The Canberra Casino has reported a loss of $13.8 million, however, international flights to the capital and the pending introduction of poker machines had the gambling company upbeat about its future.
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The result is the second straight year the casino has posted a loss, with a reported loss of $7.7 million for 2016.
Financial statements for the casino's owner, Aquis Entertainment, for 2017 said the $13.8 million loss included a $5.49 million write down of deferred tax assets.
That means the comparable loss would have been $8.3 million without the write down.
The balance sheet on December 31 showed a net asset deficit of $13.25 million.
Operating revenue for the year was $26.1 million, an eight per cent increase on the 2016 result.
The casino's earnings before interest tax depreciation and amortisation for the year was a loss of $4.7 million - a 21 per cent improvement on 2016.
The financial statement also shows a seven per cent jump in gaming revenue in the casino's first full year of operation of its refurbished gaming floor.
Food, beverage and other sales leapt 26 per cent.
The casino reported an increase in visitation and hold rates, which it attributed to marketing.
The report said the casino expected that increase to "continue and stabilise over the coming year as record visitation rates are maintained via new and continuing marketing initiatives".
However, operating expenses also rose, by 3.7 per cent, for the year, caused by increased payroll and marketing expenses as a number of functions, including legal and cleaning, were in-sourced.
The group had loans outstanding from entities related to Aquis chairman, and Hong Kong billionaire, Tony Fung of $36.8 million, including accrued interest.
That figure is up from $32.3 million the previous year.
The report said the group had cash reserves of $4.65 million – down from $5.18 million in 2016 – and unused borrowing facilities of $1.77 million.
The share price has been steady at 4 cents since last month.
The directors did not recommend the payment of a dividend, but the report presented an upbeat outlook for the casino.
The directors said the refurbished casino had proven its ability to attract new and existing customers.
"Canberra has been receiving direct flights from Singapore and already visitors from Singapore have attended the casino," the report said.
"With the commencement of Qatar Airways flights to Canberra this week, further international visitation should be achieved in the coming year."
"Legislation has been enacted to allow 200 electronic gaming machines to operate within the casino; planning continues for the redevelopment of Casino Canberra into a world class -multi-faceted establishment and discussions with the government will continue throughout 2018 surrounding details of the legislated requirements for the [pokies]."
