Star Entertainment posts Q1 FY2027 EBITDA of AU$12M as revenue edges up 2%

The Star Entertainment Group has released results for the first quarter of fiscal 2027, covering the three months to September 30, 2026. The Australian casino and hospitality operator reported group revenue of AU$284 million ($199.6 million), up 2% on the same period a year earlier and 8% higher than the previous quarter.

Group EBITDA came in at AU$12 million ($8.4 million). That compares with a loss of AU$13 million in the first quarter of fiscal 2026 and a loss of AU$9 million in the fourth quarter of fiscal 2026, representing increases of 191% year-on-year and 228% quarter-on-quarter.

Both The Star Sydney and The Star Gold Coast recorded revenue improvements, which the company said was a first since it began publishing quarterly reports in September 2024. Sydney generated AU$162 million in revenue, up 1%, and AU$15 million in EBITDA. The Gold Coast reported AU$117 million in revenue and AU$20 million in EBITDA, improvements of 12% and 92% respectively. The Star Brisbane delivered a record EBITDAM of AU$37 million, while unallocated corporate costs totalled AU$23 million.

Because the quarter produced positive operating free cash flow, the company said it expects fiscal 2027 to be the first year in more than two years in which it generates net annual operating cash inflows before one-off items. At the end of September it held AU$239 million ($167.9 million) in cash and cash equivalents and said it has sufficient liquidity.

Regulatory uncertainty persists. The casino licence for The Star Sydney remains suspended, while the deferral of the suspension for The Star Gold Coast runs until March 31, 2027. The company acknowledged that its improvements depend on a number of uncertainties and said it will give an update on matters that could affect the business in its first-half fiscal 2027 report.

On its remediation plan, The Star said the quarter saw many critical customer-facing functions moved into its properties, along with improvements to workplace culture. It continues to look for additional ways to reduce costs. The results follow a separate penalty of AU$260 million imposed on the company for systemic anti-money laundering failings between 2016 and 2022.