SaskGaming nets $40 million in last fiscal year as COVID-19 eats into profit
CBC News | Posted: July 8, 2020 7:36 PM | Last Updated: July 8, 2020
Corporation estimates pandemic cost casinos more than $5 million
SaskGaming turned a profit of $40.2 million in the fiscal year that ended March 31, despite casinos closing their doors on March 16 because of the COVID-19 pandemic.
That's down $4.7 million from the previous year, according to SaskGaming's annual report.
SaskGaming owns and operates casinos in Regina and Moose Jaw.
After the casinos closed, 549 permanent employees were temporarily laid-off on April 3. The report said the laid-off employees can return at the end of the closure.
The casinos are slated to reopen on Thursday.
"SaskGaming estimates revenues lost due to the casino closures to be between $5.2 million and $5.8 million, based on actual results throughout the year," the report said.
About $20 million of the profit went to the province's General Revenue Fund, where it is divided equally between the First Nations Trust and Community Initiatives Fund.
SaskGaming 2019-20 numbers:
- Revenue: $114.1 million compared to $118.6 million in 2018-19.
- Expenses: $73.9 million compared to $73.7 million in 2018-19.
- Income Before Payment to the General Revenue Fund: $40.2 million compared to $44.9 million in 2018-19.
- Payment to the General Revenue Fund: $20.1 million (divided equally between the First Nations Trust and Community Initiatives Fund) compared to $22.4 million in 2018-19.
- Dividend to the Crown Investments Corporation: $13.3 million compared to $18.0 million in 2018-19.
The report said SaskGaming revenues have been declining since 2014 due to a slow Saskatchewan economy that has limited the "amount of discretionary income available to spend on entertainment."
The pandemic furthered that decline, the report added.
The corporation's Community Giving program gave $384,000 to 71 organizations, community projects and events.