Star Entertainment Group reports A$427.9m loss amid transformation

The Star Entertainment Group Limited reported a net loss after tax of A$427.9 million for FY25, a significant deterioration from the previous year. This was primarily driven by regulatory reforms, remediation costs, and market share loss, with group net revenue down 29% to A$1,187.5 million. The company's casino licence for The Star Sydney remains suspended until March 2026, and The Star Gold Coast's suspension is deferred until September 2026. The Star Brisbane commenced operations in August 2024 but is also subject to the remediation plan.

The group is undergoing a significant transformation, focusing on strengthening governance, risk management, and compliance. Key initiatives include a refreshed Code of Conduct, enhanced financial crime frameworks, and a decentralised operating model to improve accountability. The company is committed to achieving its sustainability objectives, including gender diversity targets, and aims to restore trust with stakeholders.

Financially, the group secured additional liquidity through a A$300 million strategic investment from Bally’s Corporation and Investment Holdings, along with non-core asset divestments totaling approximately A$120.5 million. The company is awaiting a Federal Court judgment regarding an AUSTRAC penalty, which poses a material risk to its liquidity and financial viability. The Remuneration Report indicates no short-term incentive payouts for most participants in FY25 due to unmet performance targets, except for the chief executive/managing director and group chief financial officer.