Paradise Co Ltd is continuing a strong year of revenue increases. The South Korean operator saw an increase of 19% in revenue year over year for the month of May, bringing in KRW61.43 billion ($52 million).
That increase also represents a 7.5% increase month over month. The increase came largely thanks to a 21.8% increase year over year for gaming tables with KRW57.76 billion ($49 million). Gaming machines saw a decline however, with KRW3.68 billion ($3 million) making for a 1.9% decline. With the overall increase at the tables though, the month was a win overall.
Table drop was also down month over month, but up 28.2% year over year, coming in at KRW609.09 billion ($51 million.) With less money being exchanged at the tables month over month, but still showing a month over month decline, hold must have been pretty healthy.
Paradise Co has had a string of revenue increases this year, with increases in every month but March, which suffered due to a fire in one of the operators hotels during that month. Despite the strong year of growth, they reported that for the first quarter of 2019, the company is actually operating at a net deficit thanks to a new accounting system.
The foreign-only operator has been doing well with Chinese VIPs, but they might hope to be doing better to turn that deficit into a profit. While their VIP table drop has been up 19.2% year over year, it has to be hurting in the same ways that Macau has been held back by the U.S.-China trade war. Just a handful of more Chinese manufacturing big-wigs could help turn around the bottom line and impress shareholders even more.
That notwithstanding, Paradise Co is having about as good a year as you can expect for a foreigner-only casino. If they can keep edging these revenues higher month over month, it won’t be surprising to see their second quarter numbers showing a bit more black in them.
