In March 2024, Grand Korea Leisure (GKL) achieved remarkable growth in casino revenue, signaling a resurgence in performance for the renowned South Korean operator catering exclusively to foreign patrons. The month-on-month revenue surge of 19.9% to KRW40.4 billion (US$29.9 million) not only exceeded expectations but also represented a 4.4% increase compared to the same period in the previous year.
Revenue Breakdown and Performance
Breaking down the revenue increase further, table revenue experienced an impressive 19.7% rise, reaching KRW37.3 billion (US$27.6 million), while slots revenue saw a notable 22.7% increase to KRW3.06 billion (US$2.27 million). This strong performance across both gaming segments underscores heightened engagement and spending by GKL’s clientele.
Driving Factors: Increase in Casino Drop
The notable revenue boost was underpinned by a 10.1% increase in the casino’s drop, which totaled KRW321.1 billion (US$237.5 million) during the month. The “drop” reflects the amount of money exchanged for chips by patrons, indicating a surge in gaming activity within GKL’s casinos.
Quarterly Performance and Recovery Trend
Although GKL’s cumulative casino sales for the first quarter of 2024 amounted to KRW93.7 billion (US$69.3 million), marking a 12.9% decline from the previous year, the recent revenue surge in March signals a positive turnaround after a slower start to the year.
Significant Rise in Table Drop
The table drop for the first three months of the year surged to KRW916.0 billion (US$677.4 million), a substantial 21.5% increase compared to the same period in the previous year. This surge in table drop underscores growing patronage and higher-stakes gaming within GKL’s casinos.
Operational Context: GKL’s Strategic Casino Locations
Grand Korea Leisure operates three casinos in strategic locations across South Korea—Seoul and Busan—under the renowned Seven Luck brand. This strategic positioning likely contributes significantly to attracting foreign visitors and maintaining a steady flow of gaming revenue.
Grand Korea Leisure’s financial report for March 2024 highlights a robust recovery and growth trajectory, with a substantial revenue surge driven by increased table and slots revenue alongside a significant rise in the overall casino drop. This positive performance reflects heightened gaming activity within GKL’s casinos, underscoring its appeal to foreign patrons and strategic operational approach in key South Korean cities.