South Korean integrated resort operator Shin Hwa World registered a 30.68 percent reduction in its FY25 loss, dropping to HK$342.51 million ($43.71 million), despite a significant decrease in its gaming revenue.
According to results released on Monday, the group’s Gaming Business saw a 45.2 percent yearly drop in revenue, totaling HK$115.21 million ($14.7 million), with the segment’s loss increasing from HK$139.28 million ($17.78 million) in FY24 to HK$156.65 million ($20 million) in 2025.
The group notes that its gaming segment was impacted by a ‘decrease in rolling win rate combined with lower rolling and non-rolling volumes’.
The figures were within the expectations it announced in early March, predicting a yearly decrease in loss of between 20 and 35 percent. As identified previously, the reduction in loss was influenced by a decrease in operating expenses and an increase in the fair value of investment properties.
While the group’s gaming segment, encompassing the recently-rebranded LES A Casino (formerly Landing Casino) saw a decrease in revenue in 2025, its Integrated Resort Development segment saw a slight uptick of 1.9 percent yearly to HK$769.04 million ($98.15 million).
During the year, the group managed to significantly reduce the IR segment’s loss from HK$215.59 million ($27.51 million) to just HK$68.69 million ($7.48 million).
The group derives its IR income from over 2,000 guest rooms and suites across four hotel brands, F&B, MICE events, theme park attractions, water parks, merchandise sales, and leases of retail spaces.
For the year, the group highlighted that it ‘continued dedication to sales and marketing efforts to enable it to maintain stable segment revenue for the year’.
The group’s board does not recommend the payment of a final dividend for the year, in line with 2024.
All-day destination
Looking ahead, the group indicates that it plans to shift its focus ‘far beyond hospitality and gaming’, positioning Jeju Shinhwa World as ‘a dynamic tourism paradise’.
The group says its focus is on a ‘holistic experience […] tailored not only to attract luxury travel and leisure travelers, but also to serve corporate clients, educational groups, lifestyle influencers, and event organizers’.
Key drivers of repeat visitation are event-based programs, including ‘large-scale poker tournaments, golf clinics, live concerts, seasonal festivals, and themed cultural events’.
These are expected to generate revenue across its F&B, park attractions, and retail outlets, helping to diversify its revenue streams and reduce its reliance on hotel occupancy ‘over the medium term’.
This year, the group plans to ‘continue to invest in facility upgrades and renovations’; however, due to the conflict in the Middle East, ‘the group will exercise prudence in its long-term investment and growth strategies’.
The group highlighted that it does need to maintain the ‘aging infrastructure’ of Jeju Shinhwa World and develop new facilities, for which it has earmarked HK$20 million ($2.55 million) from a recent HK$178.75 million ($22.81 million) rights issue.
But, given the global situation, it is also in the course of ‘reassessing the scope and timing of certain maintenance and new facilities development’ at its IR, which could lead to adjustments in the use of the proceeds. Still, the ‘net proceeds will be fully utilized as intended by the end of 2026’.
Stolen cash returned
In January 2021, Jeju Shinhwa had informed that it was missing funds totaling KRW14.55 billion, about HK$103.71 million ($13.24 million), with about KRW13.4 billion, or HK$72.34 million ($9.23 million) being found by the Jeju Police.
The sum was believed to have been taken by a Malaysian female Landing Casino executive.
While a criminal trial took place in 2025 relating to the primary suspect and the ‘alleged co-conspirator(s)’, the group’s board indicates it ‘is not aware of any judgement having been handed down’. The board highlights that none of the suspects is, or is related to, a director of the company.
Due to the ‘incident’, the company registered a loss of HK$28.96 million ($3.7 million) for FY20.
For FY25, the found cash, amounting to approximately KRW10.15 billion – HK$54.79 million ($7 million), was classified as a current asset as of December 31st, 2025, as KRW12.64 billion – HK$68.25 million ($8.71 million) seized by police ‘has been returned by the Jeju District Prosecutors’ Office to the group in February 2026’.
