Delta Corp share price falls 6% on weak September quarter earnings; details

Delta Corp Q2 results impact: Casino company Delta Corp shares slipped up to 6.20 per cent to hit an intraday low of Rs 111.95 per share on Thursday, November 07, 2024. 

 

The fall came after the company reported a weak set of September quarter earnings on November 06, 2024.

 

The company’s consolidated net profit plunged 61.1 per cent year-on-year (Y-o-Y) to Rs 27 crore in the September quarter of financial year 20245 (Q2FY25), as opposed to Rs 69.4 crore in the September quarter of financial year 2024 (Q2FY24).

 

The company’s revenue from operations dropped over 28.1 per cent year-on-year to Rs 188 crore in Q2FY25.

 

The company’s profit before tax (PBT), meanwhile, plunged 59.3 per cent annually to Rs 37.6 crore in Q2FY25, as against Rs 92.4 crore in Q2FY24. 

 

At the operating front, earnings before interest, tax, depreciation and amortisation (Ebitda) tanked 66 per cent annually to Rs 33.9 crore in Q2FY25, as opposed to Rs 100.1 crore in Q2FY24. 

 

Consequently, Ebitda margin squeezed 18 per cent in Q2FY24, from 38.3 per cent in Q2FY24.

 

Additionally, the revenue from gaming operations stood at Rs 177.2 crore, down 23.1 per cent annually. The revenue from hospitality business was at Rs 9.7 crore, up 13 per cent Y-o-Y.

 

Delta Corp is a company in the casino and gaming sector, known for its diverse range of gaming options, including live, electronic, and online formats. 

 

With a presence in Goa and Sikkim, as well as operations in Nepal, Delta Corp is a leader in India's casino destinations. 

 

Established in 1990 initially as a real estate consultancy and textiles business, the company has grown its portfolio to include casino gaming, hospitality, and real estate ventures.

 

Delta Corp owns prominent casinos like Deltin Royale, Deltin JAQK, and Deltin Caravela in Goa, with Deltin Royale being India's largest offshore gaming vessel. It also operates an electronic casino at the Deltin Suites hotel in Goa. 

 

In the online gaming sector, the company manages Adda52.com, a popular online poker site, and Faboom, a multi-gaming platform. Additionally, Delta Corp has a hospitality arm, operating hotels in Goa and Daman, including The Deltin, a luxury property in Daman with plans for a 60,000 sq ft casino.

 

At 1:43 PM, Delta Corp shares were trading 1.42 per cent lower at Rs 117.65 per share. In comparison, BSE Semsex was trading 1.09 per cent lower at 79,498.73 levels.