In a significant shift within Australia’s casino industry, Jessica Mellor has confirmed her impending departure from The Star Gold Coast, where she has served as the youngest and the first female CEO since October of the last year. Marking an end to her brief tenure, Mellor will officially leave her position on May 24. In the interim, the responsibilities of the CEO will be handed over to Ian Brown, the general manager of gaming at Star Gold Coast, as the company embarks on the search for a long-term successor.
Jessica Mellor’s resignation agreement outlines a transitionary support period in which she will continue to assist The Star with significant initiatives up to September. Her leadership journey at The Star Gold Coast was preceded by a notable track record, including her four-and-a-half-year stint as Star’s chief operating officer, before she ascended to the role of CEO. Mellor’s expansive career includes experience in executive roles such as CEO at Aquis Entertainment and positions in acquisitions at Aquis Australia. Further enriching her portfolio are her contributions to companies like Custodian Funds Management Group, the JLF Group of Companies, and Leighton Contractors.
The Star has recognized Mellor’s instrumental role in steering The Star Gold Coast through a demanding period marked by the pandemic and her efforts in transforming the property into a prestigious integrated resort destination, a sentiment echoed by Star executive chair David Foster. Her decision to step down is respected, with public acknowledgment of her dedication to her role at Star Gold Coast.
The recent development follows a spate of executive resignations at Star. Mid-March saw the announcement that Robbie Cooke would step down as the group CEO and managing director, further joined by the Chief Financial Officer Christina Katsibouba’s exit to pursue other interests. Cooke’s tenure as CEO began in November 2022, and he became the company’s fourth CEO within a year, succeeding Matt Bekier, John O’Neill, and Geoff Hogg. Bekier’s resignation came amid The Star’s New South Wales investigation. As the company navigates this transitional phase, Foster has committed to assuming additional executive responsibilities during the search for a stable leadership figure. In the financial realm, Neale O’Connell, former CFO of Tatts Group, has stepped in to fill the CFO role on an interim basis.
The Star Gold Coast’s management changes coincide with a released trading update for Q3, revealing a revenue decline of 4.6% equivalent to AU$419.2 million. The downturn was particularly felt in the company’s premium gaming rooms, with The Star Sydney experiencing a 19.3% drop, The Star Gold Coast facing a 20% reduction, and Treasury Brisbane’s revenue plummeting by 28%. Nonetheless, revenue from main gaming floors exhibited growth, somewhat offsetting the premium gaming rooms’ poor performance. Amid these financial fluctuations, the recent quarterly update also indicated a net loss after tax of $6.8 million, a figure more favorable in comparison to the $49.7 million loss chalked up in Q3 of the previous year.
Compounding The Star’s current predicaments, the New South Wales Independent Casino Commission has embroiled the company in another inquiry, dubbed Bell Two, as a follow-up to the scathing findings of the infamous Bell report. Launched on February 19 and set to conclude on May 31, the probe scrutinizes the corporate culture and impact of the original Bell report’s recommendations, of which Star had implemented 22 out of the 30 proposed measures. This intensified regulatory scrutiny comes at a time when The Star is grappling with executive turnovers and financial realignments – challenges that signal a pivotal moment for the renowned Australian casino operator.
