Gambling giant Tabcorp has unveiled a $600 million capital raising while reporting a plunge in full-year earnings after pandemic lockdowns hit its wagering and media, gaming services and keno operations.
The company posted a statutory net loss of $870 million for the 12 months to June 30 compared with a $361 million statutory net profit for the 2018-19 financial year.
“COVID-19 restrictions meant that hotels, clubs and TAB agencies were closed for significant periods of time,” chief executive David Attenborough said.
“We continue to support our venue partners and have waived more than $100 million in fees to date.”
Lotteries revenues were higher, however, reflecting investments in digital and retail channels, with an extra 400,000 Australians becoming active registered players during the year.
With the integration of Tatts substantially complete, the focus for the current financial year was digital opportunities across the lotteries, keno and wagering business, and a more competitive TAB, Mr Attenborough said.
“It remains a challenging time, especially for the Victorian community, which is in the middle of a difficult stage 4 lockdown.”
He said proceeds of the capital raising would be used to pay down existing drawn bank debt facilities.
As announced in May, the company has decided against paying a final dividend.
Originally published as Lockdowns hit gambling giant Tabcorp