SkyCity Entertainment hits over 4-yr low on profit forecast cuts, dividend suspension

Skycity Entertainment

06/06/2024 03:42

(Adds Australia shares)
    ** Shares of SkyCity Entertainment Group  SKC.NZ  fall as
much as 22.5% to NZ$1.34, their lowest level since March 24,
2020
    ** ASX-listed shares of SkyCity  SKC.AX  drop as much as
20.9% to A$1.27, also lowest level since March 24, 2020, and top
losses on ASX All Ordinaries index  .AORD 
    ** Casino operator trims its net profit after tax forecast
for the year to between NZ$120 mln ($74.32 mln) and NZ$125 mln
from NZ$125 mln and NZ$135 mln projected earlier
    ** SKC says will suspend dividends for H2 2024 and FY 2025
    ** Adds, cut in annual profit forecast and suspension of
dividends until fiscal 2026 due to tough operating conditions
amid a potential uptick in costs
    ** NZ stock has fallen 4.95% and Australia stock down 5.3%
YTD, as of last close

($1 = 1.6147 New Zealand dollars)

 (Reporting by Sherin Sunny in Bengaluru)
 ((Sherin.Sunny@thomsonreuters.com))