{"id":21958,"date":"2021-08-25T09:04:03","date_gmt":"2021-08-25T12:04:03","guid":{"rendered":"https:\/\/focusgn.com\/asia-pacific\/?p=21958"},"modified":"2026-04-23T16:20:04","modified_gmt":"2026-04-23T19:20:04","slug":"kangwon-land-licence-extended-by-20-years","status":"publish","type":"post","link":"https:\/\/focusgn.com\/asia-pacific\/kangwon-land-licence-extended-by-20-years","title":{"rendered":"Kangwon Land licence extended by 20 years"},"content":{"rendered":"\n

Kangwon Land has been granted a 20-year licence extension until 2045.<\/p>\n\n\n\n\n\n\n\n

South Korea.-\u00a0Kangwon Land\u2019s licence\u00a0<\/strong>has been extended for another 20 years until 2045 in return for a tax increase.<\/p>\n\n\n\n

The licence for the only casino in South Korea that is open to nationals was to end in 2025 but\u00a0has been extended in exchange for a payment of 13 per cent of gross gambling revenue<\/strong>\u00a0to the Abandoned Mine Fund.<\/p>\n\n\n\n

The new agreement\u00a0replaces the current 25 per cent tax on profit before tax (PBT)<\/strong>. According to the government, the change is to ensure that payments are made regardless of whether the company is profitable. It will effectively increase payments by around 43 per cent to KRW208bn.<\/p>\n\n\n\n

Kangwon Land<\/a>\u00a0recently reported a net profit of KRW20.9bn (US$18.2m)\u00a0<\/strong>for the second quarter of the year. However, its cumulative net loss for the first half amounts to over KRW19bn. For the previous quarter, the company reported a\u00a0net loss of KRW40.9bn (US$36.6m)<\/a>\u00a0and sales of KRW97.4bn.<\/p>\n\n\n\n

Kangwon Land<\/a>\u00a0has reduced its capacity again to 30 per cent of pre-pandemic levels<\/strong>\u00a0due to an increase in Covid-19 cases in South Korea.<\/p>\n\n\n\n

Kangwon Land to see improvement in the next quarter<\/h2>\n\n\n\n

JP Morgan Securities<\/a>\u00a0<\/strong>has predicted the casino operator will improve its operating profits in the next three months unless the social distancing gets tighter.<\/p>\n\n\n\n

Analysts said: \u201cThird-quarter mass\/slot revenues should be 20 per cent above second quarter\u2019s<\/strong>, while we project more than KRW25bn (US$21.7m) in operating profits in the third quarter of 2021.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"

Kangwon Land has been granted a 20-year licence extension until 2045.<\/p>\n","protected":false},"author":176,"featured_media":17776,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"is_press_release":false,"is_interview":false,"is_opinion":false,"focusai_summary":"Kangwon Land has secured a 20-year license extension until 2045 for its South Korean casino, replacing its previous 2025 expiry. This extension is contingent on a revised tax structure, shifting from 25% of profit before tax to 13% of gross gambling revenue, projected to increase contributions by 43% to KRW208bn. The change aims to ensure consistent payments irrespective of the operator's profitability, amidst current operational challenges due to COVID-19 and mixed financial results.","focusai_entities":"Kangwon Land, JP Morgan Securities","focusai_location":"South Korea","focusai_target_profile":"ceo_executive (0.9), regulator (0.95), compliance_legal (0.85), operator_casino (0.95), investor_analyst (0.9), supplier_vendor (0.7), journalist_researcher (0.9)","focusai_suggestions":[{"label":"GGR Tax Impact","query":"What is the projected net impact on Kangwon Land's EBITDA and shareholder value from the transition to a 13% GGR tax, considering its historical PBT and current operational constraints?"},{"label":"Regulatory Precedent","query":"Does this GGR-based tax model for Kangwon Land establish a precedent for future regulatory frameworks or license renewals for other potential integrated resorts in South Korea?"}],"footnotes":""},"categories":[28,16338,158],"tags":[16471,23907],"class_list":["post-21958","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-casino-news","category-east-asia-news","category-slider-home","tag-kangwon-land","tag-land-based-casino"],"_links":{"self":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/21958","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/users\/176"}],"replies":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/comments?post=21958"}],"version-history":[{"count":4,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/21958\/revisions"}],"predecessor-version":[{"id":21975,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/21958\/revisions\/21975"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media\/17776"}],"wp:attachment":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media?parent=21958"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/categories?post=21958"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/tags?post=21958"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}