Shin Hwa World Limited, operator of South Korea’s Jeju Shinhwa World integrated resort, expects its consolidated net loss to narrow by approximately 60 percent to 75 percent year-on-year in the first half of 2026.
Based on the HK$244.4 million ($31.4 million) net loss reported in the corresponding period last year, the guidance implies a loss of approximately HK$61.1 million to HK$97.8 million ($7.8 million to $12.5 million), subject to final adjustments.
In a profit alert issued on Monday, the company attributed the expected improvement mainly to higher consolidated revenue, particularly from its integrated resort business, as well as an increase in the fair value of investment properties. The recovery of taxes paid in previous years also contributed to the narrower loss.
Shin Hwa World said it was still assessing whether an impairment loss on intangible assets would be required. Its interim results are expected to be published in late August.
The company’s Jeju casino was rebranded as LES A Casino in September 2025.
The improvement follows a difficult first half of 2025, when group revenue fell 21.8 percent to HK$410.4 million ($52.6 million). Integrated resort revenue declined 11.6 percent, while gaming revenue dropped 46.1 percent to HK$62.0 million ($7.9 million) due to lower rolling and non-rolling volumes.
The company previously attributed the weaker performance to flight cancellations affecting access to Jeju, lower tourist numbers, pressure on room prices and subdued customer spending. Falling investment property values also contributed to the loss.
