The December 2017 half year results are expected to be consistent with the trading update provided to the market at the Annual General Meeting on 25 November 2017. The AGM update covered the first four months of the period. Group revenue and EBITDA has continued at approximately the same run rate for the final two months of the period.
Group revenue is expected to be in the range of $43-44 million, with EBITDA in the range of $19-20 million. Statutory net profit after tax (before impairment) is expected to be in the range of $9-$9.5 million. These are preliminary figures, prior to completion of audit review.
Last year’s half year statutory NPAT of $14.8 million did not include the management fee payable to the Thai vendor of the Star Vegas property. The half year management fee of $7.1 million was treated as a contingent liability in the December 2016 accounts. There is no management fee payable this year, or in future years. Adjusting for the management fee, profitability is expected to improve, from $7.7 million last year, to $9-9.5 million this year.
The statutory NPAT figures should also be adjusted by non-recurring items, to show the underlying NPAT result. Last year’s result included non-recurring items (warrant amortisation and revaluation, and exchange rate losses) with a net negative impact of ($2.9 million). This years’ result is expected to include non-recurring items (warrant revaluation, and exchange rate gains), with a net positive impact of $1 million, before the non-cash impairment charge discussed below.
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