The wealthy family with a monopoly hold on poker machine licencing in Tasmania has nearly doubled its profits over the past year, with assets including a stable of Arabian horses worth just under $1 million.
Financial statements lodged with the Australian Securities and Investments Commission show the Farrell family made a profit of $24.4 million in the year to the end of June — up from $13.9 million the previous year.
The family company, Mulawa Holdings, generated $543 million in revenue and paid nearly $75 million in gaming taxes and licence fees.
It employed 2,527 people, had assets worth $452 million and paid an income tax bill of $5.2 million — about $800,000 less than the year before.
The family owns a range of hospitality and gaming venues in Tasmania through its ownership of the Federal Group, including Wrest Point casino and the Henry Jones hotel in Hobart, Launceston's Country Club casino and the luxury east coast hotel Saffire.
Hundreds of workers at the two casinos are waging a campaign for a pay increase after rejecting the company's offer of 2 per cent a year over three years.
Federal Group has said its casino staff "are already paid well above industry standards".
The Farrells also own an Arabian horse stud in Berrilee in New South Wales.
The family's 102 Arabian horses are valued at $994,000 in the financial statements, down from just over $1.1 million last year.
Pokies future hangs cloud over profits
Key to the family's past profitability has been its exclusive right to operate gaming machines in Tasmania, an arrangement that is set to expire in 2023.
The family company does not address this in the financial statements, which simply say: "Further information about likely developments in the operations of the consolidated entity … has not been included in this report because disclosure of the information would be likely to result in unreasonable prejudice to the consolidated entity".
In March this year, the Federal Group played a central role in the state election campaign, with managing director Greg Farrell and Federal Group staff speaking out strongly against Labor's election pledge to remove all poker machines from Tasmanian pubs and clubs from 2023 if it won.
The Liberals were returned, with Premier Will Hodgman denying undue influence from the gambling lobby.
Under Tasmanian law, any Federal Group donations made during that election have to be disclosed by February.
The financial accounts list Gregory Farrell as the managing director of Mulawa Holdings, and John, Jane and Julia Farrell and Deborah Lee as directors.
Mulawa Holdings is based in Chatswood, New South Wales.
