Paradise Co, a leading South Korean casino operator, has reported a significant decline in its September casino sales, with gross gaming revenue (GGR) plummeting to just $46 million. This marks a sharp decrease from the previous month and has raised concerns about the company’s financial health.
The company, which operates several casinos in South Korea, including the popular Paradise City resort in Incheon, saw its GGR drop by 38 percent compared to August. This decline has been attributed to a number of factors, including a decrease in the number of high-rolling VIP players visiting the casinos and ongoing restrictions related to the COVID-19 pandemic.
In addition to the decrease in high-roller visits, Paradise Co also reported a decline in revenue from its mass-market segment. The company cited concerns about the rapidly spreading Delta variant of COVID-19 as a major factor in the decrease in tourist arrivals and overall foot traffic to its properties.
Paradise Co’s financial woes have also been compounded by the South Korean government’s decision to extend the social distancing restrictions in the country, which have limited the operating hours of casinos and other entertainment venues. This has had a significant impact on the company’s ability to attract and retain customers, leading to a decline in revenue across all of its properties.
Despite the challenges facing Paradise Co, the company remains optimistic about its future prospects. In a statement, the company expressed confidence that it would be able to weather the storm and emerge stronger on the other side of the pandemic. The company also emphasized its commitment to implementing strategic initiatives to drive growth and improve profitability in the long term.
Investors and analysts will be closely monitoring Paradise Co’s performance in the coming months to assess whether the company can bounce back from its recent setbacks. With the ongoing uncertainty surrounding the COVID-19 pandemic and its impact on the global economy, it remains to be seen how Paradise Co will navigate the challenges ahead and position itself for future success.