Kangwon Land profit rises 59.8% in Q2
The operator highlighted gains from financial assets rather than improvements in its core business.
South Korea.- The casino and resort company Kangwon Land has posted net profit of KRW100.35bn (US$70.3m) for the second quarter of 2026, up 59.8 per cent year-on-year despite lower casino revenue and a decline in operating profit. In the unaudited earnings report filed with the Korea Exchange, the operator attributed the stronger bottom line to gains from financial assets.
Consolidated revenue for the quarter fell 4.2 per cent year-on-year to KRW345.6bn (US$242.4m), while operating profit dropped 26.2 per cent to KRW43.18bn (US$30.3m). Revenue from the gaming segment, which includes casino food and beverage sales, declined 3.5 per cent to KRW319.9bn (US$224.4m). The company said weaker mass-market performance was driven by a 3.5 per cent fall in visitor numbers and a 3.9 per cent decline in betting volume, resulting in a 2.4 per cent drop in gross gaming revenue to KRW281.8bn (US$197.7m).
The VIP business saw higher visitation and betting activity, with customer numbers increasing 18 per cent and wagers 7.2 per cent year-on-year. However, VIP gaming revenue fell 7.6 per cent to KRW67.4bn (US$47.3m) because of an unfavourable hold rate.
Non-gaming revenue decreased 12.3 per cent to KRW25.7bn (US$18.0m) as ongoing renovations reduced hotel capacity. Kangwon Land is refurbishing 757 hotel and condominium rooms, with the condominium project expected to finish in the fourth quarter of 2027 and hotel renovations scheduled for completion in the first quarter of 2028.
The company added that it has spent KRW87.2bn (US$61.2m) of its KRW145.4bn (US$102.0m) capital expenditure budget for 2026. Most of the investment has gone towards developing a second casino, renovating the VIP gaming floor, upgrading accommodation and building an infinity pool at the Grand Hotel.
For the first half of 2026, operating profit fell 15.6 per cent year-on-year to KRW112.09bn (US$78.6m), while net profit rose 1.9 per cent to KRW140.01bn (US$98.2m). Kangwon Land also reaffirmed its shareholder return policy for 2024–2026, including a dividend payout ratio of at least 50 per cent, and said it plans to repurchase KRW20bn (US$14.0m) worth of treasury shares in the second half of 2026, subject to board approval.
