Crown Resorts reported a 5.4% year-on-year fall in normalized revenue to AU$2.95 billion at its Australian properties for the 12 months ended 30 June 2019, the decline due primarily to a slowdown in VIP.
Despite main gaming floor revenue enjoying a slight 0.5% increase to AU$1.69 billion and non-gaming revenue rising 0.6% to AU$752.1 million on a normalized basis, combined VIP table game turnover at Crown’s two Australian resorts – Crown Melbourne and Crown Perth – fell 26.1% to AU$38 billion, with VIP revenue for year coming in well down on FY18 numbers at AU$513.4 million.
As a result, group-wide normalized EBITDA fell 8.7% to AU$802.1 million (including UK property Crown Aspinalls) with normalized net profit after tax down 4.7% to AU$368.6 million.
Crown’s flagship property Crown Melbourne suffered a 5.4% decline in normalized revenue to AU$2.16 billion, with VIP turnover and VIP revenue down 25.4% year-on-year to AU$32.7 billion and AU$441.4 million respectively. Main gaming floor revenue increased 1.5% to AU$1.24 billion, with normalized EBITDA down 8.6% to AU$589.5 million.
At Crown Perth, a 30.1% decline in turnover to AU$5.3 billion resulted in normalized VIP revenue of AU$72 million while main gaming floor revenue fell 2.1% to AU$454.2 million. Normalized EBITDA dropped 10.8% to AU$221.8 million.
Crown’s wagering and online social gaming operations, which comprise online betting exchange Betfair Australasia and social gaming business DGN Games, declined 55.6% to AU$130.1 million and EBITDA by 2.7% to AU$26.1 million following the sale of sports betting site CrownBet.