Gaming company Delta Corp's third quarter earnings disappointed analysts on Wednesday as consolidated net profit plunged 68.8 percent sequentially to Rs 10 crore on lower casino business.
Gaming company Delta Corp's third quarter earnings disappointed analysts on Wednesday as consolidated net profit plunged 68.8 percent sequentially to Rs 10 crore on lower casino business but year-on-year growth was 37.2 percent in bottomline.
Total income from its operations declined 22.9 percent quarter-on-quarter (up 4.5 percent) to Rs 103.6 crore as casino gaming division, which contributed 87 percent to total business, reported a 27 percent degrowth (4.3 percent YoY growth) at Rs 90.35 crore compared with previous quarter.
Hospitality business grew by 15.9 percent quarter-on-quarter and 7.7 percent year-on-year to Rs 18.19 crore in the quarter ended December 2016.
EBITDA (earnings before interest, tax, depreciation and tax - operating profit) dropped 44.8 percent sequentially and 3.5 percent year-on-year to Rs 31.3 crore. Margin during the quarter also contracted sharply to 30.2 percent from 42.2 percent in previous quarter and 32.7 percent in year-ago period.
Meanwhile, Delta Corp has received a license for casino operations in Gangtok, Sikkim. It already has three offshore and one onshore casino in Goa.
At 09:28 hours IST, the stock was quoting at Rs 133.45, down Rs 1.95, or 1.44 percent on the BSE.