The Crown-owned Casino Regina/Moose Jaw managed a small decrease in payments to the province last year.
By squeezing expenses and other sources of income, the casino operations paid $22.4 million to the province’s general revenue fund. That was a decrease of just under $1 million.
Half the payment went to the Community Initiatives Fund with half to First Nations. In addition, SaskGaming paid an $18 million dividend to the Crown Investments Corporation.
Revenues of $118.6 million dropped $820,000, as guest counts declined and gambling revenues declined. Slot revenue fell by one per cent, mostly from fewer Moose Jaw visitors.
Guest count reduction in Regina was attributed to elimination of free pop and coffee and closure of a connecting pedway for a period.
Regina guest count was 2.64 million. Moose Jaw’s 619,000 visitors were down by one per cent. Guest count of 3.257 million fell shy of the 3.5 million target.
Operating expenses increased $200,000 to $61.1 million.
The management analysis in the annual report for the 2018-19 year noted: “SaskGaming operates in an industry that is in a mature market position, marked by lower annual revenue growth and operating costs increased by the cost of inflation. SaskGaming also faces increased competition from gaming competitors in the province.”
The Crown corporation plans to meet challenges by investing in technology, facilities, new initiatives, and continuing focus on customer service and employee excellence, expense management and productivity.
The trend in declining revenue is as a result of “a mature Canadian gaming industry, slowing Saskatchewan economy and increased gaming competition in the province.”
The plan for 2019-20 will focus on guest expectations, along with action to improve facilities, technology, products and services.
An online community forum will facilitate an ongoing conversation with guests. This will allow SaskGaming to get more detailed information from guests in a more cost-effective way, rather than using traditional survey techniques.
The two casinos gave $429,000 to community organizations and projects during the year ended March 31,2019.
Guest satisfaction was down marginally at 75.5 per cent.
Among employees, 41 per cent are First Nations with 17 per cent visible minorities.
Return on assets after paying the general revenue fund was a whopping 28.5 per cent.
Ron Walter can be reached at [email protected]
