Casinos in South Korea: Interim CEO aims to make Kangwon Land a global integrated resort
Choi Cheol-kyoo cites Las Vegas as a model.
South Korea.- Choi Cheol-kyoo, the interim CEO of Kangwon Land, has said he aims to transform the resort into a world-class tourist destination with a wide range of offerings beyond gambling. He said the company plans to increase non-casino revenue from 13 per cent to 30 per cent by 2032 and add more restaurants and retail outlets and a larger space for shows and events.
In an interview with The Korea Times, stated: “Just as Las Vegas transformed from a desert mining town into a global entertainment hub, Kangwon Land has the potential to transform from a former coal mining region. Distance is no longer a barrier in today’s world, and we aim to create a world-class destination here.”
Kangwon Land has applied to host the Asia Model Festival 2024 to help the resort to position itself on the global stage. Cheol-kyoo said the fact that Singapore, Japan and Macau are aggressively investing in the gaming industry means there is pressure to modernise Kangwon Land, which has the only casino in South Korea that allows locals to enter, to remain competitive regionally and globally.
In April, Kangwon Land unveiled a KRW2.5tn (US$1.85bn) investment plan dubbed K-HIT Project 1.0. It will triple the size of casino space by 2032. The company aims to enhance the gaming experience for international visitors and align operational standards, including betting restrictions, with global benchmarks.
See also: Kangwon Land receives green light for casino expansion
Kangwon Land net profit up 64.2% in Q2
For the second quarter of the year, Kangwon Land posted net profit of KRW149.8bn (US$107.9m), up 59.5 per cent in quarter-on-quarter terms and 64.2 per cent when compared to the second quarter of 2023.
Gaming sales were up 3.8 per cent year-on-year but down 3.4 per cent sequentially at KRW305.4bn (US$220m). Non-gaming sales reached KRW32.3bn (US$23m), down 11.5 per cent year-on-year and down 37.8 per cent when compared to the previous quarter. Sales mainly came from the firm’s hotel operation, plus its condominium and skiing business.
Operating profit was down 3.1 per cent sequentially and down 10.4 per cent from last year at KRW73.4bn (US$52m).
