SkyCity's Profit Warning Driven by Factors Beyond Its Control -- Market Talk

Dow Jones
05/05

2353 GMT - SkyCity Entertainment's profit warning disappoints its bull at Forsyth Barr, but it appears largely driven by factors beyond the casino operator's control. Analyst Paul Laxton Koraua highlights that factors within SkyCity's control, such as cost-cutting and asset sales, look to be tracking well. SkyCity now expects its FY 2026 underlying Ebitda to be between NZ$180 million and NZ$190 million. That's 8% lower than prior guidance at the midpoint of the range. It reflects lower visitation and average spend at its Auckland and Adelaide casino precincts following the Middle East conflict and rising fuel prices. "We reset our FY 2026 Ebitda estimates to the bottom half of its new guidance range and rebase our FY 2027 forecasts, reflecting SkyCity's weaker earnings run-rate," Forsyth Barr says. (david.winning@wsj.com; @dwinningWSJ)

 

(END) Dow Jones Newswires

May 04, 2026 19:53 ET (23:53 GMT)

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