SkyCity Adelaide is under lock and key after another COIVD-19 related round of restrictions in South Australia. Its doors slammed shut on November 19 and remain so for at least six days.
SkyCity Adelaide closed in response to new COVID-19 related restrictions the South Australian Government announced. A new cluster of COVID-19 infections is blighting the state, forcing non-essential businesses to close yet again.
Adelaide plays a major role in SkyCity’s revenue and profit streams. Results in September showed SkyCity Adelaide brought in $165.67 million. This figure is 18.7% less than the previous year thanks to the previous COVID-19 closures. Pokies revenue fell 25.6% with tables games dropping 26.5%. The company is hopeful these figures return to their previous impressive levels.
The casino’s parent company, SkyCity Entertainment, is listed on New Zealand’s Exchange. Its directors announced the temporary closure of SkyCity Adelaide via a press release.
“SkyCity Entertainment Group Limited advises that, from midnight tonight, it will be closing its Adelaide casino and entertainment facilities following the announcement made by the South Australian Government earlier today that a range of new state-wide COVID-19 restrictions will be implemented in response to a new COVID-19 cluster in Adelaide.”
”SkyCity Adelaide is currently expected to remain closed for the following six days until midnight on 24 November 2020.”
The company’s directors hope to reopen on November 24. This isn’t a concrete date because reopening is dependant on whether or not the COVID-19 cases fall.
SkyCity Adelaide Expansion Put On Hold
The new restrictions have no effect on SkyCity’s New Zealand properties. Its casino in Auckland, Hamilton, and Queenstown are operating as usual. They remain open at Alert Level 1 in New Zealand.
The same statement to the NZX revealed more SkyCity Adelaide news. The new restrictions have delayed SkyCity opening the new $330 million SkyCity Adelaide expansion. Doors should have opened in late November but that 100% isn’t happening now.
Not opening the expansion is a blow to the company but customer and staff safety is paramount. The expansion includes 120-rooms, restaurants, a wellness centre with spa, pool, and gym. There’s a bar with 360-degree views also.
Prices for the basic rooms start at $420. It is a new strategy for SkyCity as they look to acquire more affluent customers. Forty suites are available, as is a two-bedroom villa that takes up one-quarter of an entire floor. The villa doesn’t come cheap, however. Staying in its luxurious setting costs $5,000 per night.
Parent Company Reshuffles Its Pack
SkyCity Entertainment is reshuffling its pack with several changes to its Board of Directors.
Graeme Stephens retires from his position of Chief Executive Officer (CEO) on November 30, 2020. Stephens isn’t completely leaving the company, however. He remains in a support role for the new CEO.
Michael Ahearne is the company’s new CEO. SkyCity Entertainment promoted from within; Ahearne was the company’s Chief Operating Officer.
The SkyCity Adelaide casino won’t see two key directors after they stepped down from their respective roles. Rob Hamilton resigned from his Chief Financial Officer (CFO) role. He leaves the company on 26 February 2021.
Liza McNally is another high-profile casualty. McNally stepped down from her role as Chief Marketing Officer and leaves the company on March 31, 2021.
Chairman Speaks Highly of the New CEO
Chairman Rob Campbell spoke highly of Aherne, the incoming CEO.
“It is especially pleasing SkyCity had such a strong internal candidate to assume the CEO role. Michael is currently SkyCity’s COO and, in that role, has successfully overseen SkyCity’s operations across New Zealand and Australia since December 2017 and launched SkyCity Online Casino in August 2019. He has significant global experience in the gaming industry across both land-based and online casinos, which will be beneficial in leading the company through its next phase.”