Sky City Expects Rugby World Cup Fans, Asian Gamblers to Increase Revenue
“With Rugby World Cup upon us in less than a month and our Auckland flagship property in great shape, we are excited and optimistic about the future,” Chief Executive Officer Nigel Morrison said in a statement. The Auckland-based company today reporter net income rose 21 percent to NZ$123 million ($103 million) in the year ended June 30. Analysts had forecast annual profit of NZ$127.8 million.
New Zealand officials expect 95,000 overseas fans will attend the rugby games in September and October, when Auckland will host two semi-finals and the final as well as 12 other games. Sky City has invested NZ$50 million at its Auckland site, adding new bars, restaurants and gaming rooms for tourists and high net worth visitors.
The company opened new suites for so-called high-rollers in mid-July, boosting gaming turnover compared with the year earlier period, it said. Overall gaming machine revenue at its Auckland casino in the period July 1 to Aug. 15 is 15 percent higher than the year-earlier period, it said.
The Rugby World Cup will boost operating earnings at the company’s Auckland hotel by NZ$8 million, it said.
Sky City also took a NZ$15 million write-down in the value of the company’s 50-percent owned Christchurch casino, where trading was affected by a severe earthquake.
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