Operator News
Rebound at Casino Kam Pek Paradise helps drive 113 per cent for Paradise Entertainment
By Phil - 27 March 2024
Paradise Entertainment reported revenue for 2023 of HK$634.3m, marking an increase of 113 per cent due to the increase in revenue from the provision of casino management services in Macau, the sale of electronic gaming equipment and systems in Macau, and the new innovative and renewable energy solutions business.
GGR generated by Casino Kam Pek Paradise amounted to HK$1,033.6m, representing an increase of 110.6 per cent. Adjusted EBITDA from the casino under the Group’s management in Macau segment for the year gave a profit of HK$162.8m, as compared with a loss of HK$38m in 2022.
Dr. Jay Chun, Co-Chairman and Managing Director of Paradise, said: “The turnaround from loss to profit was mainly due to the increase in GGR generated by Casino Kam Pek Paradise in Macau when compared with that generated for the year ended 31 December 2022, mainly due to the increase in the number of patrons to Casino Kam Pek Paradise Electronic Gaming Equipment and Systems.”
“We are pleased to see that since early 2023, global business activities have been gradually resumed to normal with the easing of pandemic measures. For the year ended 31 December 2023, we witnessed a strong recovery and impressive performance of the gaming market in Macau,” he added.
Revenue from electronic gaming equipment and systems segment amounted to HK$57.1m, representing an increase of 84.8 per cent although Adjusted EBITDA gave a loss of HK$14.8m.
Dr. Jay Chun added: “Thanks to the signing of the new contracts in respect of the 10-year gaming concession and the enactment of the new gaming law commencing from 1 January 2023, which proved to clear the uncertainties regarding the prospects of the gaming industry in Macau. We remain confident in the future of the gaming business in Macau.
In addition to the Macau gaming market, the Group is actively seeking potential business opportunities in overseas markets to expand its business of electronic gaming equipment and systems.
“We consider that there is huge potential for electronic table games and slot machines to grow in not only the Macau gaming market, but also the fast-growing Southeast Asian gaming markets such as the Philippines, Vietnam, and Cambodia, and the North American gaming markets,” Mr Chin explained. “For instance, the Philippines market has good potential as the Philippines already holds the title of the largest electronic gaming machine market in Asia, offering better flexibility with numerous casinos and a variety of gaming types. Further, the Philippines market is relatively more international and adheres to general standards for gaming machines aligning with global norms. The electronic gaming equipment and systems developed for the Philippines market can normally be promoted to other gaming markets in the world with little modification. The Group is ready to go into these markets to expand its businesses in these Southeast Asian gaming markets, while it will continue to explore business opportunities in the North American gaming markets.”
