Kangwon Land Inc, operator of the only casino in South Korea at which locals are permitted to gamble, has provided an update on the progress of a Value-up Plan announced last year.
The plan, which aims to enhance shareholder value and investment appeal, includes various targets such as achieving a 60% total shareholder payout ratio, a PBR (Price-to-book ratio) of 1.2x and 100% compliance with “Key Indicators of Corporate Governance” through focused improvements in the protection of minority shareholder rights and interests – all by end-2026.
In a presentation filed with the Korea Exchange this week, Kangwon Land said it had already achieved its 60% total shareholder payout ratio goal in FY24 while its PBR had reached 1.0x as of 2Q25, with the company added to the KRX Korea Value-Up Index in June.
Compliance with “Key Indicators of Corporate Governance” had reached 87% – aided by the rollout of an electronic voting system, improvement of dividend procedures to enhance the predictability of cash dividends and shareholders being notified of Kangwon Land’s dividend policy and payment plan at least once a year.
The company noted that in FY24 it had achieved a 2.8% increase in revenue, driven by company-wide service enhancement and diversification efforts in non-gaming revenue, while net income climbed 34% to record highs due to cost optimization, gains from financial assets and proactive tax defense strategies.
It also outlined key initiatives and progressions on its casino floor aimed at improving the gaming experience for customers. Recognizing overcrowding issues, the existing casino floor space has been expanded by 1,433 square meters with per capita gaming space up from 2.3 square meters to 3.2 square meters. Entry procedures have also been enhanced while a remodeling of the VIP floor is scheduled for completion in 1H27.
As reported by IAG, Kangwon Land was earlier this year granted permission to raise maximum bets on two VIP gaming tables and four mass tables, as well as in its foreigner-only playing zone.
It is also in the process of building a second casino facility – part of a US$1.9 billion expansion that will add a hotel and additional leisure facilities. The expansion will see the property’s casino space grow from 14,513 square meters currently to 20,261 square meters, while the total number of gaming tables will increase from 200 to 250 and gaming machines from 1,560 to 1,810.
The project is slated for completion by 2028.
In releasing its update, Kangwon Land reiterated the reasons for implementing the Value-Up Plan, stating, “Major recent risk factors for our business include the illegal gambling industry (illicit gambling) that has been expanding since the pandemic and competition with overseas casinos in Southeast Asia.
“In particular, the side effects of illicit gambling have caused personal/social problems, with a direct impact on the number of visitors to our casino and the decline in sales in recent years.”
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