Australia’s Star Entertainment Group has reported a statutory loss of AU$471.5 million (US$308 million) for the financial year ended 30 June 2025, impacted by a 29% year-on-year decline in group-wide revenue including a 37% fall in gaming revenue.
Although the FY25 loss was narrowed from the AU$1.69 billion (US$1.10 billion) loss reported a year earlier, this was due only to a non-cash impairment recognized in FY24. On a normalized basis, Star’s FY25 loss would be AU$259 million (US$169 million) – reversing a normalized AU$12 million (US$7.8 million) profit in the prior year period.
In a filing, Star said the 29% decline in revenue to AU$1.19 billion (US$777 million) reflected challenging trading conditions due to regulatory reforms including mandatory carded play and cash limits at The Star Sydney, implementation of its remediation program and loss of market share.
Sydney was the hardest hit during the period, with normalized revenue falling 21.9% to AU$685 million (US$447 million) versus a 10.0% decline at The Star Gold Coast to AU$410.6 million (US$268 million). The company recorded revenue of AU$62.3 million (US$40.7 million) from the now closed Treasury Brisbane casino and operator’s fees of AU$29.6 million (US$19.3 million) from The Star Brisbane. Star holds a 50% stake in The Star Brisbane parent Destination Consortium Brisbane (DCB) but is in the process of offloading that stake to its Hong Kong partners, Chow Tai Fook and Far East Consortium.
In releasing its FY25 results, Star noted that there remains material uncertainty around its ability to continue as a going concern, with the company’s future dependant on “key interdependent events and initiatives in the near term which are critical to the group’s liquidity and financial outlook”.
These include the size and timing of a looming penalty from AML watchdog AUSTRAC linked to compliance issues raised in recent inquiries into Star’s suitability, obtaining financial covenant waivers from lenders, completing the AU$300 million (US$195 million) rescue package deal from Bally’s and Investment Holdings, completing its exit from DBS, and restoring its casino licenses.
Star explained that it had provided submissions on its suitability to hold a casino licence to the Office of Liquor and Gaming Regulation on 31 July 2025 and will provide submissions to the NSW Independent Casino Commission by 31 August 2025.
“I want to acknowledge the hard work and commitment of our team members in the face of the ongoing challenges of the Group,” said Group CEO and Managing Director, Steve McCann.
“While there remains work to be done, I note the significant progress that the Group has made on its remediation journey to date and the implementation of regulatory reforms. The Group has sourced additional funding to enable The Star to continue to provide thousands of jobs and support tourism and entertainment in the markets in which we operate.
“Our announcement today highlights a number of key interdependencies that are critical to the Group’s future. The Group continues to require significant support from a range of its stakeholders including governments, regulators, lenders and investors. Without that support it will be difficult to navigate the various challenges facing the Group and to create a sustainable future for the business.”
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