SkyCity expects its underlying group EBITDA in FY24 to be impacted by approximately $2 million, following a Court of Appeal judgment on a casino duty dispute in South Australia.
The court ruled in favour of the South Australian treasurer's interpretation of the Adelaide Casino Duty Agreement, stating that credits on gaming machines from loyalty point conversions should be included in gaming revenue for duty calculations.
Additionally, loyalty points earned by customers cannot be deducted from gaming revenue.
As a result, SkyCity Adelaide is estimated to be liable for an additional casino duty of around $13m.
The company said it is currently considering the judgment's impact on the structure of its customer loyalty programme.
The question of the applicable interest rate and enforceability of the interest clause will be determined by the Supreme Court at a later date.
SkyCity's underlying FY24 group EBITDA is still expected to be between $290m and $310m, with underlying group NPAT between $125m and $135m.
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