SkyCity expects lower FY25 earnings amid market downturn

SkyCity Entertainment Group (NZX:SKC) anticipates that its FY25 Group EBITDA will fall approximately 4% below the previously issued guidance range of NZD 225 million to NZD 245 million. The revised forecast reflects ongoing challenges in discretionary consumer spending, particularly affecting spend per visit across its precincts, despite steady visitation levels. Auckland's hospitality and gaming sectors have experienced notable reductions in spend per visit. While Hamilton and Queenstown are performing to expectations, Adelaide is facing headwinds due to decreased VIP gaming activity following AML and harm minimisation programme enhancements. SkyCity confirmed its NZD 60 million Adelaide B3 transformation program is continuing as planned between FY25 and FY27. SkyCity still anticipates a boost when the New Zealand International Convention Centre (NZICC) opens in February 2026.