Australian gaming operator The Star saw a slight increase in revenue for its financial 2Q26, ended December 31st, 2025, with EBITDA returning to profit as the company stabilizes after its takeover by Bally’s and Investment Holdings.
The group recorded AU$301 million ($212.17 million) in revenue for the quarter, a sequential increase of 6 percent and a 1 percent yearly increase. More significantly, the group reversed an EBITDA loss of AU$13 million ($9.16 million) from the previous quarter to a AU$6 million ($4.23 million) gain. This compares to an AU$8 million ($5.64 million) EBITDA loss in the same quarter of last year.
The group notes that the result ‘reflects stabilized trading in Sydney (although trading levels remain at historical lows), seasonally stronger volumes on the Gold Coast, and a higher operator fee for The Star Brisbane’.
While the company is seeing improvements, following its takeover by Bally’s Corp and Investment Holdings, it notes that ‘Operating conditions remain challenging due to the impact of mandatory carded play and cash limits in NSW and stricter regulatory requirements across all properties’.
Despite the AU$300 million ($211.47 million) investment by Bally’s and Investment Holdings in November of 2025 – giving the group’s 38 percent and 23 percent of the issued capital of The Star, respectively – as of December 31st, the group only had available cash amounting to AU$130 million ($91.64 million).
While the group has managed to extend the maturity date for debt facilities from Destination Brisbane Consortium (DBC), the group notes that its exit from the joint venture has not yet occurred and the ‘first stage of the JVP Transaction has expired’. The Star entered into the agreement in August of 2025 to sell off its segment in Queen’s Wharf Brisbane – along with its debt – to its JVP partners Chow Tai Fook Enterprises Limited and Far East Consortium International Limited.
While the JVP Transaction can still be terminated, ‘it is The Star’s present understanding that all parties remain committed to its completion’.
Under the documentation, The Star commenced recognizing a fixed operator fee of AU$5 million ($3.52 million) per month to operate The Star Brisbane, with its results reflecting AU$15 million ($10.57 million) attributable to the December quarter.
Looking ahead, the group is wary of possible fines, noting that ‘The Group’s ability to successfully execute its ongoing capital management strategy in the timeframe required will be impacted by the quantum and timing of the AUSTRAC judgment which remains outstanding’. Australia’s financial watchdog (AUSTRAC) could still penalize for its previous AML./CTF lapses which resulted in the appointment of external managers for its Queensland, Brisbane and Gold Coast properties.
Despite the Bally’s/Investment Holdings injection, ‘The Group’s ability to continue as a going concern remains dependent on the outcome of numerous material uncertainties,’ notes the group. However, ‘there are no material updates’.
