Operator News
South Korea – Paradise sees profit fall despite revenue rise
By Phil - 7 November 2017
South Korean casino operator Paradise Co. saw a rise in revenue in the third quarter due to a recovery in Chinese VIP play but it still saw its quarterly profits fall spectacularly.
Profits dropped by 86.5 per cent to KRW1.4bn ($1.26m) from last year’s quarterly figures despite an 11.9 per cent increase in revenues to KRW196.1bn ($176.29m). The company’s revenue increase from quarter to quarter by 40 per cent.
It put the recovery down to improvements in its VIP and mass sectors, particularly in Chinese VIP play but with solid growth from Japanese VIP play.
The company said that Paradise City integrated resort in Incheon, near Seoul’s international airport had experienced ‘robust growth’ and had reached its operating break-even point with ‘strong casino growth from non-Chinese VIPs.’
Paradise City reported GGR of KRW55.54bn in the third quarter of 2017, compared to KRW35.04bnin the previous three months.
It reported table drop of KRW1.41tn for the third quarter, compared to KRW1.17tn in the third quarter of 2016. Chinese VIPs generated 35.5 per cent of table GGR at the casino in the third quarter compared to 44.2 per cent in the previous quarter.
