Grand Korea Leisure’s January casino sales drop 11.3%

Neha Soni February 5, 2025
Grand Korea Leisure’s January casino sales drop 11.3%

Grand Korea Leisure (GKL), a South Korean operator of foreigner-only casinos, has reported a decline in casino sales for January. GKL reported an 11.3 percent decline in casino revenue sequentially to KRW34.34 billion (US$23.5 million).

However, the January casino sales were up 75.3 percent year-on-year. Meanwhile, table games continued to contribute majorly to the casino revenue, coming in at KRW31.41 billion. This marked a monthly fall of 11.9 percent. However, sales from table games were up 90.3 percent from the corresponding period last year.

For the month, machine-game sales were KRW2.93 billion, down 4.3 percent from December last year. They were also lower 5.1 percent from a year ago.

GKL operates three foreigner-only casinos in South Korea, Seoul and Busan under the Seven Luck brand. GKL is a subsidiary of the Korea Tourism Organisation, which is affiliated to the country’s Ministry of Culture, Sports and Tourism.

In January, GKL’s three casinos registered an aggregate casino sale of KRW266.71 billion, a decline of 3.2 percent sequentially and 12.1 percent lower than a year ago, said the company in its Tuesday filing.

How are rival firms faring?

Rival firm and South Korea’s leading foreigner-only casino operator, Paradise Co reported a rise in casino revenue in its January performance figures. The company registered casino revenue of KRW70.42 billion, a modest 1.0 percent increase sequentially. The revenue was down 2.3 percent from the same period last year.

As per the statement, January’s table games revenue was reported as KRW65.77 billion, down 0.4 percent sequentially. The figure was down 2.2 percent from the same period last year.

Machine game sales, on the other hand, rose 24.5 percent sequentially to KRW4.7 billion. However, they were down 4.5 percent from the corresponding year.

The total amount wagered on table games, or table drop, stood at KRW 579.4 billion (€384.7 million), reflecting a 7.1 percent sequential increase and a 1.8 percent year-on-year growth. But, an overall slowdown was evident.

Paradise Co has not provided specific reasons for the 2.3 percent year-on-year decline in January 2025 casino revenue. Fluctuations in monthly revenue can result from various factors, including seasonal variations, economic conditions, and shifts in customer preferences. One major reason could be disruptions caused by Lunar New Year celebrations.

Financials of Lotte Tour’s Jeju Dream Tower

Jeju Dream Tower, Lotte Tour’s Korean integrated resort, has reported a rise in casino revenue for January 2025. The casino reported KRW29.4 billion ($20.15 million) in revenue for the month, marking a 23.2 percent rise year-on-year.

The casino’s revenue for the month was up 24.8 percent higher than last month. As per the statement, January’s casino revenue included KRW28.1 billion in table revenue and KRW1.28 billion in machine revenue. The table revenue was up 27.2 percent month-on-month whereas the machine revenue was down 11.5 percent.

In addition, table drop of KRW121.1 billion was marginally up 0.2 percent year-on-year but down 8.8 percent sequentially. For January, hotel revenue grew by 7.5 percent year-on-year to reach KRW5.53 billion.

The strong beginning of 2025 follows Lotte Tour’s recent report of rise in casino revenue for 2024. Lotte Tour reported a 93.3 percent increase in casino revenue for 2024, reaching KRW 276.5 billion, as it continues to recover from the impact of COVID-19. In contrast, hotel revenue for the year dropped by 7.8 percent, totaling KRW 84.5 billion.

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