Wednesday 17. August, 2016

China’s Gaming Crackdown Hurts Crown Earnings

James Packer’s Crown Resorts has posted their results for the past financial year showing strong net profits, but a fall in underlying earnings due to the continued slump in gaming in the Chinese sector.

Following a crackdown on corruption and money laundering by the Chinese government, gaming has fallen in Macau and many operators, including Crown Resorts, have felt the impact.

In May, Crown Resorts sold some of its stake in its Melco Crown Entertainment, leaving it with 27.4 percent of the company. This generated $602 million for Crown and contributed to its increase in net profits for the year of 146.4 percent to $948.8 million compared to the same time the previous year.

However, Crown’s underlying earnings, which exclude one-offs, dropped 22.7 percent to $406.2 million. This was largely attributed to poor market conditions in Macau. In June, Macau announced its plan to divide its “high-performing” local assets from its under-performing International assets, particularly its Macau business.

“The 2016 full year result reflects a solid performance from our Australian operations and continued subdued trading in Macau,” stated Rowen Craigie, chief executive of Crown Resorts.

“Overall gross gaming revenue across the Macau market in the full year to 30 June 2016 declined by more than 20 percent.”

Revenue from the company’s Australian assets increased over the full year period with revenue from gaming floors in their Australian resorts, increasing 5.8 percent to $1.68 billion and non-gaming revenue rising 1.5 percent to $674.6 million.

Crown has received government approval to build a $1.5 billion luxury hotel and casino complex in Barangaroo in Sydney which will be aimed at the Asian high-roller market. The company is currently fighting a legal challenge of the approval.

TOP CASINOS
130 FREE SPINS

All new Australian players get 130 free spins and bonuses up to €1000 on the first three deposits.


30 FREE SPINS

Get 30 free spins and 4 welcome bonuses to a total value of $1400 as a new Australian customer!


35 FREE SPINS

New Australian players get 35 free spins on Spiñata Grande and a 100% welcome bonus up to $200!


400% BONUS

As a new Australian customer, deposit €100 and you will get €500 to play for!


€10 EXCLUSIVE BONUS

Get a €10 exclusive bonus on your first depost and get 10% top-up on your winnings or 10% cashback on your losses the first week.


200 FREE SPINS

Get 50% of the deposit you make in free spins! Deposit $400 in order to get 200 free spins! Also, 100% bonus on your first deposit!


$500 BONUS

Join All Australian Casino and get a 100% bonus up to $500 as a new Australian customer!


50 FREE SPINS

As a new Australian player, you get 50 free spins and a 200% welcome bonus!


180 FREE SPINS

Get up to $1000 in bonus on your first four deposits. Also, 180 free spins to all new Australian players!


100 FREE SPINS

Get 100 free spins on Starburst and a first deposit bonus worth up to $400 as a new Australian player!


PokiesPedia was last updated:
April 16, 2017

Receive 100 Free Spins Now!

Receive 100 Free Spins Now!

Join our mailing list to receive 100 free spins instantly and the best bonus offers for Australians!

You have Successfully Subscribed!