The Star turns group EBITDA positive in first quarter

The Star Entertainment Group reported group EBITDA of A$12 million for the first quarter of FY27 (the period ended 30 September 2026). This figure represents an improvement of A$25 million compared with the same period of the previous year. Group revenue rose 2% to A$284 million.

Combined revenue from the two owned properties increased 5% to A$279 million, while combined segment EBITDA rose from A$14 million last year to A$35 million. The Star Sydney recorded A$162 million in revenue and A$15 million in EBITDA. Growth in electronic gaming machines was partly offset by weakness in table games and non-gaming revenue. The Star Gold Coast generated A$117 million in revenue and A$20 million in EBITDA. EGM growth and marketing activities contributed to this performance.

Under the revised agreement framework, The Star Brisbane's operator fee was A$5 million, down 67% from a year earlier. At the end of the quarter, cash and cash equivalents were A$239 million, and total cash and cash deposits, including restricted deposits, were A$319 million. The company said operating free cash flow excluding one-off items was positive. It stated that it expects FY27 to be the first year in more than two years to deliver positive annual operating cash flow before one-off items.

At the same time, the company said significant uncertainties about its ability to continue as a going concern remain. The Sydney casino licence is still suspended, and the administrator's appointment period has been extended to 30 June 2027. The suspension of The Star Gold Coast's licence has been deferred, and the term of the special administrator will run until 31 March 2027.