[Click eStock] "Lotte Tour Development, Increase in Chinese Tourists Due to Macau Crackdown... Rapid Growth"

SK Securities analyzed on the 4th that Lotte Tour Development will continue to show steep growth this year as well.

Na Seung-du, a researcher at SK Securities, stated in a report on the same day, “The number of visitors arriving in Jeju Island, which was around 16,000 on January last year, recovered to about 77,000 in December last year,” and explained, “As the number of foreign visitors to Jeju Island rapidly increased, the sales of Lotte Tour Development’s foreigner-only casino also grew.”

In fact, the monthly casino sales, which were about 6.1 billion KRW in March last year, recorded 14.2 billion KRW in December last year, showing more than double growth in a short period. It is expected that this steep growth trend can be maintained this year as well.

The first reason for the expected growth is the increase in transportation means to Jeju Island. Researcher Na said, “The number of flights to Jeju Island is expected to recover to around 10,000,” and added, “With the increase in calls by large cruise ships, the number of foreign visitors to Jeju Island is expected to recover to around 1.2 million this year.”

The second reason is the continued benefit from Macau crackdowns. He explained, “China’s authorities continue to impose luxury gaming regulations to escape political and economic instability, so high-spending Chinese customers who frequently visited Macau are still cautious,” and “At the same time, with the approval of group Chinese tourists’ entry into Korea, an environment has been created where high-spending customers can visit our country without hesitation.”

Casino drop amounts are also steadily increasing. The casino drop amount, which was about 96 billion KRW in March last year, increased to about 130 billion KRW in December last year. He analyzed, “Although monthly performance may vary depending on the hold rate, the steady increase in drop amounts means that the fundamental strength supporting casino performance is improving,” and “It is the perfect time to increase investment weight, expecting a better tomorrow than today, and a better 2024 than 2023.”

This content was produced with the assistance of AI translation services.