Paradise Co. Operating Profit Surges 62.3% in Third Quarter of 2026
South Korea – 11 November 2026 – www.zonadeazar.com Paradise Co., one of South Korea’s leading casino operators, reported a 62.3% year-on-year increase in operating profit for the third quarter of 2026, supported by stronger gaming revenue, improved table hold and the consolidation of Hyatt hotel operations.
According to preliminary financial results filed with the Korea Exchange on 10 November, operating profit reached KRW64.12 billion (US$47.9 million), while consolidated revenue increased 22% to KRW351.66 billion (US$262.5 million).
Key Financial Results
The third-quarter performance reflects a significant improvement in profitability compared with the same period in 2025.
Key financial indicators include:
- Consolidated revenue: KRW351.66 billion, up 22% year-on-year.
- Operating profit: KRW64.12 billion, representing a 62.3% increase.
- Operating margin: 18.2%, compared with 13.7% a year earlier.
- Net profit attributable to parent-company shareholders: KRW27.78 billion, up 20.6%.
- Quarter-on-quarter operating profit growth: 80.4% compared with the second quarter of 2026.
Consolidated revenue also increased 10.6% compared with the previous quarter.
Casino Operations Achieve Record Revenue
The company reported record quarterly casino revenue of KRW267.5 billion (US$199.7 million) across its four casino properties, representing a 23.1% year-on-year increase.
Casino table drop, the amount of money exchanged for gaming chips, increased by 8.3% to KRW1.96 trillion (US$1.46 billion).
Revenue growth significantly outpaced the increase in gaming volume, supported by improved hold rates.
The group’s overall casino hold rate increased by 1.6 percentage points to 12.9%.
Paradise City Drives Financial Growth
One of the principal contributors to the group’s performance was Paradise SegaSammy, the joint venture responsible for operating the Paradise City integrated resort in Incheon.
The company is owned 55% by Paradise Co. and 45% by Japan’s Sega Sammy group.
During the third quarter, Paradise SegaSammy reported record revenue of KRW191.38 billion (US$142.9 million), representing a 27.7% year-on-year increase.
Operating profit surged 72.5% to KRW38.30 billion (US$28.6 million).
The results reflect simultaneous growth across the resort’s casino and hotel operations.
Higher Casino Profitability
Paradise City’s casino revenue increased 25% during the reporting period.
The improvement was supported by a 2.6-percentage-point rise in the property’s hold rate, which reached 13.5%.
The resort also recorded stronger gaming activity among customers classified as other VIPs and mass-market players.
These developments contributed to improved profitability and strengthened Paradise City’s role within the group’s overall gaming business.
Hyatt Strengthens Hotel Performance
The consolidation of Hyatt operations also contributed positively to Paradise Co.’s financial results.
The group recognised KRW11.3 billion (US$8.4 million) in consolidated Hyatt revenue during the quarter.
At Paradise SegaSammy, hotel revenue increased 44.6% year-on-year, supported by the normalisation of Hyatt operations and improved occupancy levels.
Hyatt Regency Incheon achieved operating profitability, while occupancy reached 73.4%, an increase of 21 percentage points compared with the second quarter.
Meanwhile, Paradise City’s hotel occupancy stood at 85.9%, remaining broadly unchanged year-on-year.
Revenue Growth Offsets Higher Operating Costs
Stronger revenue allowed the company to absorb a 15.6% year-on-year increase in operating expenses.
The main cost drivers included higher personnel expenses, complimentary benefits provided to casino customers, gaming-related taxes and contributions to industry funds.
Operating expenses associated with Hyatt’s hotel business also contributed to the increase.
Despite these pressures, Paradise Co. successfully expanded its operating margin and significantly improved quarterly profitability.
Nine-Month Financial Performance
Although the third quarter delivered a strong recovery, Paradise Co.’s cumulative financial results remained more subdued.
For the first nine months of 2026, consolidated revenue reached KRW963.71 billion (US$719.5 million), representing a 12.6% year-on-year increase.
However, cumulative operating profit declined 1.9% to KRW136.98 billion (US$102.3 million).
The nine-month operating margin fell to 14.2%, compared with 16.3% during the corresponding period in 2025.
Net profit attributable to parent-company shareholders also declined 20% to KRW60.04 billion (US$44.8 million).
Outlook and Industry Impact
Paradise Co.’s third-quarter results demonstrate a recovery in profitability, supported by stronger casino revenue and increased contributions from hotel operations.
Improved hold rates and the performance of Paradise City were key factors in offsetting higher operating expenses.
Nevertheless, the decline in cumulative profit during the first nine months highlights the challenges the company continues to face in achieving a sustained recovery.
International tourism trends, VIP gaming activity and the profitability of hotel operations will remain important factors in determining the group’s performance during the remainder of 2026.
Editó: @fonta
