1H19 EARNINGS GUIDANCE

29 January 2019

Client Market Services
NZX Limited
Level 1, NZX Centre
11 Cable Street
WELLINGTON

Copy to:

ASX Market Announcements
Australian Stock Exchange
Exchange Centre
Level 6
20 Bridge Street
Sydney NSW 2000
AUSTRALIA


Dear Sir/Madam


RE: SKYCITY ENTERTAINMENT GROUP LIMITED (SKC)
1H19 EARNINGS GUIDANCE

Please find attached a market release concerning the company’s expected
results for the half-year period ended 31 December 2018, which will be
announced on 13 February 2019.


Yours faithfully


Jo Wong
Company Secretary

MARKET RELEASE

29 January 2019


1H19 Earnings Guidance

SKYCITY has had a strong finish to the half-year period to 31 December 2018 and
expects to report better-than-expected growth in normalised earnings for the
period. This growth is primarily due to a favourable performance in Auckland and
strong growth in the International Business.

SKYCITY currently expects normalised EBITDA in 1H19 to be around $189m
(up around 10% on 1H18(1)) and normalised NPAT in 1H19 to be around
$97 million (up around 11% on 1H18
(1)
).

The expected reported results for 1H19 differ from the expected normalised results
primarily due an adjustment for the actual win rate in the International Business.
The actual win rate was 0.98% in 1H19, which was below the theoretical win rate
of 1.35%, and compares to an actual win rate of 1.70% in 1H18. Reported EBITDA
in 1H19 is expected to be around $165 million and reported NPAT in 1H19 is
expected to be around $82 million.

These expected earnings results remain subject to audit review and SKYCITY Board
approval.

Reflecting the expected performance in 1H19, SKYCITY now expects that earnings
for the full year to 30 June 2019 will be slightly ahead of the previous guidance for
modest growth in normalised EBITDA. However, earnings growth in 2H19 will be
harder to achieve given the improved performance achieved in 2H18.

Further details will be provided when SKYCITY announces its interim results on
13 February 2019.


(1)
Note that the 1H18 normalised results reported on 9 February 2018 were adjusted for corrections to
the calculation of International Business turnover, as announced to the NZX and ASX on 1 May 2018.



For more information, contact:




Ben Kay
GM, Corporate Development & Investor Relations
DDI: +64 9 363 6067
Email: ben.kay@skycity.co.nz