The Star Entertainment Group (SGR) investor relations material

Executive summary

• H1 FY26 normalised revenue was $584.9 million, down 10% year-over-year, mainly due to regulatory changes and the closure of Treasury Brisbane Casino.

• Net loss after tax for the half year ended 31 December 2025 was $109.7 million, a significant improvement from a loss of $301.9 million in the prior comparative period.

• EBITDA loss improved 71% to $7.6 million, reflecting lower corporate costs and increased operator fee from The Star Brisbane.

• Cost-out initiatives and strategic investments, including a $300M convertible note from Bally's and Investment Holdings, were completed.

• Liquidity and refinancing remain priorities, with covenant waivers secured and a non-binding refinancing term sheet executed with WhiteHawk Capital Partners.

Financial highlights

• Group revenue declined 10% to $584.9 million compared to H1 FY25.

• EBITDA (before significant items) was a loss of $7.6 million, a 71% improvement year-over-year.

• Statutory NPAT was a loss of $109.7 million, a 64% improvement from H1 FY25.

• Operating expenses decreased 11.2% to $463.6 million.

• Net debt reduced to $110 million as of December 2025.

Outlook and guidance

• Revenue growth initiatives and further cost reductions are expected to support medium-term earnings improvement.

• Successful refinancing and restoration of casino licences are critical to ongoing operations.

• Future developments depend on resolving trading and liquidity issues, the AUSTRAC proceeding, and execution of remediation activities.

• The Group is working towards refinancing its debt and expects to execute a new facility by mid-May 2026.