Another record dividend payout is on the way for Skyline shareholders. Skyline Enterprises chairman Peter Treacy has released the company’s annual results, which shows a 112% increase in profit after tax for the year ended March 31. The company’s revenue was $239.3 million, up 15% on the year prior ($207.9m), while profit after tax leapt from $40.5m to $86.1m. Profit before tax for continuing operations was $101.7m, compared with $66.3m last year. “After careful consideration, your directors have determined a record final dividend of 85 cents per share, totalling $29m, will be payable on Tuesday, 29th September, 2026,” Mr Treacy’s shareholders update said. Last year, Skyline’s dividend was a record 70c per share for a total payout of $23.8m. Mr Treacey said there was strong overall performance across the group. “We remain confident that Skyline’s future remains bright, even in the face of ongoing domestic and global uncertainty.” The Skyline Queenstown operation continued to grow and be an “outstanding performer”, he said, its international visitation from key markets now surpassing historical 2019 highs, while its Blue Peaks accommodation properties achieved “another record result”, driven by strong visitation to Queenstown and an ongoing focus on yield management. Overall, Skyline’s commercial property occupancy was down 2%, to 91%, while its accommodation occupancy was up 7%, to 78%. “The Queenstown commercial property portfolio recorded a revaluation increase of $8.4m, with a 19% decrease in O’Connells Pavilion valuation due to the anchor tenant [DFS] leaving, being more than offset with increases across the remainder of the portfolio,” Mr Treacey’s report said. The board continued to expect the conditional sale of Christchurch Casinos Ltd, for $102m, to be completed this calendar year, following regulatory approvals — during the reporting period, 513,300 casino customers were recorded — up from 512,000 last year — with revenue lifting 2%, from $49.2m to $50.2m. Internationally, Singapore and Busan, South Korea, continued to be “standout contributors for the group”, with more record-breaking results. Overseas revenue was up 19%, from $75.2m to $89.4m, while 7.6 million luge rides were recorded, up from 6.7 million the year prior, a 13% increase. In New Zealand, 11.4 million luge rides were recorded, up 15%, while gondola passengers lifted 10%, to 1.5 million. The $300m Skyline Queenstown redevelopment, under way since 2018, had also continued at pace, with the new building extension, which opened in March, now fully operational. Demolition and construction work was now focused on the old building — the full development of the top complex is expected to be completed by early 2029. Meanwhile, Mr Treacey said forestry works adjacent to Skyline’s operation at Bob’s Peak had been completed, as had the remediation work following “the 2023 weather event”. In September, 2023, when Queenstown recorded the highest 24-hour rainfall in decades, rock and soil excavated as part of the redevelopment of the gondola’s top station was dislodged, plunged through the Ben Lomond Reserve and into the Reavers Ln neighbourhood. A second slip, under the gondola cableway, deposited forestry slash and mud on to Queestown’s historic cemetery and surrounds. More than 100 people were evacuated from Reavers Ln and Brecon St, a state of local emergency was in place for a day, Queenstown Primary School, Whakatipu Kindergarten and BestStart Queenstown daycare had to temporarily close, and access was also blocked to the Queenstown Medical Centre. Subsequently, Skyline, Naylor Love Central Otago Ltd and Wilson Contractors (2003) Ltd were prosecuted by Queenstown’s council in relation to the Reavers Ln slip. Last year, the three companies admitted charges brought under the Resource Management Act of breaching their consents and were ultimately ordered to pay more than $700,000, combined, in fines and reparation. Skyline’s 2025 annual report said it had spent $5.7m on remediation work in relation to both slips as of March 31 last year, and expected to spend a further $3.7m. In this year’s report, Mr Treacey said while “significant progress” had been made, “we are yet to fully resolve all insurance and other aspects of this matter”. tracey.roxburgh@scene.co.nz
