Economy

Crown profit falls 22% on poor consumer sentiment; Lend Lease results rise: Midday Roundup

Patrick Stafford /

James Packer-led casino giant Crown has recorded a 22% decline in full-year net profit to $395 million after the company took a significant loss from the company’s exit from Echo Entertainment.

The company says lower consumer sentiment has also impacted on casino revenues.

However, Crown says normalised net profit grew 14% to 473 million. Revenues also rose 3.1% to $2.89 billion.

“We continue to see evidence of weak consumer sentiment, particularly in Melbourne,” chief executive Rowen Craigie says.

Crown Casino in Melbourne recorded a year-on-year drop in profit from $369 million to $342 million, while profits at the Perth complex increased from $180 million to $183 million.

Lend Lease profit jumps 10%

Lend Lease has reported increased profits and solid earnings growth, with the company predicting further strong performances over the next three years.

However, the company warns the domestic construction market is still faces significant challenges.

Net profit grew 10% to $551 million, up from $501 million during the previous corresponding period.

Revenue increased by 5.7% to $12.2 billion.

Origin chief calls for end to energy price war

Origin chief executive Grant King is calling to an end in the current price war over electricity must stop.

Speaking with the Australian Financial Review, King says the current price wars are costing the company more money, with margins were becoming compressed.

“It’s a good time to be a customer in this business,” he says.

Shares rise on solid offshore leads

The Australian sharemarket has opened higher this morning, with solid leads from offshore markets and good performance among mining groups.

The benchmark S&P/ASX200 index was up 62 points or 1.2% to 5,138.3 at 11.45 AEST, while in the United States the Dow Jones Industrial Average rose 66 points or 0.4% to 14,963.7.

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Patrick Stafford

Patrick Stafford is a freelance journalist and a former deputy editor of SmartCompany.

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