ANNUAL RESULT FOR THE YEAR ENDED 30 JUNE 2020

3 September 2020

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)
ANNUAL RESULT FOR THE YEAR ENDED 30 JUNE 2020

Please find attached the following information relating to SkyCity Entertainment
Group Limited’s (SkyCity) result for the financial year ended 30 June 2020:

1. a Results Announcement (as required by NZX Listing Rule 3.5.1 and released in
reliance on a class waiver issued by NZX Regulation dated 3 April 2020 extending
the deadline for release of an issuer’s full year result announcement (with a
balance date of 30 June 2020) to 28 September 2020);

2. the FY20 Result - Investor Presentation; and

3. the Annual Report, including the audited financial statements and notes.

For the purposes of ASX Listing Rule 1.15.3, SkyCity confirms that it continues to comply
with the listing rules of its home exchange, the NZX Listing Rules.

SkyCity is hosting a conference call for investors and analysts today at 12.00 noon (NZ
time) to discuss the FY20 result. Details for this call were released on the NZX and ASX
on 27 July 2020.

Authorised by:

Rob Hamilton
Chief Financial Officer

---

Results Announcement



Results for Announcement to the Market
Name of issuer SkyCity Entertainment Group Limited
Reporting Period 12 months to 30 June 2020
Previous Reporting Period 12 months to 30 June 2019
Currency New Zealand dollars
Reported Amount (million) Percentage change
Reported revenue from
continuing operations
1, 2

$1,125.0 36.8%
Total reported revenue
1
$1,125.0

24.2%
Reported profit (loss) from
continuing operations
2

$235.3 46.3%
Reported total net profit
(loss)
$235.4 62.8%
Normalised
2
Amount (million) Percentage change
Normalised revenue
including gaming GST
$779.5 -24.3%
Normalised total net profit
(loss)
$66.3 -59.7%

Notes:
- ‘Reported’ information is per the financial statements;
- ‘Normalised’ results set International Business win to a theoretical win rate of 1.35% and adjust for certain
revenue and expense items. A reconciliation between reported and normalised financial information is
provided at the end of this document;
- ‘EBITDA’ = earnings before interest, tax, depreciation and amortisation;
- ‘EBIT’ = earnings before interest and tax;
- ‘NPAT’ = net profit after tax; and
- Certain totals, subtotals and percentages may not agree due to rounding.















1
On the Income Statement, this is the total of revenue, other income, the net gain on the Auckland car park concession
transaction, Government grants, share of losses from associates and NZICC fire related income.
2
Excludes Darwin operations treated as discontinued operations (sold in April 2019).

Results Announcement



Final Dividend
Amount per Quoted Equity
Security
nil
Imputed amount per
Quoted Equity Security
n/a
Record Date n/a
Dividend Payment Date n/a
Current period Prior comparable period
Net tangible assets per
Quoted Equity Security
$1. 0695 $0.5359
A brief explanation of any of
the figures above necessary
to enable the figures to be
understood
SkyCity’s FY20 performance is set out in the company’s
Investor Presentation attached to this announcement, which
provides detail and explanatory comment on operating and
financial performance for each business unit and the SkyCity
Group as a whole and various other relevant aspects of the
financial performance for the year ended 30 June 2020.

The Investor Presentation will be available on the company’s
website from 3 September 2020.
Authority for this announcement
Name of person authorised
to make this
announcement
Jo Wong
Contact person for this
announcement
Jo Wong
Contact phone number 09 363 6143
Contact email address jo.wong@skycity.co.nz
Date of release through
MAP
3 September 2020

Audited financial statements accompany this announcement.

NZX Appendix 1
Results Announcement


Reconciliation between Reported and Normalised Financial Information

 SkyCity’s objective of producing normalised financial information is to provide data that is useful to the investment community in
understanding the underlying operations of the Group − the intention is to provide information which:
• Is representative of SkyCity’s underlying performance (as a potential indicator of future performance);
• Can be compared across years; and
• Can assist with comparison between publicly listed casino companies in NZ and Australia

 This objective is achieved by:
• Eliminating inherent volatility or “luck” factor from IB which has variable turnover and actual win % from period to period;
• Eliminating structural differences in the business between periods; and
• Eliminating known different treatments with other NZ and Australian publicly listed casino companies

 SkyCity believes that by making these adjustments the users of the financial information are able to understand the underlying performance
of the Group and form a view on future performance

 For internal purposes, including budgeting and determination of staff incentives, normalised results are used

 Non-GAAP information is prepared in accordance with a Board-approved “Non-GAAP Financial Information Policy” and is reviewed by the
Board at each reporting period

 Application of SkyCity’s non-GAAP financial information policy is consistent with the approach adopted in FY19

NZX Appendix 1
Results Announcement




FY20
FY19
Revenue
$m
EBITDA
$m
EBIT
$m
NPAT
$m
Revenue
$m
EBITDA
$m
EBIT
$m
NPAT
$m
Reported1,125.0348.3261.7235.4822.3297.8217.8144.6
IB revenue adjustment39.3
--
-80.3---
Gaming GST73.4---95.2---
IB at theoretical win rate(7.3)0.10.10.249.938.738.727.8
Gain on sale –Auckland car parks
(66.4)
(66.4)(66.4)(66.4)(17.4)
(17.4)
(17.4)(17.7)
Revaluation of Auckland properties-
14.1
14.114.1-3.2
3.2
3.2
Significant tax events-------(9.5)
NZICC fire impacts
(1)
(384.5)(269.4)(269.4)(268.5)----
Labour restructure-13.513.59.7----
Funding plan costs ---5.4---
-
Deferred tax liability reversal-
-
-(24.1)----
SkyCity Adelaide impairment -160.6160.6160.6----
Sale of Darwin----(0.4)--16.2
Normalised779.5
200.7114.2
66.31,029.8
322.2242.4
164.6

NZX Appendix 1
Results Announcement




AdjustmentDiscussion
Treat IB commissions as an expense rather than
reduction in revenue which reduces both reported
revenue and operating expenses within IB
(by $39.3m in FY20 and $80.3m in FY19)
Thisadjustmentaddsb ackIBcommissions(treatedasareductionfromrevenueinthereportedresults)andincreasesbothrevenueand
expenses.ThisadjustmentdoesnotimpactEBITDA,EBITorNPAT
Thisadjustmenthasbeenmadetomaintaintherelations hipbetweenturnoverandthetheoreticalwinrateof1.35%whendetermining
normalisedrevenue
Add gaming GST to reported revenue
(by $73.4m in FY20 and $95.2m in FY19)
ReportedrevenueincludedwithinthefinancialstatementsoftheGroupexcludesGST
ThisadjustmentaddsbackGSTassociated
withgaming
sothatnormalisedrevenueequalstheamountbetbygamingcustomers
AllpubliclylistedNZa ndAustraliancasinocompaniesincludeGSTassociatedwithgamingwithintheirrevenueresults.I ncludinggamingGST
withinreportedrevenueisnotconsistentwithGAAPandSkyCitythereforedoesnotdoso
However,SkyCitydoesincludegamingGSTwithinitsnormalisedrevenue
ThisadjustmentdoesnotimpactEBITDA,EBITorNPAT
Apply theoretical win rate of 1.35% for IB vs. actual
win rate of 1.47% (FY20) and 1.00% (FY19)
ThisadjustmentrecalculatesgamingwinfromIBtothetheoreticalwinrate.ThevastmajorityofIBplayisbaccarat.Statistically,overthelong-
termthecasinoexpectstowin1.35%ofallbetstaken
onbaccarat
.However,inanyparticularreportingperiodtheactualresultsofplaywillvary
dependingon“luck”
The1.35
%winrateisusedbyallpubliclylistedNZandAustraliancasinocompaniesinaddition
tocasino
companiesinAsiaandthe
UnitedStates
Inorder
tounderstandthelong-termresultswithinIBthereistheneedtoeliminatetheinherent
volatility
or“luck”factor
Eliminate gain ($66.4m) arising from Auckland car
park concession sale (completed in August 2019)
and the FY19 gain ($17.4m) on sale of Federal St car
park (sold in April 2019)
TheFY20reportedresultsincludeasignificantgainrelatingtotheAucklandcarparkconcessionsalewhichsettledinAugust2019
TheFY19reportedresultsincludeasignificantgainrelatingtothesaleoftheFederalStcarparkwhichsettledinApril2019
Theadjustmentreversesthesegains

NZX Appendix 1
Results Announcement




Adjustment
Discussion
Reverse impact of revaluation (reduction of
$14.1m) of Auckland investment properties (FY19
$3.2m)
SkyCity
hasanumberofinvestmentproperties
inAuckland.Inaccordancewiththeappropriate
accounting
standard,theseinvestment
properties
willberevaluedbyanindependent
experteveryyearandthecarryingvalueadjustedwithin
theGroup’s
financialstatements
Thisadjustment
reversesthedeclineinvalue
oftheseproperties
Therevaluationisnon-cashandunrelated
totheoperations
oftheGroup
Thisadjustmentwillbemadeeachyearto
determinethe
Group’snormalisedresults
Eliminate net gain ($268.5m after tax) arising
from impacts of NZICC fire
On22October
2019,therewasasignificant
fireattheconstructionsiteoftheNewZealandInternational
Convention
Centre(“NZICC”)inAuckland
ThisfirehascausedextensivedamagetotheNZICCa ndrelativelyminordamagetotheHorizonHotelwhichisbeingconstructedonthe
adjacentsite
Bothbuildings
areinsuredandallsignificantcostsassociatedwiththefireareexpectedtobe
fullycovered
.Anycostsnotcovered
byinsurance
areexpectedtobesoughtfromFletcherConstruction
ThefirehassignificantimplicationsforthefinancialstatementsfortheGroup–theseareexplainedfurtherinnote6inSkyCity’sfinancial
statementswhichhavebeenreleasedtotheNZXandASX
Atthis
pointintimeafull
assessmentofthedamageis
notavailable,norisanagreedreconstruction
timeline
.Asaresult,thefinancial
statements
include
anumberofsignificantjudgementsandestimatestodeterminetheappropriate
accounting
.Thesejudgementsand
estimateswill
continuetobereviewedasnewinformationbecomesavailable
TheNZICCfire(andassociatedaccountingimpact)isasignificant,one-offeventthathasimpactedthecomparabilityoftheFY20resultwiththe
prioryear
Labour restructure ($13.5m) and funding plan
costs ($5.4m after tax)
AspartofitsresponsetoCovid-19,SkyCityundertookalabourrestructureandimplementedanewfundingplan
Thisadjustmenteliminates
thecostsassociated
withthose
actions
Deferred tax liability reversal ($24.1m)
AspartofitsresponsetoCovid-19,theNZGovernmentreinstatedtaxdepreciationforcommercialproperties,thisresultedinanon-cash
accountingreduction
in
theFY20taxexpense
Thisadjustmenteliminatesthisone-offreductiontotaxexpense

NZX Appendix 1
Results Announcement






AdjustmentExplanation
SkyCity Adelaide licence impairment (A$150m)
InthecurrentyeartheGrouphasimpairedtheSkyCityAdelaidecasinolicencebyA$150.0m($160.6m)
Theimpairmenthasarisenduetorevised
expectations
regardingthetimeframeforSkyCityAdelaidetoachieveitslong-termpotentialearnings
followingcompletionoftheexpansionproject.ThereducedearningsoutlookforSkyCityAdelaidehasbeenexacerbatedinthe
short-to-mediumtermbytherecentandexpectedongoingimpactsofCovid-19,includinganexpectation
that
IBactivitymaytakesomeyears
torecover
Thisadjustmenteliminatesthisnon-cash
expense
Eliminate significant tax events (net $9.5m
decrease to normalised NPAT) (FY19 only)
During FY19, SkyCity had a number of significant tax events which have impacted the reported effective tax rate
ATO tax review
As part of the Australian Tax Office’s (ATO) Streamlined Assurance Review of SkyCity’s Australian operations, SkyCity and the
ATO agreed to settle
differences of opinion on the treatment of certain financing arrangements. As a result of this settlement, SkyCity made a A$3.5m payment to the
ATO. This payment relates to historical items only and does not change SkyCity’s future tax payments or tax expense
Auckland car park concession sale deferred tax
The deferred tax consequences of the Auckland car park concession sale were recognised in FY19, this was a $11.5m reduction in tax expense
Share of partnership expenditure
–tax election
In the current year, SkyCity made a NZ tax election for the SkyCity Australian Limited Partnership. This resulted in a one-off benefit of $1.9m in the
FY19 tax expense
Summary
This adjustment eliminates the net reduction (from the above items) in tax expense for the purpose of the normalised results
Eliminate Darwin operations from normalised
results (FY19 only)
DuringFY19,SkyCitysolditsDarwinoperations
DarwinhasbeenfullyexcludedfromFY19normalisedresultstoenableappropriatecomparisonswithFY20

---

SkyCity Entertainment Group Limited
FY20 Result
Investor Presentation
3 September 2020

Important
Information
AverageNZ$ vs. A$ cross-rateforFY20= 0.9483andFY19= 0.9398
Weightedaveragenumberofshares(excltreasurystock)forFY20=664,946,279and
FY19= 675,772,802
Normalisedrevenue(inclgamingGST),calculatedasgamingwin(inclGST)plusnon-gaming
revenue(exclGST),is showntofacilitateAustralasiancomparisons
NormalisedrevenueandearningsadjustedforIBatthetheoreticalwinrateof1.35%versusan
actualwinrateof1.47%inFY20(FY19: 1.00%)
EBITDAmarginiscalculatedasa%ofrevenue(inclgamingGST)tofacilitateAustralasian
comparisons
Certaintotals,subtotalsandpercentagesmaynotagreeduetorounding
RefertotheFY20AnnualReportfora glossaryoftermsreferencedinthispresentation
2

Contents
FY20 Key Features
FY20 Results
Trading Update and FY21 Outlook
Group Strategy Update
Appendices
4
5
17
25
36
3

FY20 Key Features
Challenging year due to NZICC fire and Covid-19, with
significant operational and financial impacts
Group normalised EBITDA and NPAT negatively
impacted but at top end of guidance range provided at
time of equity raising
Trading well ahead of expectations when properties
open − resilient domestic businesses
Online casino grown rapidly despite operational
constraints – over 35k customer registrations and
EBITDA positive since April 2020
Strong balance sheet following implementation of
funding plan – able to withstand further downside
shocks and/or Covid-19 disruptions
Adelaide expansion project on-track with opening
expected in late 2020 and NZICC/Horizon Hotel
reinstatement progressing satisfactorily
4

FY20 Results

Complexsetoffinancialresults
ReportedresultssignificantlyimpactedbyNZICCfire,gainfromAucklandcarparkconcessionsaleandimpairmentofSkyCityAdelaidecasino
licence
NormalisedresultsadjustforimpactsofNZICCfire,Aucklandcarparkconcessionsale,impairmentofSkyCityAdelaidecasinolicenceand
certainotheritems(seepages37-38formoredetails)
•AdjustmentsfromreportedtonormalisedresultsconsistentwithSkyCity’s“Non-GAAPFinancialInformationPolicy”
•NormalisedresultsnotadjustedforimpactofCovid-19andrelatedpropertyclosures,otherthanredundancycostsrelatingtothelabour
restructure
Comparabilityofunderlying(or“like-for-like”)normalisedearningsoftheGroupinFY20vs. pcpsignificantlyimpactedby:
•Aucklandcarparkconcessionsale(settledAugust2019)
•TemporaryclosureofSkyCityAucklandduringNZICCfire(lateOctober2019)
•ClosureofNZpropertiesandSkyCityAdelaideduringCovid-19lockdowns(fromlateMarch2020)
•RelatedoperationalandfinancialimpactsonbusinessfromCovid-19(i. e. NZwagesubsidyandAustralianJobKeeperscheme)
Presentation of FY20 Results
6

FY20FY19Movement
$m$m$m%
Reported Revenue1,125.0822.3302.736.8%
Reported EBITDA348.3297.850.516.9%
Reported NPAT235.4144.690.862.8%
Reported EPS35.4cps21.4cps14.0ps65.5%
(1)Darwin has been excluded from normalised results to aid comparability vs. pcp , but there has been no change to FY19 reportedNPAT
(2)See pages 37-38 for more details
FY20 Results Overview
7
FY20FY19Movement
$m$m$m%
Normalised Revenue (incl Gaming GST)
(1)(2)
779.51,029.8(250.3)(24.3%)
Normalised EBITDA
(1)(2)
200.7322.2(121.5)(37.7%)
Normalised NPAT
(1)(2)
66.3164.6(98.3)(59.7%)
Normalised EPS10.0cps24.4cps(14.4cps)(59.0%)
Final Dividend DPS0.0cps10.0cps(10.0cps)NA

FY20FY19Movement
$m$m%
Properties (excl IB)
(1)
Auckland497.3606.7(18.0%)
Hamilton58.861.8(4.8%)
Queenstown/other12.313.1(6.6%)
Adelaide (A$)121.0148.7(18.7%)
Total Property Revenue (excl IB)
(1)
695.7840.0(17.2%)
Normalised IB Revenue78.9190.5(58.6%)
Online/E-sports4.9(0.7)NA
Normalised Revenue
(1)(2)
779.51,029.8(24.3%)
IB revenue adjustment
(3)
7.3(49.9)NA
Non-GAAP adjustments
(3)
338.2(157.6)NA
Reported Revenue1,125.0822.336.8%
(1)Including gaming GST
(2)Darwin has been excluded from normalised results to aid comparability vs. pcp
(3)See pages 37-38 for more details
8
FY20 Revenue by Business

FY20FY19Movement
$m$m%
Properties (excl IB)
Auckland193.9267.9(27.6%)
Hamilton24.426.9(9.5%)
Queenstown0.72.3(71.8%)
Adelaide (A$)11.220.9
(1)
(46.3%)
Total Property EBITDA (excl IB)230.7319.4(27.8%)
Normalised IB EBITDA4.541.7(89.1%)
Corporate Costs(31.5)(33.8)6.8%
Online/E-sports1.1(0.7)NA
NZICC/Horizon Hotel/Adelaide pre-opening costs(4.1)(4.4)6.4%
Normalised EBITDA
(2)
200.7322.2(37.7%)
Non-GAAP adjustments
(3)
147.6(24.4)NA
Reported EBITDA348.3297.816.9%
(1)Includes $800k of intercompany costs required to be retained post sale of Darwin
(2)Darwin has been excluded from normalised results to aid comparability vs. pcp
(3)See pages 37-38 for more details
FY20 EBITDA by Business
9

Group
FinancialresultssignificantlyimpactedbyNZICCfireandCovid-19
FY20GroupnormalisedEBITDA(of$200.7m)andNPAT(of$66.3m)attopendofguidanceprovidedattimeofequityraising(17June2020)
Reportedresults(EBITDAof$348.3mandNPATof$235.4m)upsignificantlyvs. pcpduetoNZICCfireaccountingandgainfromAucklandcarpark
concessionsale,offsetbyA$150mimpairmentofSkyCityAdelaidecasinolicence
LocalEBITDA
(1)
for8 monthsto29February2020uparound5%vs. pcpona like-for-likebasis
NZwagesubsidyandJobKeeperschemepartiallymitigatedimpactofpropertyclosuresandongoingnegligibleinternationalcustomeractivity
Domesticbusinesses(historically85%+ ofGroupEBITDA)performingstrongerthanexpectationswhenopen
NewZealandProperties
•Auckland:
GoodmomentumpriortoNZICCfireandimpactofCovid-19,particularlyinEGMs(around45%ofrevenue)− recordlocalgamingactivityfor8
monthsto29February2020
Stronglocalgamingperformancepostre -openingfrommid-May2020priortosecondclosure
Non-gamingbusinessessignificantlyimpactedbyCovid-19butmomentumbuildingpostre -opening,particularlyinhotels
•Hamilton:
RecordEBITDAachievedin1H20androbust2H20performancedespiteimpactofCovid-19
EGMrevenuesincere -openingfrommid-May2020aheadofpre-Covid-19levels
(2)
•Queenstown:ImpactofCovid-19oninternationalvisitorstoQueenstownregionoffsetstronglocalgamingperformancein1H20
NZOnlineCasino(basedinMalta)
•Tradingrampedupsignificantlyduring2H20(particularlyfromMarch2020)
•Over35k customerregistrations(asat31August2020) andEBITDApositiveeverymonthfromApril2020
FY20 Result Commentary (1 of 3)
10
(1)Excludes IB EBITDA and corporate costs
(2)Average daily revenue of 8 months to 29 February 2020

FY20 Result Commentary (2 of 3)
InternationalBusiness
SignificantlyweakervolumesduetoimpactofCovid-19onvisitationfromAsiafromJanuary2020andinternationalborderclosures
Turnoverdown59%to$5.8bnandnormalisedEBITDAdown89%
Marginsadverselyimpactedbynegativeoperatingleveragefromlowervolumesandpropertyclosures
Actualwinrateof1. 47%abovetheoreticalwinrateof1. 35%− reportedEBITDAslightlyabovepcp(winrate1. 00%)
CorporateCostsandOtherExpenses
•Labourrestructureimplementedduring4Q20acrossNZproperties– annualisedcostsavingsof$50m(ofwhich$40moperatingcosts)
•Corporatecostswellbelowpreviousguidanceduetolabourrestructurein4Q20, nobonusesawardedandreductioninotherexpenses
•NZICC/HorizonHotelandAdelaideexpansionpre-openingcostsaround$4mbelowexpectationsduetoimpactofNZICCfireandCovid-19
•D&Abroadlyin-linewithguidancewithassetadditionsandimpactofIFRS16(Leases)offsettingdelaystocompletionofcertainICTprojects
•Netinterestexpensesignificantlyhigherthanpcp– unabletocapitaliseinterestonNZICC/HorizonHotelfromthedateoffire($21mimpactinFY20)
•Normalisedeffectivetaxrateof28.8%(FY19:29.0%)
11
AustralianProperties(SkyCityAdelaide)
PerformanceprogressivelyimprovedpriortoimpactofCovid-19(including3- yearhigh(7.8%) inEGMmarketshareinDecember2019)despite
ongoingdisruptionfromconstructionworks
Propertyclosedfordurationof4Q20(withmajorityofstaffstood-down)

FY20 Result Commentary (3 of 3)
SignificantAccountingImpacts
•Complexsetoffinancialresults
•NZICCfirea significantinsuranceevent
Treatedasdisposalofdamagedasset($194mwrite-offofWIPPP&E,offsetbyreversalofDeferredLicenceValue)
Insurancerecoveriesrequiredtoberecognisedasincome($337m)
•$66.4mgainfromAucklandcarparkconcessionsalerecognisedasincome
•A$150mimpairmentofSkyCityAdelaidecasinolicenceduetorevisedtimeframetoachievelong-termpotentialearningspostexpansion,
exacerbatedbyimpactofCovid-19– non-cashitemandnoimpactondebtcovenantcalculations
(2)
•NZwagesubsidyandAustralianJobKeeperschemerecognisedasotherincomeata property/corporatelevel(andnotnormalised)
FundingandDistributions
FundingplansuccessfullyimplementedduringJuneandJuly2020, including$230mequityraising
Pro-formaliquidity
(1)
of$559mwhichincludesproceedsfromsharepurchaseplanandplannedredemptionofNZbonds
Covenantwaivers/reliefforDecember2020andJune2021testingperiods
RetainedBBB-(negativeoutlook)creditratingfromS&PGlobalRatings
NofinalFY20dividend– dividendssuspendedforperiodofcovenantwaivers/relief
12
(1)Pro-forma liquidity includes the following post 30 June 2020 balance sheet movements: (1) net proceeds from share purchase plan (July 2020) of $48m and (2) planned redemption of NZ bonds (September
2020) of $129m
(2)Refer to page 53 for more details

Capital Expenditure
Growth capex primarily related to major projects and upgrade to
Auckland VIP/premium gaming rooms
Stay-in-business capex of $72m, slightly below guidance ($80m)−
certain projects deferred due to impact of Covid-19
FY20 group capex($m)
13
Future major projects capex ($m)
Around $500m of gross capex remaining on NZICC/Horizon Hotel
project, of which around $330m funded via insurance relating to
NZICC fire
Around A$80m of capex remaining on Adelaide expansion
(1)Excludes certain costs arising from NZICC fire not able to be capitalised but funded via insurance (including demolition and site preparation) and other costs already included in pre-opening costs
562
48
25
58
187
91
249
81
0
100
200
300
400
500
600
Spent to FY20
FY21FY22
FY23+
NZICC/HH projectNZICC/HH reinstatement (via insurance)(1)Adelaide expansion (A$)
99
75
72
267
276
0
50
100
150
2 00
250
3 00
350
400
FY19FY 20
Gr owth capexSt ay -in- business c apex
$342m
$347m

Funding Plan & Capital Allocation
Successfulrecapitalisationfollowingimplementationoffundingplan
•$230mequityraisingcompletedduringJuneandJuly2020(fullyunderwritteninstitutionalplacementandsharepurchaseplan)
•$160madditionalfacilitiessecuredfromexistingbankinggroup
•Debtcovenantwaivers/relief(forDecember2020andJune2021testingperiods)andextensionssecuredforupcomingbank
maturities
•Dividendssuspendedforperiodofcovenantwaivers/relief− policytobereviewedduring1H21
Fundingplaninadditiontomeasurestoreducecapexandoperatingcosts(incllabourrestructureinNZ)
RemaincommittedtoBBB-creditrating(S&PGlobalRatingsconfirmedBBB-(negativeoutlook)ratingfollowingequityraising)
Focusedoneffectivecapitaldiscipline
Followingtheequityraising,sufficientliquiditytorespondtoarangeofdownsidescenarios,includingalongerandmore
protractedrecoveryinNZandAustraliaand/orfurtherCovid-19disruptions(ref. secondclosureinAuckland)
NZbonds($129m)toberedeemedon28September2020and(ifnotrefinanced)fundingavailabletorepayUS$100mofUSPP
notesmaturinginMarch2021
MajorprojectsinAdelaideandAucklandfullyfunded– focusedonexecutionandleveragingbenefits
Expectongoingstay-in-businesscapexof$60-70mperannum– requiredtomaintainandrefurbishexistingproperties
Balancesheetcapacityforfuturegrowthprojectsand/orcapitalmanagementtobereviewedwhennolongerinrelianceon
covenantwaivers/reliefanddomesticandinternationalenvironmentbecomesmorecertain
Wellpositionedtoraisefurtherdebtcapitalif requiredinthefuture
Overview
Balance sheet and key
financial settings
14

Capital Management
Pro-formanethedgeddebt(including
lease-relatedliabilities)of$493masat
30June2020
•Includescashatbankof$26masat
30June2020
•Includesnetproceedsfromshare
purchaseplan($48m)receivedduring
July2020
•IncludesredemptionofNZbonds
($129m)plannedfor28September2020
andcorrespondingdrawdownofbank
debttofundthis
Pro-formagearingof2.5xasat30June
2020
Gearingfor30June2020debtcovenant
calculationincludes$66.4mgainfrom
Aucklandcarparkconcessionsaleand
reported(asopposedtonormalised)IB
EBITDA
Movement in net hedged debt ($m)
15
488
541
493
99
(201)
83
(36)
(215)
347
153
(177)
(48)
0
100
2 00
3 00
400
5 00
600
700
8 00
Op en ing n et
debt
( Jun e 2 019)
Impa ct of lea se-
re lat ed
liabilities/other
fina ncing
Gr oup E BITD ACas h fund ing
cost s/cas h ta x
Movements in
w or ki n g
ca pita l/ot her
Ass et s ale sCap exDistributionsInstitutional
placement
(net of fees)
Closing net debt
(June 2 020)
Sha re p ur cha se
pla n
(net of fees)
Pro-forma net
debt
(June 2 020)

Debt Maturity Profile
Pro-forma hedged debt maturity profile as at 30 June 2020 ($m)
Pro-formahedgeddebtmaturityprofilereflects:
•Extensionofnear-termbankmaturities($170m)to2023
and2024(2 x $85mtranches)
•$160mofnewbankfacilities(maturinginFY22)
•RedemptionofNZbonds($129m)plannedfor
28September2020
Pro-formacommitteddebt(athedgedexchangerates)of
$1.1bnat30June2020
•Pro-formaliquidityof$559m(includes$26mcashatbank)
•$420mindrawnfacilities–$325mfixed-termand$95m
bankdebt
•Averagematurityforcommitteddebtfacilitiesof2.7 years
If notrefinanced,plantorepayUS$100m(hedgedat$108m)of
USPPnotesmaturinginMarch2021
Averageinterestrateof6.36%(6.11%inFY19) reflectinghigher
cost2011USPPdebtasa proportionoftotaldrawndebt
•2011USPPdebtmaturesinMarch2021
•Expectaverageinterestratetofallasdrawonmorecost-
effectivebankdebt
16
$108
$147
$70
$95
$364
$85
$85
$99
0
50
100
150
200
250
300
350
400
450
500
FY20FY21FY22FY23FY24
FY25
FY26FY27FY28Other
USPPBank -DrawnBank -UndrawnLease-related liabilities

Trading Update and
FY21 Outlook

Three-stepframeworkforrelaxingrestrictionsand
re-openingtheeconomy−casinoandgamingvenues
openedlateJune2020
<30newcasessincelateApril2020
InterstateborderopentoallstatesexcludingVictoria
(travellersfromNSWrequiredtoquarantinefor14days)
Businesses/publicactivitiesrequiredtohaveCovid-Safe
plan
Certainrestrictionsongatheringsremain
Update on Covid-19 in NZ and South Australia
18
South Australia
NZatAlertLevel2 − AucklandatAlertLevel3 from12to30
August2020followingre-emergenceofcommunity
transmission
•Requirementtoadheretostrictsocialdistancing
guidelinesandrestrictionsonmassgatherings
ReasonabletoexpectAlertLevel1 (norestrictions)in
foreseeablefuture
Smallnumberofnewcasesbeingcaughtatborderin
managedisolationand/orquarantinefacilities
Internationalborderexpectedtoremainclosedfor
foreseeablefuture
NZ
Casinoaccesslimitedtomembers(premiumcustomers
onlyonweekends)
Gamingzonescreatedonmaincasinofloortoensure
compliancewithrestrictionsonmassgatherings
Strictmeasuresinplacetoensuresocialdistancingon
EGMsandtablesandinF&Boutlets
(1)
ImplementedHealth&Safetyplan(inaccordancewith
MinistryofHealthguidelines)
Infrastructureestablishedtosupportcontacttracing
NegligibleIBactivityandnointernationaltouristarrivals
Status of Covid-19Operating environment for SkyCity
Casinoaccesslimitedtomembers
Capacitysubjecttomaximumpatronage(around2,200
pax)– limitofonepersonper2m
2
Strictmeasuresinplacetoensuresocialdistancingon
EGMsandtablesandinF&Boutlets
(1)
Infrastructureestablishedtosupportcontacttracing
Enhancedhygieneprotocols
NegligibleIBactivityandnointernational/interstate
touristarrivals
(1)Every second EGM deactivated and limit of 3 people per table game to ensure appropriate social distancing

Trading Update (1 of 3)
19
Domesticbusinessesrecoveredmorequicklythananticipatedduringperiod1 Juneto11 August2020
•Positivelocalgamingactivity,withAucklandreturningto,andHamiltonaheadof,pre-Covid-19levels
(1)
•EGMperformanceparticularlystrongacrossbothAucklandandHamilton
•Positivemomentuminnon-gamingbusinesses(F&Bandhotels)− weekendpeaks,mid-weekrecovering
•Significantimprovementinoperatingmargins– benefitingfromcostsavings(incllabourrestructure)andoperatingleverage
•EBITDAandcashflowmateriallyaheadofexpectations
Aucklandclosedforperiod12to30August2020, butHamiltonandQueenstowncontinuedtotradeaheadofexpectations
Openedon29June2020ina stagedmannerwithreducedoperatinghours
Performancesincere -openingaheadofexpectations– localgamingactivityconsistentwithpre-Covid-19levels
(1)
EBITDAandcashflowpositivesincere -opening
NZ Properties
SkyCity
Adelaide
ContinuestotradepositivelyafterstronggrowthduringAprilandMay2020
Around15k newcustomerregistrationsduring3 monthsto31August2020(9knewactives)
Slightreductioningamingrevenuefollowingre -openingofNZproperties– increaseinactivityduringsecondclosureinAuckland
EBITDApositiveforeverymonthfromApril2020
NZ Online
Casino
(1)Average daily revenue of 8 months to 29 February 2020

0%
20%
40%
60 %
80%
100%
120%
140%
EGMsTa bl esL oc al Ga m in gNon-GamingTotal Revenue
0%
20%
40%
60 %
80%
100%
120%
140%
EGMsTa bl esL oc al Ga m in gNon-GamingTotal Revenue
0%
20%
40%
60 %
80%
100%
120%
140%
EGMsTa bl esL oc al Ga m in gNon-GamingTotal Revenue
Trading Update (2 of 3)
20
SkyCity Auckland average daily revenue as %
of pre-Covid-19 levels: 1 June-11 August
2020
(1)
SkyCity Hamilton average daily revenue as %
of pre-Covid-19 levels: 1 June-11 August
2020
(1)
SkyCity Adelaide average daily revenue as
% of pre-Covid-19 levels: 1 July-31 August
2020
(1)
(1)Excludes other income associated with NZ wage subsidy or Australian JobKeeper scheme
vs. average daily revenue of 8 months to 29 February 2020vs. average daily revenue of pcp

21
22k first time depositors (actives) as at 31 August 2020
Broad geographic spread of customers across NZ
Average monthly gaming revenue from April to August 2020 of $2.8m
Trading Update (3 of 3)
NZ online casino customer registrations:
1 August 2019 to 31 August 2020 (cumulative)
NZ online casino monthly gaming revenue
($m): 1 August 2019 to 31 August 2020
0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
40,000
Aug-19Sep-19Oct-19N ov- 19Dec -19Jan-20Feb -20Mar-20Apr-20May-20Jun-20Jul-2 0A ug-20
0.0
0.5
1.0
1.5
2 .0
2 .5
3 .0
3 .5
4.0
Aug-19Sep-19
Oct-19
N ov- 19Dec -19Jan-20Feb -20Mar-20Apr-20May-20Jun-20Jul-2 0A ug-20

0%
20%
40%
60%
80%
100%
120%
140%
EGMsTa bl esTotal premium gaming
SkyCity Auckland– Operational Initiatives
22
FlagshippropertyandkeyvaluedriverfortheGroup
Largelydomesticbusinessalbeitmeaningfultourism-
relatedbusinessessuchashotels,attractionsandIB
LeveragedtodomesticrecoveryinNZ
•Strongperformancewhenopen,particularlyfrom
localgamingbusiness
Ongoinginvestmentinproductandproduct
management
Flexibleoperatingmodeltomeetexpecteddemand
anddrivesustainablemargingrowth
Re-focusedcustomerreinvestmentmodel
•Emphasisonpremiumcustomers– highervalueand
captivemarket
•Leveragingdigitalassetstodriveawareness
•LeveragingF&Bandhotelstodrivevisitationfrom
less-activeloyaltycustomers
•Revisedapproachtoon-sitepromotionsandevents
Loyalty visits and spend per visit:
1 June to 11 August 2020: % of pcp
Premium gaming revenue:
1 June to 11 August 2020: % of pcp
0%
20%
40%
60%
80%
100%
120%
140%
Loyalty visitsSpend per loyalty visit

SkyCity Hamilton – Operational Initiatives
23
LeadingentertainmentvenueinHamilton
Domesticbusiness–negligibleIBandinternational
tourismactivity
LeveragedtodomesticrecoveryinNZ
•Strongtradingsincere-openingfrommid-May2020
–rapidreturnofgamingactivitytopre-Covid-19
levels
(1)
•EGMskeyvaluedriverforproperty(70%+ ofrevenue)
•NomaterialdifferenceinperformancebetweenAlert
Levels1 and2
NewEGMproductandimprovedfloorlayout
Flexibleoperatingmodeltomeetexpecteddemand
anddrivesustainablemargingrowth
AdoptedNZ-wideapproachtomarketing
•Focusonnew/re-activatedloyaltysign-upstodrive
visitationgrowth
•Targetedeventsforpremiumcustomers− increase
spendpervisit,particularlyinEGMs
•Investmentskewedtomassmarketvs. Auckland
givencustomersegmentation
(1)Average daily revenue of 8 months to 29 February 2020
Loyalty visits and spend per visit:
1 June to 11 August 2020: % of pcp
Revenue by activity:
1 June to 11 August 2020 vs. pcp
0%
20%
40%
60%
80%
100%
120%
140%
Loyalty visitsSpend per loyalty visit
72%
66%
15%
15%
13%
18%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
EGMsTa bl esNon-gaming
1Jun-11-Aug 20
1Jun-11-Aug 19

FY21 Outlook
AssumingnoadversechangetothecurrentCovid-19outlookinNZandSA,expectGroupnormalisedEBITDAtobeaboveFY20but
stillwellbelowpre-Covid-19andFY19levels
•Domesticbusinessestocontinuetoperformwellwhenopen– preparedforpossibilityoffurtherclosures
•PlanningforinternationalbordertoremainclosedfordurationofFY21− negligibleIBandinternationaltourismactivity
UnabletoprovideearningsguidancegivenongoinguncertaintyfromCovid-19andNZICC/HorizonHotelreinstatement
Expectstay-in-businesscapexof$60m-70mandgrowthcapex(includingmajorprojects)around$280m
Dividendpolicytobereviewedduring1H21–nointerimdividend,butexpectingtopayfinaldividendforFY21in
September/October2021assumingnomeaningfulfurtherCovid-19disruptions
Aucklandperformanceexpectedtoreturntotrendsobservedpriortosecondclosure,drivenbyresilientlocalgamingperformance
andcostsavings,offsetbyweakerperformancefromnon-gamingbusinesses
Hamiltonexpectedtodelivergoodperformancevs. pcp– predominatelydomesticbusinessunderpinnedbypositiveEGMactivity
andcostsavings
Queenstownexpectedtobeadverselyimpactedbyinternationalborderrestrictions
AdelaideexpansionexpectedtoopeninphasesduringFY21(dependingonoperatingenvironmentduetoCovid-19)– expect
EBITDAtobebroadlyconsistentwithFY19levels
NegligibleIBturnoverexpected,withfixedoperatingcostsofaround$750k permonth
NZonlinecasinoexpectedtodelivermoremeaningfulcontribution(EBIT)
Group
(FY21)
Business Units
(FY21)
Corporatecostsexpectedtobearound$34m(vs. like-for-like$35minFY19)
NZICC/HorizonHotelandAdelaideexpansionpre-openingcostsexpectedtobearound$7m(vs. $4.1minFY20)
Netinterestexpenseexpectedtobearound$27m,witharound$16mofcapitalisedinterest(relatedtoAdelaideexpansion)
D&Aexpectedtobearound$90m
NormalisedeffectivetaxrateexpectedtobebroadlyconsistentwithFY20(29%)
Corporate
(FY21)
24

Group Strategy Update

Group Strategic Plan

Strategic Reflections and Learnings (FY20)
27
Significant events during FY20 were challenging but also a reminder of SkyCity’s competitive advantages
Resilience of local gaming business re-confirmed
following successive demand shocks
Diversity of thought in leadership critical in making
significant strategic decisions rapidly
Able to move quickly but with care to restructure the
business
Value of VIP/premium gaming customers highlighted
Importance of retaining flexible capital structure and
access to capital (and strong relationships with both
debt and equity providers)
Online gaming channel growing fast (vs. land-based
casinos) and gaining popularity – significant online and
omni-channel opportunity
Exclusive casino licences and major entertainment
destinations allow for long-term strategic planning
Importance of SkyCity in the community increasingly
recognised by key stakeholders during NZICC fire and
Covid-19

Strategic Priorities for FY21
28
Continue positive operating recovery post
re-opening of properties, particularly in Auckland
Maximise development opportunities in NZ whilst
maintaining discipline over capital allocation and
resume payment of dividends as soon as able
Progress online casino opportunity in NZ
Complete Adelaide expansion and achieve successful
opening of new facilities
Progress reinstatement of NZICC/Horizon Hotel
following fire
Continue to invest in and enhance key
CSR/sustainability initiatives
Group strategic plan remains relevant − critical to focus on recovery post Covid-19 and executing major projects

Improve our operating performance Optimise our existing portfolioGrow and diversify our business
Our Business Goals
Following labour restructure, maintain focus
on cost control
Maintain flexible operating model to respond
to different Covid-19 restrictions
Ongoing investment in new product,
product management and gaming systems
Continue rollout of RFID technology and
analytics across the Group
Targeted and tactical marketing used as cost
effective tool of driving profitable visitation
Maximise benefits from investment in
VIP/premium gaming
Good progress on investment in ICT and
digital capability –CXM/loyalty, web & mobile
and data analytics
NZ online casino launched in August 2019
with GiG via Malta-based subsidiary
•Significant omni-channel opportunity if
online market regulated in NZ
•Support future regulation in NZ
Monitor and evaluate regional M&A
opportunities in casino industry
Adelaide expansion and master planning
works on existing building on-track for
opening in late 2020
Complete major refurbishment and
expansion of VIP/premium and other
gaming facilities in Auckland
Refine development opportunities in
Auckland/Hamilton/Queenstown
29

NZICC/Horizon Hotel Project
NZICCfireandimpactofCovid-19hascausedsignificantprojectdelays−Fletcher
Constructionrecentlyprovidedupdatedprogrammeofworks
•ExpectHorizonHoteltobecompletedbylate2021andNZICCaroundmid-2023
•Expect600NZICCcarparksdamagedbyfiretobereturnedduring2H21
RemaincomfortablewithcontractualpositiononNZICC/HorizonHotel
•FletcherConstructionrequiredtocompleteproject
•2-yearextensionoflong-stopdatetocompleteNZICC(to2 January2025) agreedwithNZ
Government
Appropriateprojectinsurancewhichis respondingtoNZICC/HorizonHotelreinstatement
•Firsttrancheofinsuranceproceeds($105m)receivedbySkyCity
•Reinstatementcostscurrentlyestimatedtobeatleast$336m(excludingclean-upcosts)–
expectedtobefullycoveredbyinsurance
•Claimalsomadeonmaterialdamageandbusinessinterruptioninsurance
Nochangetopreviousguidancefortotalprojectcosts
•Expecttotalprojectcostsofaround$750m
•Around$170mofnet“cash”capexstilltospendasat30June2020underBuildingWorks
Contracts(excludesreinstatementcostsfundedbyinsurance)
Nochangetolong-terminvestmentthesisfortheproject
•Investmenttosupportlong-termgrowthintourismexpenditureinNZ
•NewinfrastructuretobesignificantdemanddriverforAucklandprecinct
•ExclusivecasinolicenceforkeyAucklandpropertyoutto2048
30

Adelaide Expansion
Goodprogresswithprojectremainingon-timeandon-budget
•Totalprojectcostsin-linewithA$330mbudget,witharoundA$80mof“cash”capexstillto
bespentasat30June2020
ExpecttoopeninstagedmannerfromlateNovember2020, reflectingcustomerdemand
•TakinghotelbookingsfromearlyDecember2020
•Focusinitiallyonlocalandinterstatecustomers(givenexpectedongoinginternational
borderclosures)
•Upto700newstaffinprocessofbeinghired
WalkerCorporationcontinuestoadvancecarparkdevelopmentatFestivalPlaza
•Expectcarparktobehandedoverduring2Q2021
SAGovernmentregulatoryreviewcompleted− targetingimplementationofnewreforms
(noteacceptors,TITO(maingamingfloor)andMulti-Protocolgamingsystem)from
October2020
Masterplanningworksonexistingbuildingon-tracktocompletebyexpansionopening
A$150mimpairmentofSkyCityAdelaidecasinolicenceduetorevisedtimeframetoachieve
long-termpotentialearningspostexpansion,exacerbatedbyimpactofCovid-19– non-cash
itemwhichreducesintangibleassetvalue(casinolicence)
(1)
ProjectexpectedtotransformSkyCityAdelaideintoworld-classcasinoandentertainment
complex
31
(1)Refer to page 53 for more details

Continuingtoprogressfurtheropportunitiestoreleasecapitalfrompropertyassetsand
restructureoverthemedium-term
•Around$2bnoflandandbuildingownedasat30June2020
(1)
•Potentialsaleofnon-coreassets,suchasAACentre(SkyCityHQ)oncecurrentbuilding
worksandleasingcompleted
Exploringinternalrestructuringofoperationsandpropertyassets
•Potentialopportunitytoestablishstandalonefundingstructuresandunlock
unrecognisedvalueinpropertyassets
•Plantoseparatelyreportoperationsandpropertyassetsonceinternalrestructure
complete
Auckland/Hamilton/Queenstowndevelopmentopportunitiescontinuetoberefinedbut
majordecisionspaused
•Balancesheetconstrainedanduncertainoutlookfortourism-relatedbusinesses
•Significantlong-termoptionvalueembeddedinAucklandprecinct(including2,500m
2
of
landabletobedeveloped)
•PotentialhotelopportunityinHamilton
•Re-evaluatingfutureoptionsforQueenstownpropertiesgivenrelianceonVIP/premium
gamingandinternationaltourists
32
(1)Includes property value of NZICC/Horizon Hotel and Adelaide expansion “as built”
Property Assets & Master Planning

Offer a great and safe place to workAlways put customers firstBe responsible leaders in our communities
Culture and Character Goals
Continue to refine Health & Safety plan –
focus on response to Covid-19 and building
awareness
Reduction in gender pay gap in NZ from 8.2%
to 7.5% (no change in Adelaide)
Employee Inclusion Council established in
Auckland
Final instalment of NZ $20 wage by 2020 to
be implemented by end of 2020
Youth development programme (Project
Nikau) well established
Flexible working framework implemented
across the Group
Focus on maintaining staff resilience, morale
and motivation
Hardship Fund established to support staff
impacted by Covid-19 (over $1m raised from
staff)
Carbon neutral across both NZ and Adelaide
Employee-led green fund allocations
commenced
Implementing initiatives to reduce waste to
landfill and water usage
Good progress in ensuring local/ethical
sourcing
Gaming taxes and levies of $33m in FY20
Community trusts refocused − $3.7m in
contributions during FY20
Ongoing investment in ICT/digital – launch of
mobile app/web-based platform for NZ
customers
Facial recognition implemented across all
sites as part of enhancements to Host
Responsibility programme
Long-stay player detection technology
currently being trialed in Hamilton
Upgraded algorithm to enhance detection of
problem gambling
Progressing review of CXM/loyalty
33

Commitment to Sustainability
The impact of Covid-19 on SkyCity has
highlighted the need to
preserve and grow
sustainable profitabilityalongside enhancing
non-financial capitals to ensure long-term
viability and success
34

Distributions to Stakeholders (FY20)
Source: FY20 SkyCity Annual Report
35
“ Better communities at the heart of what we’re doing”
$126min
taxes to
Government
(NZ and
Australia)
$296min
remuneration
and benefits to
staff
$66mof
dividends paid
to shareholders
$205m
in payments to
suppliers
(mainly local)
$347m
capital
invested across
the business
$10m
in community
contributions,
levies and
sponsorships

Appendices

ThedifferencesbetweenFY20reportedandnormalisedfinancialinformationaresummarisedoverleaf− refertotheappendixformoreinformation
onwhytheseadjustmentshavebeenmade
FY20adjustments(fromreportedtonormalised)
•TreatIBcommissionsasanexpenseratherthana reductioninrevenuewhichreducesbothreportedrevenueandoperatingexpenseswithinIB
(by$39.3m)– effectivelyreversesimpactofIFRS15(RevenuefromContractswithCustomers)
•AddgamingGST($73.4m)toreportedrevenue
•Applytheoreticalwinrateof1. 35%forIBvs. actualwinrateof1. 47%
•Eliminategain($66.4m)arisingfromAucklandcarparkconcessionsale(completedinAugust2019)
•Eliminatenetgain($268.5mpost-tax)arisingfromimpactsofNZICCfire
•Reverseimpactoflabourrestructuring($13.5m)andimplementationoffundingplan($5.4mpost-tax)associatedwithresponsetoimpactsof
Covid-19
•Reverseimpactofrevaluation(reductionof$14.1m)ofAucklandinvestmentproperties
•Reverseimpairment(A$150m)ofSkyCityAdelaidecasinolicence
•Eliminatebenefit($24.1m)relatingtoreversalofdeferredtaxliabilitiespreviouslyrecognisedinrelationtonon-depreciablebuildings
FY19adjustments(fromreportedtonormalised)
•TreatIBcommissionsasanexpenseratherthana reductioninrevenuewhichreducesbothreportedrevenueandoperatingexpenseswithinIB
(by$80.3m)– effectivelyreversesimpactofIFRS15(RevenuefromContractswithCustomers)
•AddgamingGST($95.2m)toreportedrevenue
•Applytheoreticalwinrateof1. 35%forIBvs. actualwinrateof1. 00%
•Eliminatesignificanttaxevents(net$9.5mdecreasetonormalisedNPAT)
•Eliminategain($17.4m)arisingfromsaleofFederalStcarpark(completedinApril2019)
•Reverseimpactofrevaluation(reductionof$3.2m)ofAucklandinvestmentproperties
•EliminateDarwinoperationsfromnormalisedresults
Reported and Normalised Results (1 of 2)
37

FY20FY19
Revenue
$m
EBITDA
$m
EBIT
$m
NPAT
$m
Revenue
$m
EBITDA
$m
EBIT
$m
NPAT
$m
Reported1,125.0348.3261.7235.4822.3297.8217.8144.6
IB revenue adjustment39.3---80.3---
Gaming GST73.4---95.2---
IB at theoretical win rate(7.3)0.10.10.249.938.738.727.8
Gain on sale –Auckland car parks(66.4)(66.4)(66.4)(66.4)(17.4)(17.4)(17.4)(17.7)
Revaluation of Auckland properties-14.114.114.1-3.23.23.2
Significant tax events-------(9.5)
NZICC fire impacts
(1)
(384.5)(269.4)(269.4)(268.5)----
Labour restructure-13.513.59.7----
Funding plan costs ---5.4----
Deferred tax liability reversal---(24.1)----
SkyCity Adelaide impairment -160.6160.6160.6----
Sale of Darwin----(0.4)-
-16.2
Normalised779.5200.7114.266.31,029.8322.2242.4164.6
Reported and Normalised Results (2 of 2)
38
(1) See page 39 for more details

NZICC Fire Accounting Impacts for FY20
39
NZICC Fire Impacts
Estimated Amount
(1)
($m)
Comments
(2)
Contracts works insurance recovery336.7
Insurance recovery related to damage to NZICC/Horizon Hotel – required to be recognised as income as
SkyCity is principal in insurance relationship
Liquidated damages for Nelson St
car park access
10.3
Damages provided in NZICC Building Works Contract for tunnel closure from date of fire to 20
December 2019
Other insurance recoveries37.5
Other recoveries for business interruption, initial site clearance costs and other assets destroyed
(e.g. ICT)
NZICC fire related income384.5Amount included in Income Statement
Write-off of capitalised WIP193.9Write-off of WIP PP&E asset – insurance event treated as disposal of damaged asset
Release of Deferred Licence Value
liability
(165.8)Part of Deferred Licence Value liability released to offset write-off of disposed asset
Obligation to reinstate NZICC car parks43.0Cost to reinstate 600 NZICC car parks already sold under finance lease to Macquarie Principal Finance
Amount payable to contractor/other36.9Contractor costs for site clearance work to date plus non-recoverable costs
NZICC fire related costs108.1Amount included in Income Statement
Net gain in Income Statement276.4NZICC fire related income less costs (per above)
Less: Other(7.0)
Minimum excess on business interruption insurance and compensation payment to Macquarie
Principal Finance associated with Auckland car park concession
EBITDA adjustment for NZICC fire
impacts
269.4Adjustment consistent with SkyCity’s “Non-GAAP Financial Information Policy”
(1)Estimates of the NZICC fire impacts are based on current assessments and may change materially as further information becomesavailable
(2)See note 6 in the FY20financial statements for more details

FY20FY19Movement
$m$m$m%
Reported Revenue1,125.0822.3302.736.8%
Expenses(776.7)(524.5)(252.2)(48.1%)
Reported EBITDA348.3297.850.516.9%
Depreciation & Amortisation(86.6)(79.9)(6.7)(8.3%)
Reported EBIT261.7217.843.920.2%
Net Interest(28.6)(10.2)(18.4)(180.5%)
Reported NPBT233.1207.625.512.3%
Tax2.2(46.8)49.0104.6%
Profitfrom Continuing Operations235.3160.874.546.3%
Profit from Discontinued Operations
(1)
0.1(16.2)16.3100.7%
ReportedNPAT235.4144.690.862.8%
Reported EPS
35.4cps21.4cps14.0ps65.5%
FY20 Result – Reported
40
(1) FY19 Reported NPAT includes profit from Darwin operations recognised prior to sale (FY20 profit from discontinued operations relates to deposit received on potential sale of Little Mindil)

FY20FY19Movement
$m$m$m%
Normalised Revenue (incl Gaming GST)779.51,029.8(250.3)(24.3%)
Gaming GST(72.8)(101.4)28.528.1%
Normalised Revenue706.7928.4(221.8)(23.9%)
Expenses(506.0)(606.2)100.216.5%
Normalised EBITDA200.7322.2(121.5)(37.7%)
Depreciation & Amortisation(86.6)(79.9)(6.7)(8.3%)
Normalised EBIT114.2242.4(128.2)(52.9%)
Net Interest(21.1)(10.5)(10.6)(100.9%)
Normalised NPBT93.0231.8(138.8)(59.9%)
Tax(26.8)(67.2)40.460.1%
Normalised NPAT
66.3
164.6(98.3)(59.7%)
Normalised EPS
10.0cps24.4cps(14.4cps)(59.0%)
FY20 Result – Normalised
(1)
41
(1) Darwin has been excluded from normalised results to aid comparability vs. pcp

FY20FY19Movement
$m$m%
Revenue
Gaming Machines
230.8271.0(14.8%)
Tables
128.0163.3(21.6%)
Gaming Revenue (incl GST)
358.8434.4(17.4%)
Non-Gaming Revenue
138.5172.3(19.6%)
Total Normalised Revenue
(incl gaming GST) (excl IB)
497.3606.7(18.0%)
Gaming GST
(46.4)(56.3)17.5%
Total Normalised Revenue
(excl gaming GST) (excl IB)
450.9550.4(18.1%)
Expenses
(257.0)(282.5)9.0%
Normalised EBITDA (excl IB)
193.9267.9(27.6%)
EBITDA Margin (excl IB)
39.0%44.1%
Depreciation & Amortisation
(46.1)(47.4)2.8%
EBIT (excl IB)
147.8220.5(32.9%)
Normalised EBITDA (incl IB)
198.6303.3(34.5%)
SkyCity Auckland
Robustperformancedespitesignificantexternalfactors
impactingthebusiness
GoodmomentumpriortoNZICCfireandimpactof
Covid-19
•Recordlocalgamingactivityfor8monthsto
29February2020
Positiveperformancepostre-openinginmid-May2020
priortosecondclosure
•Gamingled-recovery,particularlyfrompremium
customers
•StrongEGMperformance,despitereducedcapacity
andlimitedmarketingandpromotionalactivity
•Non-gamingbusinessesperformedsatisfactorily,
particularlyhotels
Propertyre -openedon31August2020following
secondclosure
•Around$7minfixedoperatingcostsincurredduring
closureperiod
42

FY20FY19Movement
$m$m%
Revenue
Gaming Machines
41.444.5(6.8%)
Tables
8.48.9(6.1%)
Gaming Revenue (incl GST)
49.853.4(6.7%)
Non-Gaming Revenue
9.08.47.1%
Total Normalised Revenue
(incl gaming GST) (excl IB)
58.861.8(4.8%)
Gaming GST(6.5)(7.0)6.7%
Total Revenue
(excl gaming GST) (excl IB)
52.354.8(4.6%)
Expenses(27.9)(27.9)0.2%
EBITDA (excl IB)24.426.9(9.5%)
EBITDA Margin (excl IB)41.5%43.6%
Depreciation & Amortisation(4.4)(4.4)1.0%
EBIT (excl IB)20.022.5(11.2%)
Normalised EBITDA (incl IB)24.427.2(10.3%)
SkyCity Hamilton
SolidperformancedespiteimpactofCovid-19
•EBITDAonlyslightlydownonpcpona like-for-like
basis
(1)
•Recordlocalgamingactivityin8monthsto
29February2020
•StrongEGMactivity,despitebeingcapacity
constrainedduringpeakperiods
Strongperformancepostre -openingfrommid-May
2020
•EGMrevenueabovepre-Covid-19levels
(2)
•NewEGMproductandimprovedfloorlayoutwell
received(includingincreasedcapacityonsmoking
decks)
GamblingCommissiondeclinedapplicationtovary
licenceconditions(substitutingtableswithEGMs)but
intendtoconvert12ATGstoEGMs(whichis
permissible)
43
(1)$700k in costs associated with application to the Gambling Commission
(2)Average daily revenue of 8 months to 29 February 2020

FY20FY19Movement
$m$m%
Revenue
Gaming Machines
5.77.0(18.7%)
Tables
3.84.7(17.4%)
Gaming Revenue (incl GST)
9.511.6(18.2%)
Non-Gaming Revenue
1.61.58.9%
Total Normalised Revenue
(incl gaming GST) (excl IB)
11.113.1(15.1%)
Gaming GST(1.2)(1.5)17.9%
Total Revenue
(excl gaming GST) (excl IB)
9.911.6(14.8%)
Expenses(9.2)(9.3)0.4%
EBITDA (excl IB)0.72.3(71.8%)
EBITDA Margin (excl IB)5.9%17.9%
Depreciation & Amortisation(1.4)(1.0)(39.3%)
EBIT (excl IB)(0.7)1.4(152.9%)
Normalised EBITDA (incl IB)0.86.8(87.7%)
SkyCity Queenstown/Wharf Casino
ImpactofCovid-19oninternationalvisitorsto
Queenstownoffsetstronglocalgamingperformance
in1H20
WharfCasinoremainsclosed
PositiveEGMperformancepostopeningofSkyCity
Queenstownfrommid-May2020– strongdomestic
tourismactivityduringJuly2020
MinimalIBactivityduring2H20duetointernational
borderrestrictions
44

FY20FY19Movement
A$mA$m%
Revenue
Gaming Machines
38.351.4(25.6%)
Tables
56.977.5(26.5%)
Gaming Revenue (incl GST)95.2128.9(26.2%)
Non-Gaming Revenue
25.819.830.3%
Total Normalised Revenue
(incl gaming GST) (excl IB)
121.0148.7(18.7%)
Gaming GST
(8.7)(11.7)26.0%
Total Revenue
(excl gaming GST) (excl IB)
112.3137.1(18.0%)
Expenses
(101.1)(116.1)12.9%
EBITDA (excl IB)
11.220.9(46.3%)
EBITDA Margin (excl IB)9.3%14.1%
Depreciation & Amortisation
(18.1)(16.6)(8.7%)
EBIT (excl IB)
(6.9)4.4NA
Normalised EBITDA (incl IB)10.422.3(53.4%)
SkyCity Adelaide
Progressiveimprovementinperformancepriorto
disruptionfromCovid-19
•Stablelocalgamingactivityto29February2020−
casinovisitationupslightlyvs. pcp
•3-yearhighinEGMmarketshare(7.8%) achievedin
December2019
Propertyclosedfordurationof4Q20
•Majorityofstaffstood-down
•Progressedwithpropertymaintenanceandvarious
masterplanningprojectsinexistingbuilding
MinimalIBactivityduring2H20duetointernational
borderrestrictions
Tradingperformancesincere-openingaheadof
expectations– revenueduringJulyandAugust2020at
around80%ofpre-Covid-19levels
(1)
Focusedonoperationalreadinessplanforexpansion
45
(1)Average daily revenue of 8 months to 29 February 2020

FY20FY19MovementFY20FY19
$bn$bn%
TurnoverActual Win %
Auckland
3.911.3(65.2%)
Other NZ
0.61.6(63.1%)
Adelaide (A$)
(2)
1.31.023.3%
Total Turnover
5.814.1(58.6%)1.47%1.00%
Normalised Revenue ($m)
(1)
78.9190.5(58.6%)
Reported Revenue ($m)38.042.3(10.9%)
FY20FY19MovementFY20FY19
$m$m%
EBITDAMargin %
Auckland4.735.4(86.7%)
Other NZ0.74.8(85.8%)
Adelaide (A$)
(2)
(0.8)1.4NA
Total Normalised EBITDA
(1)
4.541.7(89.1%)5.8%21.8%
Total Reported EBITDA3.83.025.5%
International Business (1 of 2)
Significantlyweakervolumesandnormalisedearnings
vs. recordpcp
Weakerperformancedrivenby:
•ImpactofCovid-19onvisitationfromAsiafrom
January2020
•ClosureofinternationalborderfromlateMarch
2020
•Ongoingfixedoperatingcostsrequiredtosupport
businessdespitenorevenuegenerationduring
4Q20
FY20reportedEBITDAslightlyabovepcpdueto
higherwinrate(1. 47%vs. 1. 00%)offsettinglower
turnover
Retainedconservativeapproachtocredit,buthigher
baddebtsduetoCovid-19-relatedpaymentissues
SignificantfocusonKYC/AMLchecksforboth
prospectiveandexistingcustomers
46
(1)FY20 normalised results in IB adjusted for turnover at the actual win rate of 1.47% vs theoretical win rate of 1.35%, IFRS 15 (Revenue from Contracts with Customers) and Gaming
GST. Combined impact of adjustments on reported revenue of ($42.1m) and reported EBITDA of ($0.1m)
(2)Includes IB revenue (A$2m) and EBITDA (A$0.1m) attributable to Darwin prior to settlement of sale of the property in April 2019

International Business (2 of 2)
IB Turnover: FY10-FY20 ($bn)
IB turnover continues to be volatile and difficult to predict
FY20 performance impacted by external factors and one-off
demand shocks (i.e. Covid-19)
5-year average annual IB turnover of around $10bn (FY16-FY20)
Average win rate of 1.28% since FY10 (1.35% excl FY19), in-line with
theoretical win rate (1.35%)
Bet size and frequency of play can vary and cause win rate to
deviate from the theoretical over discrete periods
IB Win: FY10-FY20 (%)
47
1.28%
0.0%
0.5%
1.0%
1.5%
2.0%
2.5%
1H10
2H10
1H11
2H111H12
2H12
1H13
2H13
1H14
2H14
1H15
2H15
1H16
2H16
1H17
2H17
1H18
2H18
1H19
2H19
1H20
2H20
Win rate (%)Average win (%)
0
1
2
3
4
5
6
7
8
9
1H10
2H10
1H11
2H111H12
2H12
1H13
2H13
1H14
2H14
1H15
2H15
1H16
2H16
1H17
2H17
1H18
2H18
1H19
2H19
1H20
2H20
Turnover

The Grand by
SkyCity,
Auckland
SkyCity Hotel,
Auckland
Combined
Hotels
FY20 Operating KPIs
Number of rooms
316323639
Occupancy (%)
79%79%79%
Average room rate (excl GST) ($)
270216243
RevPAR ($)
214170192
RevPAR of local compset ($)
173
(1)
142
(1)
NA
FY20FY19Movement
$m$m%
Total Revenue (incl GST)
(2)
41.154.6(24.8%)
Expenses
(3)
(20.9)(22.5)7.3%
EBITDA
20.232.0(37.1%)
EBITDA Margin
(4)
49.1%58.7%
SkyCity Hotels Group
HotelsGroupestablishedduringFY20–ledby
BradBurnett
FocusedondeliveryofEosbySkyCityinAdelaideand
HorizonHotelinAuckland
•Longer-termdevelopmentopportunitiesonexisting
precinctscontinuetoberefinedbutmajordecisions
paused
Softerperformancein1H20furtherexacerbatedby
propertyclosuresduetoCovid-19
PositiveperformancefromHotelsGroupwhenopen
•Weekendpeaks,mid-weekrecovering
•Averageoccupancyforperiod1 Juneto11August
2020around50%
•ContinuetooutperformpeersinAucklandhotel
market
Hotelsremainimportanttointegratedoffering–
currentlyaround15%ofroomnightssoldare
complimentaryforgamingcustomers
48
(1)RevPAR of Auckland 5 Star (for The Grand by SkyCity) and 4 Star (for SkyCity Hotel) compset during FY20 (Source: STR)
(2)Revenue includes non-cash complimentary room nights
(3)Fully-costed standalone hotel expenses –excludes certain costs assumed for Hotels Group at time of 2019 Investor Day (ref. page83 of Investor Day presentation)
(4)Margins include hotel management services

NZ Online Casino
NZonlinecasinosuccessfullylaunchedinAugust2019
withGiGviaMalta-basedsubsidiary
Sequentialgrowthincustomerregistrations,first-time
depositors(actives)andgamingrevenueovertheperiod
despiteoperationalconstraints
•Over35kcustomerregistrationsasat31August2020
(with25kfromMarch2020)−broadgeographic
spreadofcustomersacrossNZ
•22kfirsttimedepositors(actives)asat31August2020
•EBITDApositiveeverymonthfromApril2020
•EBITDAmarginaround20%, in-linewithexpectations
BenefittedfromCovid-19lockdownsinNZduringApril
andMay2020
•Slightreductioningamingrevenuefollowing
re-openingofNZproperties
•IncreaseinactivityduringsecondclosureinAuckland
–around5knewcustomerregistrationsoverthe
period
49
FY20FY19Movement
Operating KPIs
Customer registrations
25,661-NA
First time depositors (actives)
15,855-NA
Deposit conversion (%)
62%-NA
Total bets ($m)
253.5-NA
FY20FY19Movement
$m
$m%
Gaming revenue10.2-NA
GiG costs and bonusing
(5.7)--
Gaming revenue (attributable to SkyCity)
4.5-NA
Expenses
(2.4)-NA
EBITDA (attributable to SkyCity)
2.2-NA
EBITDA Margin (vs. total gaming revenue)
20.7%--

SkyCity’sobjectiveofproducingnormalisedfinancialinformationistoprovidedatathatisusefultotheinvestmentcommunityinunderstanding
theunderlyingoperationsoftheGroup− theintentionis toprovideinformationwhich:
•IsrepresentativeofSkyCity’sunderlyingperformance(asa potentialindicatoroffutureperformance);
•Canbecomparedacrossyears; and
•CanassistwithcomparisonbetweenpubliclylistedcasinocompaniesinNZandAustralia
Thisobjectiveis achievedby:
•Eliminatinginherentvolatilityor“luck”factorfromIBwhichhasvariableturnoverandactualwin%fromperiodtoperiod;
•Eliminatingstructuraldifferencesinthebusinessbetweenperiods; and
•EliminatingknowndifferenttreatmentswithotherNZandAustralianpubliclylistedcasinocompanies
SkyCitybelievesthatbymakingtheseadjustmentstheusersofthefinancialinformationareabletounderstandtheunderlyingperformanceofthe
Groupandforma viewonfutureperformance
Forinternalpurposes,includingbudgetinganddeterminationofstaffincentives,normalisedresultsareused
Non-GAAPinformationis preparedinaccordancewitha Boardapproved“Non-GAAPFinancialInformationPolicy”andis reviewedbytheBoardat
eachreportingperiod
ApplicationofSkyCity’s“Non-GAAPFinancialInformationPolicy”is consistentwiththeapproachadoptedinFY19
Reported and Normalised Results (1 of 4)
50

Reported and Normalised Results (2 of 4)
51
AdjustmentDiscussion
Treat IB commissions as an expense rather than
reduction in revenue which reduces both reported
revenue and operating expenses within IB
(by $39.3m in FY20 and $80.3m in FY19)
ThisadjustmentaddsbackIBcommissions(treatedasareductionfromrevenueinthereportedresults)andincreasesbothrevenueand
expenses. ThisadjustmentdoesnotimpactEBITDA,EBITorNPAT
Thisadjustmenthasbeenmadetomaintaintherelationshipbetweenturnoverandthetheoreticalwinrateof1.35%whendetermining
normalisedrevenue
Add gaming GST to reported revenue
(by $73.4m in FY20 and $95.2m in FY19)
ReportedrevenueincludedwithinthefinancialstatementsoftheGroupexcludesGST
ThisadjustmentaddsbackGSTassociatedwithgamingsothatnormalisedrevenueequalstheamountbetbygamingcustomers
AllpubliclylistedNZandAustraliancasinocompaniesincludeGSTassociatedwithgamingwithintheirrevenueresults. IncludinggamingGST
withinreportedrevenueis notconsistentwithGAAPandSkyCitythereforedoesnotdoso
However,SkyCitydoesincludegamingGSTwithinitsnormalisedrevenue
ThisadjustmentdoesnotimpactEBITDA,EBITorNPAT
Apply theoretical win rate of 1.35% for IB vs. actual
win rate of 1.47% (FY20) and 1.00% (FY19)
ThisadjustmentrecalculatesgamingwinfromIBtothetheoreticalwinrate. ThevastmajorityofIBplayisbaccarat. Statistically,overthelong-
termthecasinoexpectstowin1.35%ofallbetstakenonbaccarat. However,inanyparticularreportingperiodtheactualresultsofplaywillvary
dependingon“luck”
The1.35%winrateis usedbyallpubliclylistedNZandAustraliancasinocompaniesinadditiontocasinocompaniesinAsiaandtheUnitedStates
Inordertounderstandthelong-termresultswithinIBthereis theneedtoeliminatetheinherentvolatilityor“luck”factor
Eliminate gain ($66.4m) arising from Auckland car
park concession sale (completed in August 2019)
and the FY19 gain ($17.4m) on sale of Federal St car
park (sold in April 2019)
TheFY20reportedresultsincludea significantgainrelatingtotheAucklandcarparkconcessionsalewhichsettledinAugust2019
TheFY19reportedresultsincludea significantgainrelatingtothesaleoftheFederalStcarparkwhichsettledinApril2019
Theadjustmentreversesthesegains

Reported and Normalised Results (3 of 4)
52
Adjustment
Discussion
Reverse impact of revaluation (reduction of
$14.1m) of Auckland investment properties (FY19
$3.2m)
SkyCityhasanumberofinvestmentpropertiesinAuckland. Inaccordancewiththeappropriateaccountingstandard,theseinvestment
propertieswillberevaluedbyanindependentexperteveryyearandthecarryingvalueadjustedwithintheGroup’sfinancialstatements
Thisadjustmentreversesthedeclineinvalueoftheseproperties
Therevaluationis non-cashandunrelatedtotheoperationsoftheGroup
ThisadjustmentwillbemadeeachyeartodeterminetheGroup’snormalisedresults
Eliminate net gain ($268.5m post-tax) arising
from impacts of NZICC fire
On22October2019, therewasa significantfireattheconstructionsiteoftheNewZealandInternationalConventionCentre(“NZICC”)inAuckland
ThisfirehascausedextensivedamagetotheNZICCandrelativelyminordamagetotheHorizonHotelwhichisbeingconstructedonthe
adjacentsite
Bothbuildingsareinsuredandallsignificantcostsassociatedwiththefireareexpectedtobefullycovered. Anycostsnotcoveredbyinsurance
areexpectedtobesoughtfromFletcherConstruction
ThefirehassignificantimplicationsforthefinancialstatementsfortheGroup– theseareexplainedfurtheronpage184andinSkyCity’sfinancial
statementswhichhavebeenreleasedtotheNZXandASX
Atthispointintimea fullassessmentofthedamageis notavailable,noris anagreedreconstructiontimeline. Asa result,thefinancialstatements
includeanumberofsignificantjudgementsandestimatestodeterminetheappropriateaccounting. Thesejudgementsandestimateswill
continuetobereviewedasnewinformationbecomesavailable
TheNZICCfire(andassociatedaccountingimpact)isa significant,one-offeventthathasimpactedthecomparabilityoftheFY20resultwiththe
prioryear
Labour restructure ($13.5m) and funding plan
costs ($5.4m post-tax)
AspartofitsresponsetoCovid-19, SkyCityundertooka labourrestructureinNZandimplementeda newfundingplan
Thisadjustmenteliminatesthecostsassociatedwiththoseactions
Deferred tax liability reversal ($24.1m)
AspartofitsresponsetoCovid-19, theNZGovernmentreinstatedtaxdepreciationforcommercialproperties,thisresultedinanon-cash
accountingreductionintheFY20taxexpense
Thisadjustmenteliminatesthisone-offreductiontotaxexpense

Reported and Normalised Results (4 of 4)
53
AdjustmentExplanation
SkyCity Adelaide licence impairment (A$150m)
InthecurrentyeartheGrouphasimpairedtheSkyCityAdelaidecasinolicencebyA$150m($160.6 m)
TheimpairmenthasarisenduetorevisedexpectationsregardingthetimeframeforSkyCityAdelaidetoachieveitslong-termpotentialearnings
followingcompletionoftheexpansionproject. ThereducedearningsoutlookforSkyCityAdelaidehasbeenexacerbatedinthe
short-to-mediumtermbytherecentandexpectedongoingimpactsofCovid-19, includinganexpectationthatIBactivitymaytakesomeyears
torecover
Thisadjustmenteliminatesthisnon-cashexpense
Eliminate significant tax events (net $9.5m
decrease to normalised NPAT) (FY19 only)
During FY19, SkyCity had a number of significant tax events which have impacted the reported effective tax rate
ATO tax review
As part of the Australian Tax Office’s (ATO) Streamlined Assurance Review of SkyCity’s Australian operations, SkyCity and theATO agreed to settle
differences of opinion on the treatment of certain financing arrangements. As a result of this settlement, SkyCity made a A$3.5m payment to the
ATO. This payment relates to historical items only and does not change SkyCity’s future tax payments or tax expense
Auckland car park concession sale deferred tax
The deferred tax consequences of the Auckland car park concession sale were recognised in FY19, this was a $11.5m reduction in tax expense
Share of partnership expenditure – tax election
In the current year, SkyCity made a NZ tax election for the SkyCity Australian Limited Partnership. This resulted in a one-off benefit of $1.9m in the
FY19 tax expense
Summary
This adjustment eliminates the net reduction (from the above items) in tax expense for the purpose of the normalised results
Eliminate Darwin operations from normalised
results (FY19 only)
DuringFY19, SkyCitysolditsDarwinoperations
DarwinhasbeenfullyexcludedfromFY19normalisedresultstoenableappropriatecomparisonswithFY20

Disclaimer
Allinformationincludedinthispresentationis providedasat3 September2020
Thispresentationincludesa numberofforward-lookingstatements.Forward-lookingstatements,by
theirnature,involveinherentrisksanduncertainties. Manyofthoserisksanduncertaintiesarematters
whicharebeyondSkyCity’scontrolandcouldcauseactualresultstodifferfromthosepredicted.
Variationscouldeitherbemateriallypositiveormateriallynegative
Thispresentationhasnottakenintoaccountanyparticularinvestorsinvestmentobjectivesorother
circumstances.InvestorsareencouragedtomakeanindependentassessmentofSkyCity
54

---

Annual Report
Year Ended 30 June 2020

ANNUAL MEETING
Due to the ongoing impacts of COVID-19, the 2020 SkyCity Annual Meeting will be held virtually via
an online platform on 16 October 2020 commencing at 1.00pm (New Zealand time). Instructions and
further details on how shareholders can participate in the virtual Annual Meeting will be included in
the Notice of Meeting.
GENERAL
4 Chair’s Review
6 Chief Executive Officer’s Review
9 About this Annual Report
10 Year in Review
12
Creating Value
16 Performance
18 Diversity Snapshot
21 Group Strategy
29 About SkyCity
31 Auckland
34
Hamilton
37
A
delaide
39 Queenstown
41 International Business
43 Online
45 Risk Profile and Management
53

Our Board
56

Our Senior Leadership T
eam
SUSTAINABILITY
63
Sustainability
69
Our Customers
79 Our People
93 Our Communities
101
Our Suppliers
111 Our Environment
120

Independent Limit
ed Assurance Statement
CORPORATE GOVERNANCE STATEMENT
AND OTHER DISCLOSURES
123 Corporate Governance Statement
134
Remuneration Report
145 Shareholder and Bondholder Information
148 Directors’ Disclosures
149 Company Disclosures
FINANCIAL STATEMENTS
156 Independent Auditor’s Report
164 Income Statement
165 Statement of Comprehensive Income
166

Balanc
e Sheet
168
Stat
ement of Changes in Equity
169 Statement of Cash Flows
170 Notes to the Financial Statements
224 RECONCILIATION OF NORMALISED RESULTS
TO REPORTED RESULTS
228
GRI C
ONTENT INDEX
232
GLOSS
ARY
233
DIRECT
ORY
Contents
3

Chair’s Review
The 2020 financial year was a tough one for SkyCity
and its stakeholders. The external events which
impacted the year are well known and the financial
performance of the company reflects those events.
It also reflects a great deal of skill, energy and
support from our stakeholders across the board
to react to those events. We have maintained a
strong asset, people, and capital base and barring
further negative external events SkyCity will recover
and grow.
The accounting and financial report on a year with
these shock events is inevitably complex. In this
report, and in our wider commentary on the
business, we endeavour to provide clear information
and guidance to enable investors and other
stakeholders to genuinely understand the past,
current and future of SkyCity.
The key events of the year, though well known to all
readers of this annual report, may be summarised
for the record as:
•

the ongoing dela
y to completion of the
New Zealand International Convention
Centre and Horizon Hotel project was deeply
exacerbated
by the fire. The immediate impact
of the fire was effectively managed by our
people, as was the return to operations across
the Auckland site. The reestablishment of work
and a path to completion have also been difficult
tasks with effective progress made;
•
COVID-19 halted our business at every location.
Our people have effectively managed operations
during restrictive periods and with greater
operating freedom when pandemic regulations
allowed. But our operations and results across
the Group will continue to reflect a more difficult
environment for some time;
•
we have had no option, despite much
appreciated Government support for our people
during the COVID-19 crisis, but to substantively
restructure our business to meet this more
difficult environment;
•

in the c
ourse of this, we have prudently
restructured our funding, including raising new
equity to manage ongoing commitments and
operating risk;
• the important SkyCity Adelaide expansion
project has moved towards substantive
completion effectively within the planned time
and budget. While this is an impressive facility, its
economic performance will not meet the original
expectations when it was launched in 2018.
Accordingly, we have been required to impair the
investment to reflect a realistic current value; and
• we have successfully launched an online casino
business which is already a good contributor
to the Group financially and provides a good
base for participation in this growing part of the
casino business globally.
Obviously from such a momentous year there are
learnings. For the SkyCity Board, the important
immediate learnings are:
•
to recognise the resilience of the core gaming
business in each area where we hold a licence
and to ensure that we maintain our presence,
quality of service, financial control and host
responsibility/harm management processes
at the highest level;
SkyCity Entertainment Group Annual Report Year Ended 30 June 2020
4

• the importance of maintaining a strong balance
sheet and operating the business to provide
sustainable returns to investors;
• to keep a strong focus on disciplined capital
allocation and not to make allocations which do
not fully reflect an appropriate return adjusted
for the risks involved; and
•

t
o conduct the business holistically within the
terms of the sustainability framework for SkyCity
which is detailed elsewhere in this annual report.
A few comments on the outlook for the current
financial year, comments which must reflect a high
degree of uncertainty given the global environment:
• SkyCity can operate under current trading
conditions, but at present we do not have
an operating model which can optimise the
business to previous levels without a recovery
in the economy and international tourism,
including our International Business and
convention travel. So, while on our current
outlook we can expect continuity and some
growth, there is something of a holding position
across several aspects of our business; and
• this means that, in this period, the SkyCity Board
and management are fully directed towards
efficient completion of committed projects,
improving the quality and efficiency of operating
our existing facilities, and being well prepared
equally to react to further adverse external events
and to take any genuine opportunities which
arise in the markets where we are present.
I wish to thank my fellow directors for their
assiduous
attention to their duties over this difficult
time, our management t
eam for their skill and
commitment in meeting some most unusual
challenges with aplomb, our people working in the
business (including those who have had to leave in
the restructuring) for what they have contributed
to keeping us all going and able to continue with
confidence, and to our external stakeholders for
responding supportively. Finally, to those vital
people who make it all work – our customers in
the casinos in person or online, in our hotels and
meeting rooms, in our restaurants, bars, Sky Tower
and other facilities – our warm appreciation and
ongoing welcome.
Rob Campbell
Chair, SkyCity Entertainment Group
GENERAL
5
Chair's Review

Chief Executive Officer’s Review
The year under review has been extremely complex
and challenging for SkyCity. It commenced with
good momentum with our operations trading at
record levels (at a revenue level) until October 2019,
when a significant fire broke out on the roof of
the New Zealand International Convention Centre
site. Fire and emergency crews battled over several
days to bring the fire under control with the fire
causing significant disruption to the Auckland
CBD, including an unprecedented three-day
closure of the entire SkyCity Auckland precinct.
The SkyCity Board and management team were
still focused on dealing with the impacts of the fire
when the COVID-19 pandemic emerged in early
2020, culminating in the mandated closure of
SkyCity’s properties in New Zealand and Adelaide
on 23 March 2020 following announcements by the
New Zealand and Australian Governments.
We were able to reopen our New Zealand properties
on 14 May 2020 (with the exception of Wharf Casino
in Queenstown which currently remains closed),
albeit initially with reduced operating hours and
subject to restrictions on mass gatherings and
physical distancing requirements. Our Adelaide
property was able to reopen on 29 June 2020
as part of the South Australian Government’s
three-stage approach to easing the COVID-19
restrictions. Then, from 12–30 August 2020,
our Auckland casino and entertainment facilities
were closed again and physical distancing and
hygiene requirements were reinstated at our
Hamilton and Queenstown properties when the
COVID-19 Alert Level increased to Alert Level 3
in Auckland and to Alert Level 2 for the rest of
New Zealand following a new outbreak in the
Auckland community.
An
unprecedented number of significant strategic
decisions and actions have had to be taken to
mitigate the impacts of these events:
•

signific
ant operational effort has gone into
closing and reopening our properties with
rigorous health and saf
ety measures in place;
•

w
e rapidly restructured our New Zealand
workforce, downsizing it by around 25% to
ensure SkyCity is positioned to be sustainable as
a smaller domestically focused business; and
•
we executed a capital raising and debt
restructure to ensure that SkyCity has sufficient
liquidity and funding capacity.
These actions mean that SkyCity is well positioned
to deal with the foreseeable future. We have also
been aided by Government responses in the form
of wage subsidies and other assistance measures.
Our core domestic gaming business is resilient and
has returned to being cash positive and profitable.
T
he other aspects of our business that are more
reliant on international visitors (including VIP
gaming, hotels and restaurants) will clearly only fully
recover when country borders reopen. Our domestic
businesses have recovered more quickly than
anticipated when open and, if we can sustain this,
the business is not under threat and can wait it out
until the world recovers.
Fortunately, development work on the
SkyCity Adelaide expansion and hotel projects
and associated master planning projects was
able to continue over the period – these projects
continue to progress very well and remain
on-budget and on-time, with the SkyCity Adelaide
expansion and Eos by SkyCity, the new 120-room
luxury hotel, due to open before the end of 2020.
Work recommenced in late May 2020 on the
New Zealand International Convention Centre and
Horizon Hotel projects following the move to Alert
Level 3 of the COVID-19 Alert system in New Zealand
and we now expect Horizon Hotel to be delivered
during 2021 and the New Zealand International
Convention Centre to be completed during 2023.
The capital raising announced in June 2020 ensures
that our major construction projects remain fully
funded and that we are also able to continue with
smaller projects that will enhance operations.
The $230 million equity raising was well supported
and underpinned the restructure of our debt
facilities, enabling us to obtain covenant relief
through to 30 June 2021, securing extensions to
bank facilities due to mature in that period and
SkyCity Entertainment Group Annual Report Year Ended 30 June 2020
6

additional debt facilities. We now have “buffer”
facilities of liquidity available to draw down should
the COVID-19 situation worsen, but at present this
is not required. Dividends are currently suspended,
but this will be reviewed against market and
trading conditions during the financial year ending
30 June 2021.
A positive feature of the year has been the launch of
SkyCity Online Casino, which operates out of Malta
but provides an attractive online entertainment
offering to New Zealanders. This business ramped
up significantly from March 2020 and has now
grown into a profitable operation despite the
very low key and conservative approach taken in
comparison to other offshore online businesses
targeting New Zealanders. We observed a slight
reduction in online gaming revenue following
the reopening of the New Zealand properties in
May 2020, but saw an increase in activity during
the recent closure in Auckland in August 2020
with customer registrations currently over 35,000.
We continue to prepare for a regulated online
industry in New Zealand and are supportive of
Government initiatives in this regard.
The
result for the financial year ended 30 June 2020
is complicated by strategic actions taken in
2019 and 2020, the New Zealand International
Convention Centre fire and COVID-19 related
issues. Comparability between the FY19 and FY20
periods is impacted by COVID-19 related property
closures and the sale of the long term concession
over the SkyCity Auckland car parks (completed in
early FY20). In determining normalised earnings
relative to reported earnings, various adjustments
have been made, including the New Zealand
International Convention Centre fire impact,
a number of COVID-19 related adjustments and a
A$150 million impairment of the SkyCity Adelaide
casino licence.
Our domestic businesses have been performing
stronger than expectations when open in
New Zealand and South Australia, although the
outlook remains unpredictable as we adjust to
new social and economic settings. We reasonably
expect that, in the short to medium term, weaker
economies, lower personal disposable income
and changed entertainment habits, as well as
longer term travel restrictions, will result in SkyCity
being a smaller, domestically focused business.
International Business should recover once travel
restrictions are lifted, but the parts of our business
driven by corporate travel and by tourism, such
as our hotels and the Sky Tower, will take longer
to recover.
SkyCity’s strategic plan is focused on managing
the post COVID-19 recovery and completing
its major projects in Adelaide and Auckland,
which will underpin medium term earnings and
cash
flow growth.
We are also able to continue with the many initiatives
that we have underway under our sustainability
pillars. Minimising harm to our customers remains
our core focus and we have made a number of
investments into technology over the past year,
significantly
improving the tools that we have. We

will be in
vesting further into digital technology to
improve our customer experience. We have the
challenge of rebuilding employee culture after the
significant restructure and we are very focused

on that as w
ell as furthering initiatives relating to
workplace
flexibility and diversity. We have made
good progress in refocusing our SkyCity Community
Trusts in New Zealand on initiatives that will enhance
the employability, wellbeing and advancement of
youth and we have upweighted strategies to ensure
our supply chain is ethical and supports local business.
We have followed through on our commitment to go
carbon neutral in Australia as planned (having gone
neutral in New Zealand last year) and we are well
advanced with solutions to reduce waste to landfill.
The COVID-19 crisis has reinforced how important
business profitability is as an underpin to any
sustainability initiatives – something that perhaps we
took for granted historically, but have now included
as a critical element of being sustainable in the short
and long term.
The
past financial year has been incredibly

challenging and stressf
ul for the entire SkyCity family.
We have had to make some significant, tough

decisions t
o ensure that our business survives and
continues to provide a great place to work and
precincts enjoyed by thousands of our customers.
The Board has been intimately involved with the
executive team in making these decisions, but we
would not be as well positioned were it not for the
enormous amount of hard work and effort made by
the wider teams at corporate and property levels.
The energy, selfless commitment and willingness

t
o keep stepping up the effort to deal with multiple
challenges is a humbling reflection of the company

culture and I w
ould like to thank everyone for their
unwavering support in these unprecedented times.
Graeme Stephens
Chief Executive Officer
GENERAL
7
Chief Executive Officer's Review

SkyCity is investing A$330 million to transform SkyCity Adelaide into a world-class entertainment hub
– the new 12-storey building features a sweeping, curved golden façade, a luxury 120-room hotel, restaurants
and bars, conference and event facilities, a spa and wellness centre and expanded gaming experiences.

About this Annual Report
This annual report is a review of SkyCity
Entertainment Group Limited (SkyCity or the
company and, together with its subsidiaries,
the Group) and its subsidiary companies’
performance for the financial year ended
30 June 2020. Where appropriate, information
is also provided in relation to activities that
have occurred after 30 June 2020, but prior to
publication of this annual report.
This annual report has been prepared in accordance
with the Listing Rules and Corporate Governance
Code of NZX Limited, the New Zealand Companies
Act 1993 and the New Zealand Financial Markets
Conduct Act 2013 and (although SkyCity is not
required to comply with ASX Listing Rule 4.10,
which requires entities to include certain prescribed
information in their annual reports, as it has a
‘Foreign Exempt Listing’ status on ASX Limited)
substantially reflects the Listing Rules of ASX
Limited and the Corporate Governance Principles
and Recommendations (Fourth Edition) of the ASX
Corporate Governance Council.
This annual report has also been prepared with
due consideration of the International Integrated
Reporting Council’s International Integrated
Reporting Framework. Integrated reporting
applies principles and concepts that are focused
on
bringing greater cohesion and efficiency to
the reporting process and adopting ‘integrated
thinking’ as a way of breaking down internal silos
and reducing duplication.
The non-financial information in this annual
report has been informed by the principles and
disclosures of the Global Reporting Initiative’s (GRI)
Sustainability Reporting Standards. Ernst & Young
has undertaken limited assurance (in accordance
with the International Standard on Assurance
Engagements (New Zealand)) over disclosures
associated with selected performance data
included in the Sustainability section included in
this annual report. A GRI reference index based
on the GRI Sustainability Reporting Standards is
included on pages 228–231 of this annual report.
The
financial statements have been prepared
in ac
cordance with the International Financial
Reporting Standards. This annual report
includes
both reported and normalised financial
information. Our objective in providing normalised
financial information is to provide data that is useful
to the investment community in understanding
the underlying operations of the SkyCity Group
– the intention being to provide information
which is representative of SkyCity’s underlying
performance (as a potential indicator of future
performance), can be compared across years and
can assist with comparison between publicly listed
casino companies in New Zealand and Australia.
This objective is achieved by:
•

eliminating the inherent v
olatility (or 'luck' factor)
from International Business, which has variable
turnover and actual win percentage period
to period;
•
eliminating structur
al differences in the business
between periods; and
• eliminating known different treatments with
other New Zealand and Australian publicly listed
casino companies.
Normalised numbers are a non-GAAP financial
measure. A reconciliation of reported and
normalised earnings and a description of the
differences are provided on pages 224–227 of this
annual report.
Certain totals, subtotals and percentages stated in
this annual report may not agree throughout due
to rounding.
Unless otherwise stated, all dollar amounts in this
annual report are expressed in New Zealand dollars.
An electronic copy of this annual report is available
in the Investor Centre section of the company’s
website at www.skycityentertainmentgroup.com.
This annual report is dated 3 September 2020 and
is signed on behalf of the SkyCity Board by:
Rob Campbell
Chair
Bruce Carter
Deputy Chair
GENERAL
9

2019
• Rollout of a refreshed
SkyCity brand and logo
across the New Zealand
properties – with the new
logo reflecting the sum
of many parts of SkyCity’s
business and paying
homage to the stars of the
Southern Hemisphere
JULY
• A significant fire broke
out on the roof of the
New Zealand International
Convention Centre (under
construction) resulting in
significant disruption to
the Auckland CBD,
a three-day closure of the
SkyCity Auckland precinct
and significant delay to the
completion dates for the
New Zealand International
Convention Centre and
adjacent Horizon Hotel
OCTOBER
• C onstruction commenced
on the All Blacks Experience,
an exciting new venture
between New Zealand Rugby
and Ngāi Tahu Tourism, in
the Federal Street precinct at
SkyCity Auckland
•
Six SkyCity Auckland restaurants
included in the prestigious
Cuisine Good Food Awards list
for 2019 in New Zealand. The Grill
was also awarded two hats and
Depot, Gusto at the Grand and
MASU by Nic Watt were each
awarded one hat
•
SkyCity Entertainment
Group named a finalist in the
Most Improved Performance
category in the 2019 Deloitte
Top 200 Awards
NOVEMBER
• New external LED lightbulbs
installed on the Sky Tower,
supporting SkyCity’s climate
change commitment to
reduce carbon emissions
from lighting the Sky Tower
by 10%
•

Sk
yCity joined the
New Zealand Government’s
Energy Efficiency and
Conservation Authority’s
Gen Less programme, which
empowers New Zealand
businesses and individuals
to live a climate-friendly
lifestyle by lowering energy
consumption
DECEMBERAUGUST
• SkyCity Online Casino
launched in partnership
with international
iGaming company Gaming
Innovation Group Inc
•
Sale of long term concession
over SkyCity Auckland car
parks completed
•
Launched new customer
websites, and new apps
for customers and SkyCity
Premier Rewards members,
in New Zealand
SEPTEMBER
• SkyCity announced as
the ‘Official Hotels and
Entertainment Partner’
for the Emirates Team
New Zealand defence of
the 36th America’s Cup
in March 2021
Year in Review
10

2020
• T he Guardsman, a new
bar and restaurant,
opened at SkyCity
Adelaide following a
A$6 million restoration
of the Adelaide Railway
Station’s former Great
Dining Hall. The new
venue pays homage to
the Railway Station’s rich
heritage and features a
grand central bar, open
kitchen and a coffee front
JANUARY
• Changes implemented
in response to COVID-19,
including significantly
reducing capital expenditure
and minimising operating
costs, including an
immediate restructure of
the management team and
salaried employee base in
New Zealand
•

Eos b
y SkyCity announced
as the name of the new
120-room luxury hotel being
developed as part of the
A$330 million SkyCity Adelaide
expansion project, with the
first guests expected to be
welcomed in late 2020
APRIL
• T he SkyCity Auckland,
Hamilton and Queenstown
properties (excluding
Wharf Casino) reopened on
14 May 2020 following the
New Zealand Government’s
decision to move to
Alert Level 2
•
SkyCity moved forward
to further reduce its
New Zealand workforce and
commenced consultation
on a proposal to reduce its
rostered (waged) staff due
to the expected significant
impact of COVID-19 on its
operating environment and
financial outlook
MAY
• Launched a $230 million equity raising
as part of a comprehensive funding
plan to strengthen SkyCity’s balance
sheet in response to uncertainty around
the impacts of COVID-19. In conjunction
with the equity raising, SkyCity also
secured the support of existing lenders by
way of covenant waivers/relief, extensions
to $170 million of upcoming debt
maturities and $160 million in
additional debt facilities
•

S&P Global Ratings af
firmed SkyCity
Entertainment Group Limited’s long term
issuer credit rating and its debt issue
ratings as BBB- (Negative Outlook)
•
Restructure of the rostered (waged)
workforce in New Zealand completed
•

A
warded a Silver Award in the 2020
Australasian Reporting Awards and a
Silver Award in the 2020 Australasian
Sustainability Reporting Awards for
SkyCity’s 2019 annual report
•

Sk
yCity Adelaide reopened on
29 June 2020 as part of the South
Australian Government’s three-stage
approach to easing the COVID-19
restrictions
JUNEFEBRUARY
• Fundraising activities
across the Auckland,
Adelaide and Hamilton
properties raised over
$55,000 for the South
Australia Country Fire
Service Foundation to
acknowledge and
support the devastating
Australian bushfires
MARCH
• C ompleted a $5.5 million
refurbishment of EIGHT, a
VIP table game area, and a
$6 million refurbishment of
our International Business
'Horizon' gaming suites
in Auckland
•
All SkyCity properties closed
on 23 March 2020 following
announcements by the
Australian and New Zealand
Governments mandating
their immediate closure in
response to COVID-19
GENERAL
11

FY20 REVENUE BY BUSINESS ACTIVITY
Our Business
Creating Value
HOSPITALITY
GAMING
HOTELSSKY TOWER
328
metres tall
635
hotel rooms
19
restaurants
5 land-based
casino licences
3,204
electronic gaming
machines
273
table games
307
automated table games
14
bars
3,817staff
5 properties across New Zealand and Australia
As at 30 June 2020
1 online casino
ReportedNormalised
%%
Local Gaming71%67%
International Business6%10%
Hotel & Conventions7%6%
Food & Beverage12%10%
Other4%7%
12

$
125.5 million
in taxes to Governments
(including GST, gaming tax and
income tax)
$
295.8 million
in remuneration and benefits
to staff
$
66.4 million
of dividends declared in relation
to FY20 period for shareholders
$
10.4 million
in community contributions,
levies and sponsorships
$
204.5 million
to suppliers
$
347 million
of capital invested
$
41.4 million
in interest paid to lenders
FY20 Outputs & Financial Results
FY20 revenue and annual visitation
GAMING
$
496.0 million
including online
(reported)
$
601.3 million*
including online
(normalised)
1.9million
HOSPITALITY
$
76.8 million3.5
HOTELS
$
34.6million158,377
SKY TOWER
$
14.9 million410,321
*Includes gaming GST.
** Calculated by reference to customers who used their SkyCity Premier Rewards cards to game, where one visit records
a customer's patronage on a day irrespective of how many times they used their card on that day.
visits
visits from loyalty card members
to our land-based casinos**
million restaurant/bar covers
rooms occupied
GENERAL
13

Our sustainability vision recognises that, to be a sustainable business, we must
be a responsible business actively protecting and promoting the people we
serve and the places we share, whilst creating value for our shareholders.
SkyCity’s sustainability initiatives are therefore focused on doing good for our
customers, our employees, our communities, our suppliers, our environment
and our shareholders.
OUR CUSTOMERS
Significant investment in additional
host responsibility measures to improve
our ability to detect excluded persons
and continuous play, including the
introduction of facial recognition
technology across all SkyCity land-based
casinos, which has led to a significant
increase in the detection of excluded
persons returning to a SkyCity casino in
breach of their exclusion orders during
the period.

43 cameras
installed across SkyCity casinos for
facial recognition during FY20

1,757 customers
identified in breach of their exclusion
orders during FY20
FY19 – 874
As at 30 June 2020
21,327 customers
have downloaded the new SkyCity app
(launched in August 2019)
OUR PEOPLE
Establishment of a $1 million SkyCity
Employee Hardship Fund, from funds
contributed by the Senior Leadership Team
and other senior executives across the
business via voluntary salary reductions
and voluntary contributions by other staff
members, to assist employees impacted by
COVID-19.

Downsized our New Zealand workforce
by around
25%
in response to COVID-19
ZERO
fatalities or serious injuries
8% reduction
in Total Recordable Incident Frequency
Rate (TRIFR) from FY19 baseline
72% increase
in hazard identification reports from
FY19 baseline
FY20 Outcomes & Impacts
SkyCity’s sustainability strategy is linked to seven of the 17 United Nations Sustainable Development Goals
(a set of goals to end poverty, protect the planet, and ensure prosperity for all as part of a new sustainable
development agenda) – Good Health and Well-being (Goal 3), Quality Education (Goal 4), Gender Equality
(Goal 5), Decent Work and Economic Growth (Goal 8), Responsible Consumption and Production (Goal 12),
Climate Action (Goal 13) and Partnerships to Achieve the Goal (Goal 17).
A full description of the Sustainable Development Goals is available at www.un.org/sustainabledevelopment.
SkyCity recognises that, for the Goals to be achieved, everyone needs to do their part and business and
industry play an important role. We are committed to playing our part in helping to achieve the Goals.
SkyCity Entertainment Group Annual Report Year Ended 30 June 2020
14

OUR COMMUNITIES
Contributed a total of $3.7 million to the
four New Zealand SkyCity Community
Trusts for distribution to communities in
the Auckland, Waikato, and Queenstown
Lakes regions. In addition to company tax,
SkyCity paid over $33 million in gaming tax
and problem gaming levies derived from
SkyCity's gaming operations.


$
3.7 million
paid to the SkyCity Community Trusts
FY19 – $4 million
$
33.1 million
paid in gaming taxes and
problem gaming levies
FY19 – $43.1 million
OUR SUPPLIERS
SkyCity has approximately 800 key ongoing
significant suppliers across the SkyCity Group,
with a substantial number of these being in
the food and beverage sector.

Over
$
530 million
paid to suppliers of goods and services
during FY20 (including capital expenditure)
FY19 – over $450 million
OUR ENVIRONMENT
SkyCity was among the first major
New Zealand companies to go carbon
neutral and was certified carbonzero
by Toitū Envirocare in New Zealand in
October 2019 having paid $86,000 to offset
the equivalent of 12,866 tonnes of carbon
(measured in FY19).
The carbon credits purchased through Toitū
Envirocare are generated by international
projects, which will fund 48,000 solar
household cookers for rural communities in
China and help build wind farm capacity in
India to replace fossil fuel alternatives.

Certified carbonzero in New Zealand by
offsetting in FY20 the equivalent of
12,866 tonnes CO2e
15,137 tonnes CO2e
total carbon footprint
FY19 – 19,093 tonnes CO2e
Sky Tower lighting upgraded
to LED resulting in a
10% energy saving
OUR SHAREHOLDERS

10 cents
total dividend per share (fully imputed)
FY19 – 20 cents per share

FTSE Russell (the trading name of FTSE International Limited and Frank Russell Company) has
confirmed that SkyCity Entertainment Group has been independently assessed according to
the FTSE4Good criteria, and has satisfied the requirements to become a constituent of the
FTSE4Good Inde
x Series.
Created by the global index provider FTSE Russell, the FTSE4Good Index Series is designed
to measure the performance of companies demonstrating strong Environmental, Social and
Governance (ESG) practices. The FTSE4Good indices are used by a wide variety of market
participants to create and assess responsible investment funds and other products.
GENERAL
15Creating Value

Performance
FY20 Highlights
SkyCity’s financial result for the financial year ended 30 June 2020 has been significantly impacted by the
New Zealand International Convention Centre fire and COVID-19 pandemic that emerged in New Zealand
and Australia in early 2020, with normalised EBITDA and NPAT for the Group for the period to 30 June 2020
negatively impacted but at the top-end of the guidance range provided at the time of our equity raising in
June 2020.
Our reported results were up significantly over the prior year however due to accounting for the
New Zealand International Convention Centre fire and the gain from the sale of the long term concession of
the SkyCity Auckland car park, partially offset by a A$150 million impairment of the Adelaide casino licence.
Pleasingly, our domestic business (which has historically accounted for over 85% of Group EBITDA) has
demonstrated its resilience and traded well ahead of expectations when open and fully operational
following the property closures in March 2020.
The key features of the FY20 result are:
10 cents per share
35,000
customer registrations
DIVIDEND
Interim dividend* (fully imputed) of
SKYCITY ONLINE CASINO
Over
EQUITY RAISING
$
235.4 million
Reported
$
230 million
equity raising launched in June 2020 and successfully completed during June and July 2020
$
348.3 million
Reported
$
66.3 million
Normalised
$
200.7 million
Normalised
EBITDA
N PAT
SkyCity Online Casino has grown rapidly since its launch in August 2019 despite operational constraints,
with significant growth in its customer base over the period – with over 35,000 customer registrations as
at 31 August 2020 – and the business being profitable since April 2020
*AfinaldividendwasnotdeclaredforFY20duetorestrictionsinthecovenantwaivers/reliefsecuredaspartofthefundingplanannouncedby
thecompanyinJune2020.
SkyCity Entertainment Group Annual Report Year Ended 30 June 2020
16

Our Performance History
Earnings Per Share (EPS) and Dividend Per Share (DPS)
0.0
5.0
10.0
15.0
20.0
Cents per share
25.0
30.0
35.0
FY15FY16FY17FY18FY19FY20
22.9
22.0
20.0
25.5
24.3
21.0
25.4
25.3
20.0
25.6
21.4
20.0
10.0
35.4
10.0
23.4
6.8
20.0
Group EBITDA
0.0
50
FY15FY16FY17FY18FY19FY20
100
150
200
$ million
250
300
350
305
304
330
334
338
310
343
298
201
348
320
307
Group Revenue
0
200
FY15FY16FY17FY18FY19FY20
400
600
800
$ million
1,000
1,200
1,008
867
1,084
919
1,101
816
1,119
822
780
1,125
1,029
878
Enterprise Value
0.0
500
1,000
1,500
2,000
$ million
2,500
3,000
3,500
FY15FY16FY17FY18FY19FY20
643
3,110
2,467
348
3,357
3,009
447
3,196
2,749
488
3,036
2,548
541
2,308
1,767
349
3,072
2,723
NetDebt
(2)
EquityV alue
(1)
(1)Basedonthesharepriceandnumberofsharesonissueasat30Juneineachfinancialyear.
(2)
Gross
hedgeddebtlesscashatbankasat30Juneineachfinancialyear.
*This
is a summation of the first six lines on the face of the Income Statement.
Note: FY19 and prior year results include the Darwin operations.
Reported
Normalised
Reported
Normalised
(IncludinggamingGST)
DeclaredDPS
ReportedEPS
NormalisedEPS
*
GENERAL
17Performance

identifyasbeinga
member
ofthe
LGBTTI+
community
SkyCity is a major employer with over 3,800 staff. We employ a diverse range of people
at all skill levels and aim to create an environment where people are at the centre,
are motivated to work hard, progress in their careers and are empowered to grow
and achieve.
The following graphic shows the diverse makeup of our workforce as at 30 June 2020 and, where relevant,
as a comparison against our workforce numbers as at 30 June 2019.
FY19 – 6%
3,817
(full-time,part-time
and
c asual)
STAFF
FY19 – 5,031

Diversity Snapshot
6
%
ofourworkforce
are
36yearsold
and
u nder
FY19 – 59%
58
%
identifyashaving
a
di sability
FY19 – 1%
1
%
averageageof
our
w orkforce
FY19 – 35 YEARS
36
YEARS
Mandarin
Tagalog
(Philippines)
Hindi
different
languages
57
ageofouroldest
staff
m ember
FY19 – 83 YEARS
79
YEARS
Top3
non-English

languages:
S
taffspeak/writein
SkyCity Entertainment Group Annual Report Year Ended 30 June 2020
18

womenmen
ofleadershiproles
h
eldbywomen
genderdiverse
Top10ethnicities*
staffidentifywith:
Chinese17%
15%
11%
11%
8%
7%
6%
6%
3%
2%
NewZealander
Indian
Australian
Māori
OtherAsian
Filipino
European
Samoan
Other

E
uropean
*Givenasapercentageofthosestaff
memberswhoprovideddetails
about
theirethnicity.
FY19 – 48.8%
FY19
40.8%
28.8%
18.8%
11.5%0.1%
FY19 – 51.1%
FY19 – 0.1%
FY19 – 38%
AGE
Millennials(24–36years)38.4%
GenerationX(37–53years )31.4%
GenerationZ(<23years)19.2%
BabyBoomers(54–75years )10.9%
Veterans(76–93years )
0.
1%
GENERAL
The gender composition of SkyCity’s directors, officers, senior executives and total workforce as at 30 June 2020
and, comparatively as at 30 June 2019, is set out below:
FemaleMale
2020Number%Number%Total
Directors240%360%5
Officers343%457%7
Senior Executives440%660%10
Total Workforce1,83248%1,98052%3,812
FemaleMale
2019Number%Number%Total
Directors233%467%6
Officers338%562%8
Senior Executives436%764%11
Total Workforce2,45649%2,56951%5,025
In the above tables:
•

‘o
fficers’ are the Chief Executive Officer and those directly reporting to the Chief Executive Officer, other than the Executive Assistant;
• ‘senior executives’ are, with the exception of the Chief Executive Officer, those who hold a strategic position (as determined by the
People and Culture Committee from time to time) and are noted as a ’senior executive’ in the SkyCity Board Charter; and
•

the ‘t
otal workforce’ number does not include those who identify as gender diverse and those who elected not to identify as being
female, male or gender diverse.
39
%
1
%
48
%
51
%
19
Diversity Snapshot

Communities
need good
businesses
By creating value for others,
we create value for SkyCity.

Group Strategy
In 2018, we announced a refreshed
Group medium term strategy which
has a clear focus on the creation of
both sustainable shareholder returns
and enhanced social and sustainability
initiatives critical to the long term
viability and success of SkyCity.
Key considerations when setting the strategy in
2018 were:
• profitability of our business is roughly 80%
from New Zealand and 20% from Australia.
Shareholders are comfortable with the relatively
low country risk and regulatory environments
that these jurisdictions offer and we are likely
to remain focused on this region for the
foreseeable future;
•

our business is predominantly gaming-led,
with roughly 80% currently c
oming from the
casino component. The long term, exclusive
nature of our land-based casino licences
provides a solid underpin to the risk profile of
the business. W
e have strategically evaluated
our existing casino licences to ensure we are
maximising the potential within them and have
identified further opportunity for growth;
•

there are unlik
ely to be many (if any) new
land-based casino licence opportunities in our
jurisdictions of operation, so growth (other than
organic growth) will have to come from other
lines of business. The balance of our business
essentially derives from hotels and restaurants.
Our restaurants are relatively low margin and
exist primarily to service our gaming, hotel
and conventions customers and to ensure
that our destinations remain relevant in their
communities. Our hotels are higher margin
businesses and there is an opportunity to scale
up our portfolio and expertise;
•

w
e are cognisant of a strategic need to
remain abreast of developments in the online
and digital space and, where appropriate,
to ensure that we take up opportunities that
will ensure we continue to offer a relevant form
of entertainment;
•

a re
view of our existing precincts to ensure that
we are maximising opportunities has highlighted
areas of potential investment into premium
gaming spaces, hotels (as highlighted above) and
entertainment to ensure our destinations remain
relevant to customer demand. Where necessary,
we are prepared to acquire property to ensure
we are future-proofed;
• we have two major projects in progress which
still require significant investment to complete
over the next few years. While we are very
comfortable with our ability to service and
repay the debt funding for these projects,
we currently have limited debt capacity for
other expansionary projects or initiatives in the
short term. Any funding requirements for new
initiatives will be raised through sale of non-core
assets and/or partnering using a “capital lighter”
approach; and
•

the relativ
ely high dividend yield that SkyCity
offers is valued by shareholders and should be
preserved and recognised when looking at any
future funding requirements.
Despite the challenges presented by the COVID-19
global pandemic, SkyCity’s Group strategy
remains relevant today with an immediate focus
on managing the post COVID-19 recovery and
completing the major projects in Adelaide and
Auckland which will underpin medium term
earnings
and cash flow growth. The investments
w
e make generate wide-ranging benefits for
our c
ommunities and through the New Zealand
International Convention Centre and Horizon Hotel
project in Auckland, plus the casino expansion and
‘Eos by SkyCity’ hotel development in Adelaide,
we will support the economic and tourism
recoveries in both communities.
Given the uncertainty still facing the business
however, it is unlikely that any large, new,
capital intensive developments will be advanced.
The balance sheet capacity and liquidity buffers will
be preserved to protect against possible trading
downside scenarios and potential future COVID-19
related closures. Consequently, hotel development
and property master planning and development
initiatives are currently on hold although still
continue to be refined.
SkyCity has historically delivered a relatively
high dividend yield for shareholders – however,
dividends are currently suspended due to covenant
waivers/relief secured as part of the funding plan
announced in June 2020. SkyCity will be reviewing
its dividend policy over the coming months with the
aim of resuming dividend payments later in 2021.
GENERAL
21

Our Vision
Our Character &
Culture Goals
To be the leader in gaming, entertainment
and hospitality in our communities
Offer a great
and safe
place to work
Always put
customers
first
Be responsible
leaders in our
communities
Our Business Goals
Improve
our operating
performance
Optimise
our existing
portfolio
Grow and
diversify our
business
SkyCity Entertainment Group Annual Report Year Ended 30 June 2020
22

This section provides a summary of SkyCity’s
performance and strategic positioning to create
value during the financial year ended 30 June 2020
and our priorities for the year ahead.
FY20 Performance –
Our Business Goals
Improve our Operating Performance
During the year in review, SkyCity faced significant
challenges arising from the fire at the New Zealand
International Convention Centre and the impacts
of COVID-19. We were able to move quickly to right
size our operations for our expected future demand
environment and to stand up our operations
on reopening. Following implementation of the
labour restructure in New Zealand during the
period, SkyCity expects to deliver $50 million in
annualised cost savings and a more flexible and
resilient operating model going forward to be able
to effectively manage an uncertain domestic and
international environment.
The
benefits of investment in new gaming
product, product management and changes
t
o floor layout continue to be realised across
the Group, particularly in A
uckland, as is our
ongoing investment in premium/VIP gaming.
SkyCity continues to leverage complementary assets
to drive gaming visitation (ie. hotels, car parking and
casino food and beverage) and focus on targeted
and tactical marketing as a cost-effective tool for
driving profitable visitation. The strong performance
o
f our gaming machine business when open post
property closures has been particularly pleasing
given its importance to Group earnings and value.
We continue to make good progress on our ICT
investment and digital capability. We have delivered
significant change to critical ICT infrastructure and
are now at a point where we can focus on initiatives
to enhance the customer experience, centred
around web and mobile, customer relationship
management and data analytics.
Optimise our Existing Portfolio
We have progressed a number of key initiatives
to optimise our existing portfolio over the year
in review.
Excellent progress has been made on the
SkyCity Adelaide expansion project during
the year. The project is progressing well and is
due to open before the end of 2020. In addition,
the
significant master planning works for the existing

SkyCity Adelaide business within the Railway Station
building remain on track to complete in time for
the expansion opening. We expect to open the
facilities in a staged manner, reflecting customer
demand, with a focus initially on local and interstate
customers (given expected ongoing international
border closures). Significant focus is being given to
preparing SkyCity Adelaide for operationalisation to
ensure a smooth handover and ensure we can hit
the ground running from opening. We are currently
in the process of hiring up to 700 new employees
who will be required when the expansion is fully
operational and expect to implement new regulatory
reforms (banknote acceptors, ticket-in ticket-out
(TITO) technology on the main gaming floor and a
multi-protocol gaming system) from October 2020,
following completion of the South Australian
Government’s regulatory review. Walker Corporation,
which is developing Festival Plaza and a 1,500-space
car park (adjacent to SkyCity Adelaide), is progressing
satisfactorily, but slightly behind schedule, and we
now expect the car park to be handed over towards
the end of FY21. SkyCity still expects to deliver the
project in-line with its A$330 million budget and
that the project will transform SkyCity Adelaide
into a world-class entertainment complex. As
previously
flagged, SkyCity has booked a A$150

million impairment o
f SkyCity Adelaide’s carrying
value due to the revised timeframe to achieve long
term potential earnings post expansion, exacerbated
by the impact of COVID-19 – this is a non-cash item
which reduces intangible asset value (casino licence)
and does not impact debt covenant calculations.
The fire at the New Zealand International
Convention Centre (NZICC) site during
October 2019, coupled with disruptions to
construction activity as a consequence of COVID-19
restrictions, has resulted in further significant
delays to the project. At this stage, we expect
Horizon Hotel to be completed during 2021 and the
NZICC during 2023, with the possibility of hosting
conferences by late 2023 or early 2024. We expect
the 600 car parks damaged by the fire to be
returned by the end of FY21 and the balance of the
car parks (650 spaces) alongside completion of the
NZICC. Despite the impacts of the fire and COVID-19
on the project timetable and delivery, we remain
comfortable with our contractual position –
Fletcher Construction is required to complete
the project and, during May 2020, we secured
a two-year extension to the long stop date to
complete the NZICC (to 2 January 2025) with the
New Zealand Government.
GENERAL
23
Group Strategy

As previously reported, appropriate project
insurance is responding to the NZICC and
Horizon Hotel reinstatement, with the first tranche
of the insurance proceeds (totalling $105 million)
received. We expect the total cost to reinstate the
NZICC and Horizon Hotel to be fully covered by
insurance and, accordingly, there are no changes
to previous guidance for the total project costs to
SkyCity (of around $750 million). Whilst the further
delays on the project are regrettable, the long term
investment thesis for the project remains intact –
the NZICC will support long term growth in tourism
expenditure and be a significant demand driver
for our Auckland precinct, in addition to having
secured an exclusive casino licence for our key
property out to 2048.
Beyond the major projects, master planning
and development opportunities in Auckland,
Hamilton and Queenstown continue to be refined

– ho
wever, major decisions are currently paused
due to COVID-19, balance sheet constraints for the
foreseeable future and an uncertain outlook for
our tourism-related businesses. Significant long

t
erm option value remains embedded in our
Auckland precinct (including 2,500sqm of land
able to be developed) and a potential hotel
opportunity in Hamilton, whilst currently 'on hold', is
a complementary asset which would support long
term growth of the property. We continue to evaluate
future options for our Queenstown properties given
their reliance on VIP gaming and international
tourists. A range of other smaller projects were
completed during the year in review – most notably,
the major refurbishment and expansion of premium
gaming facilities in Auckland and upgrades to
Marble Hall and associated facilities at SkyCity
Adelaide, which included the opening of The
Guardsman, a South Australian themed restaurant
and bar in the historic Railway Station building.
We are continuing to progress further opportunities
to release capital from property assets and
restructure over the medium term, which includes
exploring an internal restructuring of our operations
and property assets. A potential opportunity exists
to establish standalone funding structures and
unlock unrecognised value in property assets
(with an estimated fair value of $2 billion of land
and buildings owned as at 30 June 2020) – with
our intention to separately report our operations
and property assets once the internal restructure
is complete. We continue to evaluate the potential
sale of certain non-core assets, such as the
AA Centre (SkyCity HQ) in Auckland once current
building works and leasing are completed.
SkyCity remains focused on effective capital
discipline and, following announcement of our
funding plan which included a $230 million equity
raising successfully executed during June and
July 2020, our balance sheet is in a strong position
to deliver on our medium term strategic plan.
Following
the equity raising, we have sufficient
liquidity to fund our major projects in Adelaide and
Auckland and to respond to a range of downside
scenarios, including a longer and more protracted
recovery in New Zealand and Australia and/or
further COVID-19 disruptions. Our balance sheet
capacity for future growth projects and/or capital
management will be reviewed when we are no
longer in reliance on covenant waivers/relief secured
as part of the funding plan and the domestic and
international environment becomes more certain.
We remain committed to our BBB- (negative
outlook) credit rating which S&P Global Ratings
re-affirmed following the equity raising and well
positioned to raise further debt capital if required
in the future.
Grow and Diversify our Business
We launched SkyCity Online Casino, an offshore
online casino, in August 2019 with Gaming
Innovation Group (GiG) via a Malta-based
subsidiary. The site, which offers high quality host
responsibility and a brand name New Zealanders
can trust, has seen strong growth during FY20 with
over 25,000 customer registrations by year-end
(over 35,000 as at the end of August 2020) and
the
business trading profitably from April 2020.
GiG provides SkyCity with a full-suite online casino
solution, which includes a technical platform,
gaming content, managed services and front-end
development. SkyCity supports future regulation
of the New Zealand online casino market,
including introducing an appropriate licensing
SkyCity Entertainment Group Annual Report Year Ended 30 June 2020
24

regime for operators and imposing taxes and
host responsibility requirements. Following a
public consultation commenced during 2019, the
Department of Internal Affairs (the New Zealand
gambling regulator) is developing a policy
framework for potential regulation. While ultimately
a regulated online gaming market in New Zealand
remains the preferred solution for SkyCity, the
launch of SkyCity Online Casino is an important
step on the journey of pursuing opportunities to
grow and diversify our earnings, addressing a fast
growing industry which is highly complementary to
our land-based activities and offering customers a
multi-channel gaming experience.
SkyCity’s strategy for growing its hotel business
remains focused on the successful delivery of
Eos by SkyCity and the Horizon Hotel in Auckland
over the next 12–18 months. Longer term hotel
development opportunities on existing precincts
continue to be refined, but major decisions are
currently paused due t
o COVID-19.
As an entertainment and hospitality provider,
SkyCity is challenged to stay relevant in relation
to new forms of entertainment. In addition to
our foray into online gaming, by late 2020, the
existing SkyCity Auckland Convention Centre will
become home to the All Blacks Experience and
Weta Workshop, both providing unique, interactive
customer experiences. Federal Street will become
Auckland’s leading entertainment zone ensuring
the long term relevance of our precinct and appeal
to a broad range of demographics.
SkyCity also continues to monitor and evaluate
regional merger and acquisition opportunities in its
industry, noting that inorganic growth opportunities
are likely to emerge as a consequence of the impact
of COVID-19 on the casino industry and both the
domestic and global economies.
FY20 Performance – Our
Character and Culture Goals
At SkyCity, we need to continually focus on
protecting and enhancing our social licence to
operate. Following good progress during FY18
and FY19, we have continued to invest in key
sustainability initiatives, particularly in the areas
of diversity and inclusion. We continue to actively
promote women into leadership positions and
are proud of the gender and cultural diversity we
have across the business. We are also committed to
providing safe, fun and progressive environments
for our customers, suppliers and staff. We continue
to deliver on our Group health and safety strategy,
which is centred around preventing harm and
building awareness, particularly in response to
the risks posed by COVID-19 in our communities.
We remain focused on youth development and
supporting our most vulnerable staff. We continue
to meaningfully reduce our gender pay gap
across the New Zealand businesses and the final
instalment of our ‘$20 by 2020’ wage initiative is
scheduled to be implemented in New Zealand by
the end of 2020.
Being a responsible member of our community
remains a key aspect of our sustainability
framework and Group strategic plan. In the year in
review, we achieved carbon neutral status across our
New Zealand operations, launched allocations for
our employee-led SkyCity Green Fund (which will
invest in projects globally to offset emissions) and
implemented initiatives to reduce waste to landfill
and water usage. We have refocused the SkyCity
Community Trusts to ensure targeted allocations
and contributions go to those causes most worthy
within our communities. The establishment of the
SkyCity Employee Hardship Fund in April 2020,
totalling $1 million, has assisted staff facing financial
difficulties as a consequence of the impacts of
COVID-19.
At SkyCity, we are proud of, and rely on, our
culture of compliance, which encourages people
to focus on doing the right thing by themselves,
their teammates, the company and stakeholders.
To
ensure our future success across various financial,
social and human capitals, it is important to
continue conducting our business holistically within
the terms of our sustainability framework.
GENERAL
25
Group Strategy

Outlook for FY21
Assuming there is no adverse change to the
current COVID-19 outlook in New Zealand and
South Australia, we expect Group normalised
EBITDA to be above FY20, but still below
pre-COVID-19 and FY19 levels.
We expect the domestic businesses to continue to
perform well when open (although we remain well
prepared for the possibility of further closures), but
are planning for negligible International Business
and international tourism activity due to ongoing
international border closures. At a property/unit level:
•

A
uckland performance is expected to return to
trends observed prior to the second property
closure in August 2020, driven by a resilient
domestic gaming performance and cost savings,
offset by weaker performance from non-gaming
businesses;
•
Hamilt
on is expected to deliver good
performance versus the prior comparable period
– predominantly domestic business underpinned
by positive gaming machine activity and
cost savings;
•
Queenstown is expected to be adversely
impacted by continuing international
border restrictions;
•

the A
delaide expansion is expected to open in
phases during FY21 (depending on the operating
environment due to COVID-19) and we expect
EBITDA to be broadly consistent with FY19 levels;
•
negligible Int
ernational Business turnover
is expected, with fixed operating costs for
Int
ernational Business of around $750,000 per
month; and
• SkyCity Online Casino is expected to deliver a
more meaningful contribution.
SkyCity’s dividend policy is to be reviewed during
1H21. We are not currently able to pay an interim
dividend due to reliance on covenant waiver/relief
(for the December 2020 testing period) secured as
part of the funding plan announced in June 2020,
but are expecting to pay a final dividend for FY21
in September or October 2021 if there are no
significant adverse changes to the current COVID-19
status in New Zealand and South Australia.
Our Business GoalsFY21 Priorities
Improve our
operating
performance
•
Manage C
OVID-19 recovery following reopening of properties
• Maintain a flexible operating model to respond to COVID-19 restrictions
•

Increased f
ocus on customer experience management (CXM) and data analytics
• Continue growth in core Auckland gaming business
• Implement new information and communications technology (ICT) systems,
including data management, Internet Protocol television (IPTV) and
facial recognition
•
Continue to pursue operating efficiencies and cost savings
Optimise our
existing portfolio
•

C
omplete SkyCity Adelaide expansion project by the end of 2020 and
leverage benefits
•
Manage reinstatement of the New Zealand International Convention Centre and
Horizon Hotel project following the fire and impacts of COVID-19
• Enhance Auckland main gaming floor customer experience, including new bar
and food court
• Enhance Auckland VIP gaming experience, including launching BLACK – a new
gaming area for our VIP customers
•
Re
fine development opportunities in Auckland, Hamilton and Queenstown
•

Explore pot
ential sale of non-core assets, such as the AA Centre (SkyCity HQ)
in Auckland
SkyCity Entertainment Group Annual Report Year Ended 30 June 2020
26

Our Business GoalsFY21 Priorities
Grow and diversify
our business
• Progress opportunity to address online casino market in New Zealand
•

Monit
or and evaluate regional merger and acquisition opportunities in
our industry
•
Support opening o
f new entertainment attractions, All Blacks Experience and
Weta Workshop, in Auckland
Our Character and
Culture Goals
FY21 Priorities
Offer a great and
safe place to work
• Focus on maintaining staff resilience, morale and motivation
• Maintain a cohesive management team focused on strengthening the
SkyCity culture
• Continuous improvement in health and safety performance
•

C
ontinue to promote awareness of mental health risks
•
Zero w
ork-related fatalities on our sites and/or sites where SkyCity has primary
control or management responsibilities
•
Deliv
er employment opportunities for youth through our Project Nikau
programme
•

Maintain labour pr
actices commensurate with an employer of choice
•
Undertak
e safety engagement activities that promote active and visible
safety leadership
Always put
customers first
• Maintain best practice host responsibility standards across all properties
•

Enhanc
e our facial recognition systems
•
Build f
oundations for a new customer data platform to provide more relevant
insights and communications
•

C
ontinue to improve the performance of the SkyCity Premier Rewards loyalty
programme and customer experiences across each property
Be responsible
leaders in our
communities
•
Maintain leading position on div
ersity and inclusion through active engagement
on issues and with stakeholder groups
• Measure and reduce SkyCity’s carbon footprint and retain carbon neutral status
•

Suc
cessfully allocate funds from the SkyCity Employee Hardship Fund to support
staff impacted by COVID-19
•

C
ommence allocations to projects nominated by the employee-led SkyCity
Green Fund
•

Implement
initiatives to reduce waste to landfill and water usage
GENERAL
27
Group Strategy

Delivering
memorable
entertainment
experiences

About SkyCity
SkyCity is New Zealand’s largest tourism, leisure and entertainment company and is
dual listed on the New Zealand and Australian stock exchanges.
As one of three major publicly listed casino
operators in Australasia, SkyCity operates integrated
entertainment complexes in New Zealand
(in Auckland, Hamilton and Queenstown) and in
Adelaide, Australia – each featuring casino gaming
facilities and premium restaurants and bars,
which appeal to both domestic and international
visitors alike.
SkyCity also offers award-winning hotel
accommodation in Auckland at The Grand
by SkyCity and SkyCity Hotel. SkyCity’s hotel
offering will shortly be complemented by Eos by
SkyCity, a new 120-room luxury hotel due to open
in Adelaide, South Australia, before the end of 2020
and Horizon Hotel, a new 300-room 5-star hotel
now expected to be completed in Auckland during
2021 (having been impacted by the significant fire
that broke out at the New Zealand International
Convention Centre in October 2019 and the
COVID-19 pandemic).
In August 2019, SkyCity launched SkyCity Online
Casino, an offshore online gaming business for
New Zealanders, as a logical extension of its
land-based casino operations. Whilst the business is
still very much in its infancy, SkyCity is encouraged
by SkyCity Online Casino’s performance since
launch. As at 31 August 2020, there were over
35,000 registered SkyCity Online Casino customers.
SkyCity employs over 3,800 staff across its
operations in New Zealand and Australia across
more than 180 job types, with around 2,500 staff
based
at its flagship property in Auckland.
SkyCity Adelaide
SkyCity Queenstown
and SkyCity Wharf
SkyCity Hamilton
SkyCity Auckland &
Group Head Office
SkyCity Online Casino
Malta
GENERAL
29