Delta Corp Q3 Results: Profit Up Nearly 4%, Revenue Falls 8%

Gaming company Delta Corp Ltd.'s third-quarter profit rose marginally, while revenue and earnings before interest, taxes, depreciation, and amortisation slipped.

Consolidated net profit of the casino and hospitality services operator rose 3.6% over the same period last year from Rs 34.5 crore to Rs 35.7 crore in the three months to December, according to its stock exchange filing.

Delta Corp reported a 7.5% decrease in revenue, reaching Rs 194 crore, compared to Rs 210 crore in the previous period. Ebitda slipped 42.4% to Rs 32.1 crore from Rs 55.8 crore, while the Ebitda margin declined to 16.5% from 26.6%.

Delta Corp Result Highlights (Consolidated, YoY)

• Revenue down 7.5% to Rs 194 crore versus Rs 210 crore.

• Net profit up 3.6% to Rs 35.7 crore versus Rs 34.5 crore.

• Ebitda down 42.4% to Rs 32.1 crore versus Rs 55.8 crore.

• Margin at 16.5% versus 26.6%.

Delta Corp recently saw an uptick in share price, similar to that of other gaming companies, after the Supreme Court agreed to hear the pleas of online gaming companies that were seeking a stay on GST show cause notices.

The Supreme Court went on to grant a stay on the proceedings.

The show cause notices, which are related to the imposition of a 28% Goods and Services Tax on online gaming companies, had been a cause of concern for the industry.

"This development underscores the evolving legal and policy landscape for online gaming in India, with the Supreme Court’s eventual ruling likely to shape the future of the industry," said Abhishek A Rastogi, founder of Rastogi Chambers, who is representing the gaming companies before the Supreme Court.

For now, the industry is awaiting the Supreme Court's final ruling in March.