Australian casino operator Crown Resorts has reported a loss of AU$199 million ($126.4 million/€119.7 million) during the last financial year as regulatory penalties and the cost of living crisis saw the company record a loss for the third year in a row.
According to documents uploaded to the financial regulator (ASIC), the latest results mark a significant improvement on the previous year when the company lost almost AU$1 billion ($635 million/€601.4 million).
Speaking of the report, a Crown spokesperson said:
“During the year, Crown has made considerable progress on its remediation and transformation plan, which has resulted in a significant uplift to the operations and culture of the business.”
Report Highlights for FY 2023
- Total Revenue – AU$2.7 billion ($1.71 billion/€1.62 billion), up 44% on previous year.
- Total expenses for the year – AU$3 billion ($1.9 billion/€1.8 billion).
- Reported loss for FY2023 – AU$199 million ($126.4 million/€119.7 million)
- Crown Melbourne revenue – AU$1.4 billion ($889.1 million/€841.9 million), up 49% on previous year.
- Crown Perth revenue – $854 million ($542.4 million/€513.7 million), up 16% on previous year.
- Crown Sydney revenue – $271 million ($172.1 million/€163 million), up 139% on previous year*.
*Crown Sydney gaming operations opened in August of 2022. However, just one year later in August of 2023, it closed one of its two gaming floors with 95 people losing their jobs due to insufficient business.
In its report, the company said:
“During the 2023 financial year, Crown continued to face challenges in relation to regulatory matters, with independent monitors at each of the Australian properties overseeing the gaming operations.”
Company Set for Record Fine
Crown is also preparing for one of the largest financial penalties in Australian corporate history. In July of this year, Australia’s Federal Court approved a settlement proposed by Crown Resorts and The Australian Transaction Reports and Analysis Centre (AUSTRAC) that will see the casino operator pay AU$450 million ($285 million/€275.3 million).
The deal was agreed following an investigation which uncovered serious AML failings at Crown’s Melbourne and Perth properties. A provision for this penalty was made in FY2023.
Image credit: Paolo Rosa / CC BY-NC-ND 2.0
Ciaran has been working within the Gambling Industry as a deep analyst since 2019. His deep knowledge and understanding of all the gambling regulations, and processes makes him a true asset, and an always valuable point of view for Gambling Industry News, allowing us to cover every topics from a brand new perspective.