SkyCity faces possible New Zealand casino licence suspension

SkyCity posted full-year revenue of US$551m
SkyCity posted full-year revenue of US$551m

SkyCity has casinos in Auckland, Hamilton and Queenstown.

New Zealand.- The New Zealand Department of Internal Affairs (DIA) has informed SkyCity that an application has been submitted to suspend its casino operator’s licence for approximately 10 days. It follows a complaint lodged by a former customer who had gambled at the casino between August 2017 and February 2021.

The suspension request is primarily based on allegations that SkyCity did not adhere to the requirements outlined in its SkyCity Auckland host responsibility programme concerning the detection of prolonged gambling sessions by customers.

The DIA’s investigation led to concerns that the company may have breached harm-minimisation obligations. The Department of Internal Affairs and SkyCity will provide submissions to the Gambling Commission, which will then determine the appropriate course of action.

According to a company filing, the Gambling Commission will consider “whether to make an order to suspend the casino operator’s licence and, if so, the duration of any such suspension. A decision may not be forthcoming for a number of months.”

SkyCity’s shares fell over 20 cents to NZ$2.10 following the news

The casino operator recently shared its financial results for the fiscal year 2023. The company posted revenue of NZ$926.2m (US$551m), up 44.9 per cent year-on-year from NZ$639m (US$395m). Earnings before interest, tax, depreciation, and amortisation (EBITDA) was NZ$165.9m, up 71.7 per cent from the prior year. The company posted a net profit after tax of NZ$8m (US$4.8m).

See also: Kroll appointed as independent monitor for SkyCity Adelaide

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