SkyCity Entertainment Group Limited 1H20 Result Investor Presentation 13 February 2020 rs : skvCITY Important ▪ Average NZ$ vs. A$ cross-rate for 1H20 = 0.9449 and 11—119 = 0.9291 ▪ Weighted average number of shares (excluding treasury stock) for 1H20 665,162,480 and Information 1HI9 = 676,386,477 ▪ Normalised revenue (incl Gaming GST) , calculated as gaming win (incl GST) plus non-gaming revenue (excl GST) , is shown to facilitate Australasian comparisons ▪ Normalised revenue and earnings adjusted for IB at the theoretical win rate of 1.35% versus an actual win rate of 1.43% in 1H20 (1H19: 0.98%) ▪ EBITDA margin is calculated as a % of revenue (incl Gaming GST) to facilitate Australasian comparisons ▪ Certain totals, subtotals and percentages may not agree due to rounding ▪ Refer to the FY19 Annual Report for a glossary of terms referenced in this presentation sIivCITY 2 Contents 1H20 Key Features 4 1H20 Results 6 Outlook 22 Group Strategy Update 23 Appendices 32 SIIV CITY 3 1H20 Key Features NZICC fire a disruptive event - business responded Adelaide expansion on-track - opening scheduled well, Fletcher Construction developing for October 2020 reinstatement plan Reported results significantly impacted by NZICC Offshore online casino successfully launched with fire and Auckland car park concession sale encouraging customer sign-ups in first 6 months Operating performance positive in NZ and Continued stable dividend (lOcps interim, satisfactory in Adelaide - weak performance for IB fully-imputed) - attractive cash yield of 5.6% (reflecting challenging environment) SIIV CITY 4 Coronavirus Impact - Current Perspectives ▪ Have been closely monitoring the coronavirus outbreak - currently no confirmed cases in NZ and two confirmed cases in South Australia ▪ No significant impacts evident for domestic businesses over the past three weeks • Some Auckland hotel cancellations, but offset by new bookings • Slight reduction in gaming visitation in Auckland and Adelaide - no discernible impact on EGMs but some softness in table games that may be related ▪ Negative impact on IB over Chinese New Year period • Some planned visits from key customers postponed or cancelled • Entry restrictions currently in place in NZ and Australia for Chinese nationals ▪ Too early and uncertain to estimate any future financial impacts - based on past precedents expect impacts to be temporary ▪ SkyCity’s customer is predominantly local with around 90% of Group normalised EBITDA derived from domestic businesses ▪ Estimate that less than 5% of Group normalised EBITDA (excluding IB) generated by China-based customers XIIVCITY 5 1H20 Results vL”i $IIV C I T Y ▪ Complex set of financial results for 1H20 ▪ Reported results significantly impacted by NZICC fire and gain from Auckland car park concession sale ▪ Normalised results adjust for impacts of NZICC fire, Auckland car park concession sale and certain others items (see pages 11-12 for more details) • Adjustments from reported to normalised results consistent with SkyCity's “Non-GAAP Financial Information Policy” ▪ Given structural changes during FY19 and 1H20 and the impact of NZICC fire, further like-for-like earnings comparisons are provided from normalised results in this presentation • Intended to enable a better understanding of underlying performance of the Group and key properties vs. pep and previous guidance (see page 14 for more details) • Like-for-like FY19 Group normalised EBITDA ($303m) and NPAT ($151m) comparatives were provided in FY19 Investor Presentation (14 August 2019) XIIVCITY 7 1H20 Results Overview 1H20 1H19 Movement $m $m $m % Reported Revenue 721.7 411.4 310.4 75.4% Reported EBITDA 407.5 148.3 259.2 174.7% Reported NPAT 328.0 82.8 245.2 296.0% Reported EPS 49.3cps 12.3cps 37.0cps 303.3% 1H20 1H19 Movement $m $m $m % Normalised Revenue (incl Gaming GST) (1) (2) (3) 490.9 532.9 ( 41.9) (7.9%) Normalised EBITDA(1) (2) 0) 153.3 171.7 (18.4) (10.7%) Normalised NPAT(1) (2) 0) 75.0 89.7 (14.7) (16.4%) Normalised EPS 11.3ps 13.3cps (2.0cps) (15.0%) Interim Dividend DPS lO.Ocps lO.Ocps O.Ocps 0.0% SIIVCITY (1) Darwin has been excluded from normalised results to aid comparability vs. pep - no change to 1H19 reported NPAT (2) See pages 11-12 for more details 8 (3) 1H20 normalised results not presented on a like-for-like basis vs. pep- see page 14 for more details 1H20 Revenue by Business 1H20 1H19 Movement $m $m % Properties (excl IB)(1) Auckland 305.6 307.7 (0.7%) Hamilton 34.1 31.6 8.0% Queenstown 7.1 6.5 8.1% Adelaide (A$) 77.4 77.9 (0.8%) Total Property Revenue (excl IB)(1) 428.6 429.8 (0.3%) Normalised IB Revenue 61.9 103.3 ( 40.1%) Online/E-sports 0.4 (0.2) Normalised Revenue(1) {2) 490.9 532.9 (7.9%) IB revenue adjustment131 (32.0) ( 44.7) Non-GAAP adjustments® 262.8 (76.8) Reported Revenue 721.7 411.4 75.4% skvCITY (1) Including Gaming GST (2) Darwin has been excluded from normalised results to aid comparability vs. pep 9 (3) See pages 11-12 for more details (4) Auckland revenue not adjusted for impact of NZIGG fire in 1H20 1H20 EBITDA by Business 1H20 1H19 Movement $m $m % Properties (excl IB) Auckland 137.4 138.0 (0.4%) Hamilton 14.9 14.0 6.2% Queenstown 1.5 1.2 21.9% Adelaide (A$) 12.8 12.4 2.9% Total Property EBITDA (excl IB) 167.4 166.6 0.5% Normalised IB EBITDA 8.2 24.7 (66.7%) Corporate Costs (18.9) (16.7) (13.6%) Online/E-sports/other (1.1) (1.0) 6) NZICC/Horizon Hotel/Adelaide Pre-Opening Costs (2.3) (2.0 ) (16.8%) Normalised EBITDA(2) 153.3 171.7 (10.7%) Non-GAAP adjustments535 254.2 (23.4) Reported EBITDA 407.5 148.3 174.7% SIIVCITY (1) Includes $800k of Intercompany costs required to be retained post sale of Darwin (2) Darwin has been excluded from normalised results to aid comparability vs. pep 10 (3) See pages 11-12 for more details Reported and Normalised Results (1 of 2) ▪ The differences between 1H20 reported and normalised information are summarised overleaf - refer to the appendix for more information on why these adjustments have been made ▪ 1H20 adjustments (from reported to normalised) • Treat IB commissions as an expense rather than reduction in revenue which reduces both reported revenue and operating expenses within IB (by $32.Om) - effectively reverses impact of IFRS 15 (Revenue from Contracts with Customers) • Add gaming GST ($48.0m) to reported revenue • Apply theoretical win rate of 1.35% for IB vs. actual win rate of 1.43% • Eliminate gain ($66.5m) arising from Auckland car park concession sale (completed in August 2019) • Eliminate net gain ($186.3m after tax) arising from impacts of NZICC fire ▪ 1H19 adjustments (from reported to normalised) • Treat IB commissions as an expense rather than reduction in revenue which reduces both reported revenue and operating expenses within IB (by $44.7m) - effectively reverses impact of IFRS 15 (Revenue from Contracts with Customers) • Add gaming GST ($48.8m) to reported revenue • Apply theoretical win rate of 1.35% for IB vs. actual win rate of 0.98% • Eliminate significant tax event - $3.9m settlement with ATO • Eliminate Darwin operations from normalised results XIIVCITY 11 Reported and Normalised Results (2 of 2) 1H20 1H19 Revenue EBITDA EBIT NPAT Revenue EBITDA EBIT NPAT $m $m $m $m $m $m $m $m Reported 721.7 407.5 366.0 328.0 411.4 148.3 107.7 82.8 IB revenue adjustment 32.0 44.7 Gaming GST 48.0 48.8 IB at theoretical win rate (3.7) 0.1 0.1 0.1 28.0 23.4 23.4 16.8 Gain on sale - Auckland car park (66.5) (66.5) (66.5) (66.5) Significant tax events (ATO) 3.9 NZICC fire impacts(1) (240.6) (187.7) (187.7) (186.3) Sale of Darwin (0.2) (14.0) Normalised 490.9 153.3 111.8 75.0 532.9 171.7 131.1 89.7 SIIVCITY (1) See page IS for more details 12 NZICC Fire Accounting Impacts for 1H20 Estimated Amount NZICC Fire Impacts ^ Comments 2) $m ^ Insurance recovery related to damage to NZICC/Horizon Hotel - required to be recognised as income as Contracts works insurance recovery 225.8 SkyCity is principal in insurance relationship Liquidated damages for Nelson St Damages provided in NZICC Building Works Contract for tunnel closure from date of fire to 20 10.3 tunnel access December 2019 Other recoveries for business interruption, initial site clearance costs and other assets destroyed (e.g. Other insurance recoveries 4.5 ICT) NZICC fire related income 240.6 Amount included in Income Statement Write-off of capitalised work-in-progress (101.8) Write-off of WIP PP&E asset - insurance event treated as disposal of damaged asset Release of Deferred Licence Value 85.4 Part of Deferred Licence Value liability released to offset write-off of disposed asset liability Obligation to reinstate NZICC car parks (28.7) Cost to reinstate 600 NZICC car parks already sold under finance lease to Macquarie Principal Finance Amount payable to contractor (2.5) Contractor costs for site clearance work to date NZICC fire related costs (47.5) Amount included in Income Statement Net gain in Income Statement 193.1 NZICC fire related income less costs (per above) Less: Business interruption recoveries (5.4) Minimum expected recoveries from insurance and contractor for business interruption EBITDA adjustment for NZICC fire Adjustment consistent with Non-CAAP Financial Information Policy, but does not capture all 187.7 impacts impacts from NZICC fire (see page 14 for more details) sIivCITY (1) Estimates of the NZICC fire impacts are based on initial assessments and may change materially as further information becomes available 13 (2) Also refer to notes 2(a), 6 and 7 in the interim financial statements 1H20 “Like-for-Like” Earnings Comparison ▪ As previously flagged, comparability of 1H20 earnings vs.