Jeju Shin Hwa World Cuts Net Loss by 30% in 2025

Jeju Shin Hwa World Ltd, the Hong Kong Exchange-listed operator of Jeju Shin Hwa World resort and its casino for foreign visitors on South Korea’s Jeju Island, reported a smaller net loss for 2025, amounting to HKD342.5 million (US$43.7 million). This represents a 30.7% improvement from the HKD494.1 million net loss recorded in 2024.

In a Monday filing to the Hong Kong Exchange, the company cited lower amortization and depreciation expenses, reduced operating costs due to fewer one-off charges and a gain in the fair value of investment properties as key factors behind the smaller loss. Total revenue decreased by 10.0% to HKD966.9 million for 2025.

Gaming Revenue Declines

Gaming revenue was the most affected, falling 45.2% year-on-year to HKD115.2 million, making up 11.9% of total revenue compared with 19.6% in 2024. The decline was attributed to lower rolling win rates and reduced rolling and non-rolling volumes.

Despite hosting poker tournaments such as the Korea Poker Cup Series and the Jeju Poker Festival, gaming recorded a loss of HKD156.7 million, up 12.5% from the previous year. Impairments of gaming receivables were also slightly negative at HKD3.7 million, compared with a positive HKD1.6 million in 2024.

Non-Gaming Segments Support Performance

Non-gaming revenue remained relatively steady, decreasing only 1.4% year-on-year to HKD851.7 million. The integrated resort segment, which includes hotels, F&B services, MICE business, theme park and water park operations, merchandise sales and retail rentals, generated HKD769.0 million, a 1.9% increase from 2024.

Operating expenses, excluding staffing, fell 16.3% to HKD436.3 million, helping to offset the decline in gaming income. No final dividend was recommended for 2025, in line with the previous year.

Focus on Non-Gaming Growth

With gaming contributing less than 12% of overall revenue, the resort continues to emphasise its non-gaming offerings while managing costs efficiently. Although poker events have provided visibility for Les A Casino, the lower win rates and reduced volumes have kept the gaming segment in deficit. The 30.7% reduction in net loss demonstrates how stable non-gaming income and expense control can help mitigate challenges in the casino sector.