Hong Kong-listed Shin Hwa World Ltd, promoter of Jeju Shinhwa World (pictured in a file photo), a resort with a foreigner-only casino on the South Korean holiday island of Jeju, widened its net loss for the first half by 5.6 percent year-on-year.
The loss was just below HKD244.4 million (US$31.4 million) in the first six months of 2025, compared with a loss of HKD231.5 million a year earlier, according to a Thursday filing.
Revenue for the first half of this year stood at just below HKD410.4 million, down 21.8 percent year-on-year.
The firm said one reason for the worsening results was a decline in revenue from the group’s integrated resort and gaming businesses, “due to the pressure on [hotel] room prices and dampened customer spending during the period”. Another factor impacting the group’s earnings was a decrease in the fair value of investment properties compared with the corresponding period in 2024.
“In addition to the overall economic headwinds, as numerous flight cancellations disrupted travel plans and accessibility to Jeju in the first half of 2025, Jeju’s tourism and the group’s core businesses experienced notable setbacks during the period,” Shin Hwa World stated.
Gaming revenue in the first half of 2025 declined 46.1 percent from the prior year, to just below HKD62.0 million. The gaming operation recorded a segmental loss of HKD59.6 million, worse than the HKD55.8-million loss a year earlier, “attributable to the decrease in rolling and non-rolling volume,” the firm said.
Landing Casino featured 150 gaming tables and 210 slot machines and electronic table games, according to Thursday’s announcement.
In the January to June 2025 period, non-gaming revenue was approximately HKD348.4 million, compared with HKD409.9 million in the first half of 2024.
Shin Hwa World Ltd had already warned earlier this month that it expected its first-half consolidated net loss to increase by “not more than 12 percent” from a year earlier.
In July, the casino developer announced a proposal for a rights issue, with the intention of raising approximately HKD182.6 million. The operation is scheduled to be completed by October but still requires shareholder approval at a meeting set for mid-September.
