The Star slashes Q4 EBITDA loss by 70% as Gold Coast gaming revenue jumps
2026-07-27
Source: Global Gaming Insider
The Star Entertainment Group cut its Q4 FY26 EBITDA loss by 70% year-on-year to AU$8 million, driven by a strong performance at The Star Gold Coast and cost-saving measures, though its going-concern status remains subject to unresolved uncertainties.
The Star Entertainment Group narrowed its EBITDA loss to AU$8 million in the fourth quarter of fiscal 2026, marking a 70% improvement from the AU$27 million loss recorded in the same period a year earlier. The Queensland-based operator posted group revenue of AU$265 million for the three months ended June 30, slightly down from AU$266 million in the prior quarter and AU$270 million in Q4 FY25. The year-on-year EBITDA reduction was driven partly by ongoing cost-saving initiatives.
The Star Gold Coast emerged as the standout property during the quarter, with gaming revenue climbing 21% year-on-year thanks to increased activity across both table games and electronic gaming machines. Total revenue at the venue rose 12% to AU$107 million, while property-level EBITDA surged 51% to AU$22 million.
In contrast, The Star Sydney recorded a 7% drop in revenue to AU$150 million compared with the prior-year period, though it improved 2% sequentially from Q3. Gaming revenue fell 4% due to weaker table game volumes, and the company noted that average daily revenue has declined 20% since mandatory carded play and a AU$5,000 daily cash limit were fully implemented in October 2024.
The Star Brisbane contributed AU$5 million in operator fee revenue and AU$3 million in EBITDA during the quarter. The group exited its 50% stake in the Destination Brisbane Consortium on 31 March but continues to run the property under a Casino Management Agreement. An amended operator fee, effective from 1 April and still pending regulatory approval, is fixed at AU$18 million annually plus performance-based incentives.
Group operating expenses fell 11% year-on-year to AU$206 million as the operator pursued cost-reduction measures across corporate and property operations, with further initiatives still underway targeting indirect and property-level costs. The Star ended June with AU$267 million in cash and cash equivalents, up sharply from AU$120 million at the end of March. However, the company cautioned that its ability to continue as a going concern remains contingent on resolving a limited number of material uncertainties.