Paradise Co made a loss of KRW18.2 billion ($16.2 million) in Q1 2021, compared to a loss of KRW67.5 billion in Q4 2020. The drop in figures is directly related to travel restrictions due to the ongoing Covid-19 pandemic. Paradise is one of two foreign player-only casino operators in South Korea.
The company’s first-quarter casino sales were KRW37.9 billion. It was down 52 percent year over year and down 31 percent quarter over quarter. When comparing sequential quarters, Paradise sales fell 7% to KRW96.6 billion, while sales fell 48 percent year over year.
EBITDA in Q1 was KRW12.9 billion, up from KRW7.3 billion in Q4 2020. Year-on-year EBITDA dropped to 59 percent. Paradise City casino sales were KRW30.2 billion, up 51% from the previous quarter. But it was down 60 percent from the same period the previous year.
The company operates various venues: the Walkerhill casino in Seoul and the Paradise casinos in Busan and Jeju. The operator also teamed up with Sega Sammy Holdings to operate the Paradise City IR as a joint venture under Paradise Sega Sammy.
In Q1, Paradise Sega Sammy reported a 60% drop in casino sales compared to the same period the previous year, but a 5% increase in hotel sales. Since February, the country’s social distancing measures have been eased, so the company is optimistic about rising hotel occupancy rates.