Ardent Leisure on the mend but the Dreamworld tragedy remains a problem

Ardent Leisure on the mend but the Dreamworld tragedy remains a problem

While the 2016 Dreamworld tragedy continues to haunt the results of parent company Ardent Leisure (ASX: ALG) the company's books are on the mend.

During FY19 the group reported a loss of $60.9 million, compared to a loss of $90.7 million in the prior year.

Total earnings has improved by around $65.7 million, from a loss of $54 million in FY17 to a profit of $11.7 million this year, driven by an increase of $107.5 million from continuing businesses.

Year on year comparison of the group's earnings results is impacted by the sale of two businesses, non-cash valuation losses on the Dreamworld and SkyPoint properties in the prior year, as well as impairment charges at several US entertainment centres in the current and prior years.

Ardent says that FY19 continued to be impacted by post-incident trading conditions for its theme parks business following the tragic events at Dreamworld in 2016.

The group was also hit by costs associated with Coronial Inquest hearings into the Dreamworld disaster, non-recurring costs, as well as further impairment charges at the previously impaired US centres.

Considering the reinvestment of earnings and available capital into the business to drive growth at Main Event and to support Dreamworld's recovery through the creation of new attractions the board has declared there will be no dividend for shareholders in FY19.

Shares in Ardent Leisure are down 2.97 per cent to $1.14 per share at 11.43am AEST.

Never miss a news update, subscribe here. Follow us on Facebook, LinkedIn, Instagram and Twitter.

Business News Australia

Get our daily business news

Sign up to our free email news updates.

 
Whitefox Recruitment founder Luke Hemmings making strides as a careers leader
Partner Content
After relocating his Canberra-founded company Whitefox Recruitment to the Gold Coast la...
Whitefox Recruitment
Advertisement

Related Stories

ASIC secures its first court win for greenwashing against US giant Vanguard

ASIC secures its first court win for greenwashing against US giant Vanguard

The Australian corporate watchdog has caught out one of the world&r...

Medicinal cannabis group Althea shaves $1.5m from its cost base through staff cutbacks

Medicinal cannabis group Althea shaves $1.5m from its cost base through staff cutbacks

Australian-founded medicinal cannabis company Althea Group (ASX: AG...

Charter Hall snares 15pc stake in Hotel Property Investments for $97m from 360 Capital

Charter Hall snares 15pc stake in Hotel Property Investments for $97m from 360 Capital

Listed funds manager 360 Capital Group (ASX: TGP) has offloaded its...

The party’s over: Splendour in the Grass festival cancelled for 2024

The party’s over: Splendour in the Grass festival cancelled for 2024

Splendour in the Grass, Australia’s largest winter music fest...