Japanese VIP Bets Rise... Paradise's Q2 Operating Profit Up 33.9% Year-on-Year

Consolidated Operating Profit Reaches 42.9 Billion Won... Revenue Up 4.1%
Paradise City Integrated Resort Leads Growth
GKL Reports Second-Quarter Operating Profit of 16 Billion Won... Up 20.8%

Paradise achieved a rebound in its second-quarter performance this year, driven by the operation of its foreigner-only casinos and the Paradise City integrated resort in Yeongjongdo, Incheon.

On August 7, Paradise announced in a regulatory filing that its consolidated operating profit for the second quarter of this year was provisionally tallied at 42.9 billion won, up 33.9% from the same period last year. Revenue increased by 4.1% to 284.5 billion won.

Specifically, revenue from the integrated resort, including the Paradise City casino, rose 15.9% year-on-year to 152.3 billion won, leading the overall growth. The combined second-quarter revenue from the four casinos operated by Paradise?Seoul Walkerhill, Paradise City, Busan, and Jeju?reached a record high for any quarter at 229.8 billion won, up 7.1% from the same period last year.

The drop amount (the total amount customers exchanged for chips to play casino games) was 1.835 trillion won, a 7.7% increase compared to the same period last year. Japanese VIPs and mass (general customers) drove the rise in casino revenue, with their drop amount increasing by 10.6% year-on-year to hit a quarterly record. Meanwhile, total hotel revenue from all hotels operated by Paradise was 27.6 billion won, a slight decrease of 0.1% from the previous year.

A Paradise representative stated, "As the first integrated resort in Northeast Asia, we have made significant investments and efforts to open a new horizon in hospitality," adding, "It is encouraging that these results are now appearing as we overcome COVID-19 and achieve long-term revenue stability." The representative also commented, "With our diverse infrastructure, we expect stable revenue growth over the long term."

Grand Korea Leisure (GKL), the operator of Seven Luck, posted an operating profit of 16 billion won in the second quarter, up 20.8% from the same period last year. Revenue increased by 2.1% to 100.9 billion won.

On this day, GKL decided on an interim dividend totaling 3.7 billion won. The record date for the interim dividend is August 22, and a dividend of 60 won per share will be paid on September 5.