[Edaily Reporter Park Soon-yeop] VIP Asset Management has increased its stake in #LotteTourismDevelopment to nearly 8%. As the Jeju Dream Tower Complex Resort continues to show improved performance, the securities industry is also viewing its profit growth potential favorably, drawing attention to the possibility of a revaluation of Lotte Tourism Development’s stock price.
According to the Financial Supervisory Service’s electronic disclosure system on the 10th, VIP Asset Management disclosed that its holdings of Lotte Tour Development shares increased from 4,765,064 shares as of October 2 last year to 6,375,419 shares as of the 9th. Its stake rose by 2.02 percentage points, from 5.97% to 7.99%. The change was made through on-exchange trading, and the purpose of the holding is simple investment.

VIP Asset Management’s stake expansion is particularly significant as it coincides with Lotte Tour Development’s recovery in performance. Since the start of this year, Lotte Tour Development has been simultaneously achieving sales growth and improved profitability, driven primarily by the Jeju Dream Tower Complex Resort. In the first quarter, consolidated revenue reached 156.2 billion won, a 28.1% increase year-over-year, while operating profit rose 121% to 28.8 billion won. The operating profit margin also rose to 18.4%.
The trend in the early part of the second quarter is also positive. In May, the Jeju Dream Tower Complex Resort recorded total revenue of 64.96 billion won, combining net casino revenue and hotel revenue. This represents a 16.1% increase year-over-year and marks the company’s best performance so far this year. The number of casino visitors exceeded 60,000 for the first time on a monthly basis, and the hotel room occupancy rate reached 87.3%. With both casino visitors and drop volume increasing, the table hold rate stood at 22.6%, approaching the average of 25.1% for the nine mega-resorts in Macau’s Cotai region.
The securities industry is also paying close attention to this trend of improving performance. iM Securities initiated coverage on Lotte Tour Development today, issuing a “Buy” rating with a target price of 28,000 won. It projected this year’s revenue to reach 763.1 billion won, a 17% increase year-over-year, and operating profit to rise 35% to 192.9 billion won. The firm cited Jeju’s 80% casino market share, the recovery of Chinese inbound tourism, and the potential for reduced financial costs due to debt refinancing as key factors.
The market is focusing on the fact that the company’s structure is becoming more resilient as both casino and hotel revenues grow simultaneously, thereby absorbing the burden of fixed costs. Analysts note that VIP Asset Management’s increased stake, coupled with this trend of improving performance, could serve as a factor boosting the potential for a revaluation of Lotte Tour Development.