Poker machine maker Aristocrat Leisure has posted a $16 million full-year loss due to a writedown in the value of its Japanese business.
In an announcement to the Australian Securities Exchange, the gaming company said it made a net loss of $16.4 million for the year to September 30, down from a profit of $107.2 million a year ago.
Overall, Aristocrat Leisure recorded a 10.2% jump in normalised profit after tax to $118.1 million in the 12 months to September, and revenue was up 6.9% to $870.3 million. But the company’s statutory results took a hit from a number of “significant items”, including a $78 million writedown in the value of its Japanese business, Japan Pachislot.
Other significant items included a $43.4 million loss on the disposal of its non-core Lotteries business and $13.1 million in costs related to the acquisition of Video Gaming Technologies.
Overall, Aristocrat Leisure recorded a 10.2% jump in normalised profit after tax to $118.1 million in the 12 months ended September, and revenue was up 6.9% to $870.3 million.
But Aristocrat chief executive Jamie Odell said it expected to grow market share and revenue in the year ahead.
“Aristocrat will continue to focus on the things we can control – in particular improving our portfolio focus, competitiveness and earnings mix over the 2015 full year,” said Odell.
Napthine pledges $15m for Victorian home businesses
Victorian Premier Denis Napthine has pledged $15 million in grants to help stay-at-home parents set up home-based businesses in the state, according to The Herald Sun.
If the government is re-elected this weekend, the Family Business Grants program would provide around 1800 grants of up to $7500 to help with start-up costs, including establishing a website, advertising, and registering a business name.
Grants would be available to parents who are the primary carer for at least one child under eight years of age, are able to start the business within 12 months of receiving the grant and meet an income and assets test.
“I think mums and dads will be a winner – and the community will be a winner – because many of those businesses will grow to out of the home, from home to main street, into the business parks and create jobs and opportunities for the future,” Napthine said.
Shares down on open
Aussie shares have traded lower this morning, as local investors prepare for the debut of Medibank Private on the Australian Securities Exchange at 12pm.
Tristan K’Nell, head of trading at Quay Equities, said the morning session “wiped out all the good gains from yesterday with … all major sectors in the red”.
“The market has been sold down harder than expected,” said K’Nell. “We expected a little selling as investors consider rotation into the [Medibank] IPO stock, while major fund managers may make a play with their allocations coming in short.”
The S&P/ASX benchmark was doen 48.1 points to 5313.7 points at 11.52pm AEDT. On Monday, the Dow Jones closed 7.84 points higher, up 0.04% to 17817.9 points.
Kirsten Robb is a former journalist at SmartCompany. Previously, she worked at News Corp as a property reporter for Leader Newspapers and the Herald Sun, and holds a Masters of Journalism at Melbourne University.
