• About Us
  • The Team
  • Advertise with Us

The latest news on the gaming industry in Asia

() () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () ()
  • Home
  • Macau
  • Philippines
  • Singapore
  • Japan
  • Rest of Asia
  • World
  • Industry Talk
  • Trends & Tech
  • iGaming
  • follow
    • Facebook
    • Twitter
    • RSS Feed
    • LinkedIn

S. Korean casino op GKL profit down in first quarter

May 14, 2018 Newsdesk Latest News, Rest of Asia, Top of the deck  


S. Korean casino op GKL profit down in first quarter

South Korean casino operator Grand Korea Leisure Co Ltd (GKL) said its first-quarter net income fell by 1 percent year-on-year to approximately KRW17.35 billion (US$16.26 million).

The firm however said its net income increased by 22.2 percent when compared the fourth quarter of 2017, which stood at KRW14.20 billion.

Aggregate revenue for the first three months of 2018 stood at KRW121.93 billion, down 2.7 percent from the prior-year period. The firm’s operating income in the period was KRW31.39 billion, representing a 0.3 percent year-on-year decrease.

The firm did not give commentary on the quarterly results filed with the Korea Exchange on Friday.

Brokerage JP Morgan Securities (Asia Pacific) Ltd said in a Friday note that GKL’s first quarter gaming metrics were “lacklustre, as expected”.

“Drop fell 16 percent year-on-year and 7 percent quarter-on-quarter to a 2.5-year low, as GKL continued to lose share to its rival Paradise [Co] after the Paradise City opening,” wrote analysts DS Kim and Sean Zhuang.

“By segment, VIP remained a drag (-25 percent year-on-year) with weaknesses across all nationalities (China -42 percent year-on-year, Japan -14 percent, others -11 percent), while mass drop fared much better and grew 8 percent year-on-year,” they added.

The brokerage however said that GKL’s first-quarter results were “not bad”.

“Stronger margin was certainly helped by high hold percentage (favourable luck), but to be fair, GKL did control its costs reasonably well in first quarter too,” said the JP Morgan team.

GKL is a subsidiary of the Korea Tourism Organization, which in turn is affiliated to South Korea’s Ministry of Culture, Sports and Tourism. The casino operating entity runs three foreigner-only casinos in South Korea under the Seven Luck brand: two in the capital Seoul and one in the southern port city of Busan.

Market-wide, gambling sales at South Korea’s foreigner-only casinos has risen by nearly 16 percent year-on-year in the first two months of 2018 to KRW204.78 billion, Yonhap news agency reported last month citing data from the Korea Casino Association. This increase coincided with a rise in the tally of Japanese visitors to South Korea’s 16 foreigner-only casinos, the report said.

Market-rival casino operator Paradise Co Ltd on Thursday reported net income of approximately KRW3.10 billion for the three months ended March 31, down 61.6 percent from the prior-year period.


  • tweet
Related articles
  • Chen Si promoted to Mohegan Inspire president, Howk COO
    Chen Si promoted to Mohegan Inspire...

    Sep 12, 2023  

  • China tour group return to aid S.Korea casinos: analyst
    China tour group return to aid S.Korea...

    Sep 07, 2023  

More news
  • GEN Malaysia stable outlook, rebound taking its time: Fitch
    GEN Malaysia stable outlook, rebound...

    Sep 21, 2023  

  • Golden Week Macau GGR to be 17pct up on rest of Oct: MS
    Golden Week Macau GGR to be 17pct up on...

    Sep 21, 2023  


Latest News

GEN Malaysia stable outlook, rebound taking its time: Fitch

GEN Malaysia stable outlook, rebound taking its time: Fitch

Sep 21, 2023  

Fitch Ratings Inc has affirmed the long-term issuer default rating of casino operator Genting Malaysia Bhd at ‘BBB’, an investment grade, according to a memo published on Wednesday. The ratings...
Read More
Golden Week Macau GGR to be 17pct up on rest of Oct: MS

Golden Week Macau GGR to be 17pct up on rest of Oct: MS

Sep 21, 2023  

Philippine Senate committee supports ban on POGOs

Philippine Senate committee supports ban on POGOs

Sep 21, 2023  

Sign up to our FREE Newsletter

UB8V5.qr.16(Click here for more)

Pick of the Day

”Genting Malaysia’s revenue rebound has been slower than our expectations, and the impact on leverage has been compounded by Empire’s weak metrics”

Akash Gupta, Shiv Kapoor and Hasira De Silva

Analysts at Fitch Ratings



Most Popular

  • No swift resumption of dividends for most Macau ops: GSNo swift resumption of dividends for most Macau ops: GS September 19, 2023
  • Macau logs 3.2mln visitors in Aug, only 4pct from overseasMacau logs 3.2mln visitors in Aug, only 4pct from… September 20, 2023
  • Sept daily Macau GGR rebounds after storms: brokerageSept daily Macau GGR rebounds after storms: brokerage September 18, 2023
  • Hengqin-Macau tour reboot for mainland consumers: MGTOHengqin-Macau tour reboot for mainland consumers: MGTO September 19, 2023
Copyright 2014-2023 TEAM Publishing and Consultancy Ltd / All rights reserved
  • Code of Ethics
  • Privacy Policy
  • Useful Links
  • Contact Us