Australian casinos face declining profits and regulatory changes

Star Entertainment has secured a temporary financial lifeline by selling its 50% stake in the Queen’s Wharf casino for $53 million. The company is also pursuing a $250 million bridging loan but still needs long-term refinancing and regulatory approvals. Despite the gambling market's overall growth, Australian casinos are struggling. Casino expenditure has declined over 35% nationally since 2018-19, while other gambling sectors, like sports betting, have surged. Regulatory changes, including cashless gaming systems and stricter limits on gambling spend, are being implemented to combat issues like money laundering and gambling addiction. These reforms reflect a shift in the casino business model amid increased scrutiny and competition from online gambling.