In a financial landscape marked by challenges and transformations, Paradise Entertainment Ltd, a Hong Kong-listed casino equipment maker, recorded a profit of HKD 139.4 million (approximately USD 17.8 million) for the full year of 2025. This figure represents a significant decrease of 63.5 percent compared to the previous year, showcasing the challenges faced by the company in an evolving market environment.
The company shared these results in a Thursday filing, stating that a substantial majority of its 2025 profit—93.7 percent, to be precise, equating to HKD 130.6 million—originated from the operations of Casino Kam Pek Paradise located in downtown Macau.
Notably, this segment of the business is currently classified as a 'discontinued operation', following city-wide regulatory changes that have redefined the landscape for gaming operations in Macau.
Casino Kam Pek Paradise: The Core Profit Driver
Casino Kam Pek Paradise operated under the license of SJM Resorts Ltd until December 1st of the previous year. SJM Resorts is a business entity under SJM Holdings Ltd, which previously hosted a significant number of Macau's satellite casinos.
However, due to recent regulatory shifts, all but one of these satellite casinos ceased operations. This shift was a crucial factor impacting the profit dynamics of Paradise Entertainment.
Additionally, the company had to account for a payment of HKD 42.1 million in expenses, related to compensation for employees and reimbursements to SJM Resorts for staff involved in gaming operations at Kam Pek Casino. This amount was integrated into Paradise Entertainment’s financial statements as part of employee compensation and benefits costs, affecting the overall financial picture for 2025.
Future Prospects: Innovation and New Ventures
Chairman and Managing Director of Paradise Entertainment, Jay Chun, acknowledged the year's hurdles while highlighting potential opportunities. In his statement, Chun emphasized the company's strategic direction in adapting to market conditions, focusing on innovative products and technology to bolster resilience amidst uncertainty.
The company’s revenue from continuing operations observed a downturn, falling by 45.1 percent year-on-year to reach HKD 201.3 million in 2025.
Furthermore, Adjusted EBITDA witnessed a fall of 54.2 percent from the previous year, settling at HKD 207.5 million. Despite these figures, there is an air of optimism as Paradise Entertainment expands its footprint beyond Kam Pek Casino operations, including its recent dive into the digital gaming world with the 'Infernoplay' iGaming brand for Europe and Asia.
Additionally, the anticipated launch of a new LMG software, 'Black Coral', aims to enhance user engagement and drive future revenue through system replacements. With these strategic moves, alongside a declared final dividend of HKD 0.025 per share, the company aims to stabilize and grow in the evolving market landscape.
Source: Paradise Ent says 94pct of its 2025 profit from Kam Pek casino ops, declares final dividend, GGRAsia, March 27, 2026.
Posted by Wizard
Mar 27 2026
Mar 27 2026
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