Casino operator hit hard by lockdowns

Donaco International’s Q2 revenue was heavily impacted by a forced closure of its Star Vegas property in Cambodia due to Covid-19 lockdowns, with revenue falling 46.4 per cent compared to the prior-year period.

Donaco said that an emphasis has been kept on continued cost control measures and mitigation activities, allowing it to reduce operating expenses to A$1.3m. The company recorded a negative EBITDA of A$500,000.

“Following the order from the Cambodian local government for the closure of casinos in the region, we have continued to focus on protecting our balance sheet and we’ve taken rigorous measures to protect the business by keeping our costs down and preserving our cash.”

Donaco said that its Aristo business in Vietnam continues to operate on a limited basis.

Source: Asia Gaming Brief