Grand Korea Leisure, the operator of South Korea’s Seven Luck casinos, reported a 68.3 percent jump in Q1 revenue, bucking the trend for dismal quarterly results.
The company had net income of 14.7 billion won ($12.1 million.) Its operating profit for the period was 26.9 billion won, up from 17 billion won a year earlier. However, revenue edged up just 2.1 percent to 111.5 billion won.
According to the Yonhap news agency, the company’s operating profit was 60.4 percent higher than the average estimate from its Yonhap Infomax financial data firm.
The operator, which is a unit of the Korean Tourism Organization, gave no commentary with the results announcement that was provided to the Korean Stock Exchange.
GKL closed its casinos on March 24 due to the coronavirus and announced it was reopening on May 7. For the month of March, the operator reported a 72 percent drop in sales, implying a strong start to the year before the pandemic hit.
GKL operates three foreigner-only Seven Luck casinos.
This Dossier results from the “Life After POGOs” editorial project by Asia Gaming Brief which culminated with a pop-up digital forum on 9th December to discuss potentials ramifications in the industry.
On 3 April 2020, the Ministry of Home Affairs of Singapore (MHA) announced that it will be reconstituting the Casino Regulatory Authority (CRA) to establish the Gambling Regulatory Authority (GRA) by 2021. The GRA will have an expanded mandate to regulate the entire gambling landscape in Singapore and aims to consolidate and optimize gambling regulatory resources within a single agency.
The Macau Civil Servants Association has urged Chief Executive Ho Iat Sent to encourage the other five gaming operators to follow SJM Holdings in providing a "reward" to employees early in the New Year.
Over the years, many of the answers have been remarkably prescient in their forecasts for the near-term direction of Asia’s gaming industry. However, we can safely say that no one came anywhere close to guessing
what 2020 may have had in store.
While nowhere in the world has escaped the economic fallout from the Covid-19 crisis, Macau has been hit harder than most, with forecasts for gross domestic product to shrink more than 50 percent this year.