Crown Casino taking fall 10% as Asian gamblers turn away from baccarat

Rich Asian gamblers are shunning Crown Perth, punching a revenue hole in the entertainment complex which was redeveloped by James Packer for $650 million.

Figures released by regulator the Gaming and Wagering Commission in State Parliament show gross gaming revenue at Crown casino fell almost 10 per cent in the 12 months to June 30 to $564 million.

Leading the fall was a 24 per cent plunge in revenue associated with baccarat, a card game wildly popular with Asian gamblers and the game of choice for so-called “whales”, or wealthy high-stakes punters, to $163 million.

Baccarat gaming revenue has declined 57 per cent — or more than $200 million — since hitting a high-water mark of $383 million in 2014-15.

The reversal undermines a key plank of Mr Packer’s Crown redevelopment, which sought to woo rich, mainly Chinese, gamblers to Perth through the lure of luxury accommodation offerings and VIP gaming services.

After an early surge, the value of baccarat to Crown has fallen dramatically in recent years amid a crackdown by Chinese authorities on foreign gambling companies.

This climaxed in late 2016 when 19 Crown employees, including Australian-based senior executive Jason O’Connor, were arrested and charged with gambling-related crimes.

Mr O’Connor and the other jailed staff were eventually released after pleading guilty, with Crown also paying a fine.

While baccarat recorded the biggest fall in turnover, the commission noted that demand for other types of games was also subdued.

Electronic gaming machines, or pokies, were the biggest source of revenue despite a slight decline in turnover to $263 million. There were also marginal falls in blackjack and roulette, which went backwards 8 per cent to $34 million and 11 per cent to $53 million, respectively.

The figures, which provide rare insight into the performance of WA’s only casino, cap off a tough few years for Crown and Mr Packer.

Mr Packer, who owns almost half the listed casino and resort giant, cited mental health problems in stepping down from the board of the company in March.