The interim shutdown dates for SkyCity's Auckland casino have been confirmed.

As part of a licence suspension settlement in New Zealand, SkyCity Entertainment Group's land-based casino in Auckland will close from 9th September to the 13th.
Earnings for SkyCity in FY25
A settlement pertaining to SkyCity's Auckland facility was reached last month with the New Zealand department of internal affairs (DIA). The gambling part of the venue will be closed for five days in a row, as previously agreed.

According to SkyCity's announcement today (2 August), the gaming area and food and beverage outlets in this sector will be closed for a duration of one month next month. The rest of the SkyCity Auckland complex will keep operating as usual.

An individual who was a customer of SkyCity Auckland lodged a complaint with the DIA in February 2022, marking the beginning of this case. The period from August 2017 to February 2021 in question was characterised by noncompliance with regulations pertaining to responsible gambling.

As part of the investigation, questions were voiced over the feasibility of monitoring the casino in real time. Therefore, in September 2023, the secretary of internal affairs sought to temporarily revoke the casino licensing of SCML, a SkyCity subsidiary.

A five-day closure period was finally agreed upon last month, settling the case. This is anticipated to have a negative impact on SkyCity's underlying group EBITDA in their FY2025 profits, resulting in a loss of around £2.3m, €2.8m, or $3.0m.

CEO of SkyCity: We were not up to par
In response to the announced shutdown dates, Jason Walbridge, CEO of SkyCity, reaffirmed the company's admission of fault. He went on to say that the operator is always trying to make their systems better.

"We have accepted responsibility for the failures that led to the closure," Walbridge stated, representing SkyCity. In this circumstance, we fell short of what was required of us.

Although there is always room for improvement, the SkyCity Group has made great strides in recent years towards better risk management. Our dedication to putting our clients' needs first has not wavered, and we are far along in our journey.

"We are cognisant of the fact that there are substantial duties and commitments that accompany the honour of possessing a casino licence."

Can you tell me what SkyCity has done to make the future safer?
The steps that SkyCity took to improve risk management began in 2021 with the commencement of a multi-year transformation initiative. Among these measures is the formation of a specialised risk and compliance committee and the appointment of additional directors with extensive expertise in this area.

A group chief risk officer was also appointed, and internal and external auditing capacities were enhanced. Along with plans to roll out card-playing in Australian casinos, it has also promised to do the same in New Zealand by the middle of 2025.

Not only that, but in April, SkyCity announced a leadership transition, with the seasoned Walbridge taking over as CEO. Following Michael Ahearne's departure from the organisation, Walbridge decided to join in.

The DIA took note of these endeavours during the settlement talks last month.

What is Responsible Gambling?

Every type of gambling should adhere to the principles of the Gambling Act and be performed securely and responsibly in order for it to be pleasurable but never detrimental to an individual or their family. This is the general idea behind responsible gambling. Although it may have a good time and entertaining form of entertainment, gambling can also have bad effects if it is not properly controlled by the player or the promoter. Consumers should always be informed of the odds or possibilities of winning, all the terms and conditions, and should be urged to play only with an amount they can afford and find pleasurable.