Feeling the sting from the impact of multiple COVID-19 related closures, Kangwon Land, South Korea’s only casino where locals are permitted to gamble alongside foreign tourists, has reportedly recorded a KRW275.88 billion (US$249.7 million) loss in 2020.
According to the report from Inside Asia Gaming, FY20 financial results for the Seoul-listed firm, Kangwon Land Incorporated, were released on Monday, the same day as the casino’s reopening following its latest two-month closure. It was the third temporary closure since February 2020 when the government of South Korea raised its alert level regarding the outbreak to its highest ‘red’ degree. The gambling venue’s current casino floor capacity limit is 1,200 people.
Following the 21-week closure from February 23 last year, the casino located approximately 93 miles from Seoul in rural Gangwon Province reopened for VIP guests on May 8, while main gaming floor players were welcomed back from July 20, only to be closed again for 50 days from August 23.
The property’s significant losses were a complete turnaround from Kangwon Land’s reported KRW334.65 billion (US$302.9 million) profit in 2019, with the difference being a KRW610.53 billion (US$552.6 million) downward slide.
Sales dipped 68.5 percent year-on-year to KRW478.58 billion (US$433.2 million), while for the three months to December 31, 2020 sales declined 64.8 percent year-on-year to KRW131.32 billion (US$118.9 million). It was an improvement from Q3 sales of KRW76.62 billion (US$69.3 million) due to additional operating days. Loss for the quarter, meanwhile, was KRW33.35 billion (US$30.2 million), according to the source.