year ending June 30, 2022). Its flagship Auckland property was closed for 60% of the first half and its other sites were subject to closure or operating restrictions. As a result, revenue and EBITDA declined substantially by 32.6% and 69.2%, respectively, from

...We expect that SKYCITY Entertainment Group Ltd.'s (SkyCity) adjusted debt-to-EBITDA ratio will be elevated and above the mid 4.0x range in fiscal 2022. SkyCity was adversely affected by COVID-19 restrictions during the first half of fiscal 2022 (year ending June 30, 2022). Its flagship Auckland property was closed for 60% of the first half and its other sites were subject to closure or operating restrictions. As a result, revenue and EBITDA declined substantially by 32.6% and 69.2%, respectively, from the previous year's corresponding period....

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