Kangwon Land Inc, the operator of South Korea’s only casino open to locals, reported a sharp drop in net income for the first quarter of 2025, according to a regulatory filing released Tuesday. The company posted a net income of KRW78.0 billion ($54.3 million) for the period, representing a 16.9 percent decline compared to the same period last year and a 31.1 percent drop quarter-on-quarter.
Gaming sales lead revenue
Despite the earnings drop, total sales rose 6.2 percent quarter-on-quarter to KRW365.8 billion. However, the sales were down 0.6 percent year-on-year. Meanwhile, the remained Kangwon Land’s primary revenue driver, totaling KRW316.8 billion for the quarter. The figure witnessed a marginal fall of 0.2 percent year-on-year but is up 4.6 percent sequentially. Revenue from mass table games amounted to KRW160.4 billion, marking a 0.5 percent year-on-year decrease, while VIP club revenue rose by 4.2 percent to KRW48.7 billion.
The casino’s total gaming drop — the amount spent on chips by players — stood at over KRW1.45 trillion, up 5.5 percent compared to the same period last year. Slot machine sales for the quarter were KRW135.3 million, down 2.0 percent from a year ago. For the period, Kangwon Land welcomed 621,035 visitors, an increase of 2.7 percent year-on-year. Notably, foreign visitor numbers surged 16.2 percent year-on-year, from 6,725.
Kangwon Land’s non-gaming revenue dropped 5.7 percent year-on-year to KRW49.0 billion. However, it rose 18.6 percent quarter-on-quarter. In contrast, operating income for Q1 rose 2.5 percent year-on-year and surged 75.4 percent compared to Q4 2024, reaching KRW77.7 billion. The company has been actively revamping its facilities to enhance the overall visitor experience, aiming to better appeal to both domestic and international customers.
Last year figures
Last year, Kangwon Land reported a net income of KRW455.38 billion for the year, a 33.6 percent jump from the corresponding year. This growth was attributed to a boost in non-operating income during the year. The company saw a modest sales growth of 2.8 percent, reaching KRW1.43 trillion, up from KRW1.39 trillion the year before. Kangwon reported a flat year-on-year performance in operating income, remaining unchanged at KRW283.28 billion.
In February, the operator began a pilot operation of a “Casino Zone for Foreigners Only,” a move that aims to provide foreign tourists with enhanced access to the resort’s gaming facilities. The announcement reportedly came after the company received permission in September 2024 to revise its casino business restrictions. The new foreigner-only gaming zone will initially feature a raised betting limit, increasing from KRW100,000 to KRW20 million. This change is designed to make the casino more appealing and accessible to international visitors.
