Delta Corp rose 2.44% to Rs 278.80 after the company reported net loss of Rs 22.57 crore in Q2 September 2021, lower than net loss of Rs 54.91 crore in Q2 September 2020.
Delta Corp reported net loss of Rs 28.93 crore in Q1 June 2021 (Q1 FY22).Net sales surged 94.74% to Rs 74.72 crore in Q2 September 2021 (Q2 FY22) over Q2 September 2020 (Q2 FY21).
On a sequential basis, net sales declined 1.52% in Q2 FY22 from Q1 FY22. The income from casino gaming division fell to Rs 40.05 crore in Q2 FY22 as against Rs 41.43 crore in Q1 FY22.
The revenue from hospitality division rose 27.60% to Rs 12.53 crore from Rs 9.82 crore in the previous quarter.
The income from online skill gaming division stood at Rs 40.45 crore in Q2 FY22, lower than Rs 43.28 crore in Q1 FY22 and Rs 44.59 crore in Q2 FY21.
Due to COVID-19 pandemic and the consequent lockdowns announced by the respective government authorities, the operations of the Group were suspended since the third week of March 2020 to October 2020. Even during the current financial year, the Group could operate only partially amid second wave of the pandemic.
In Goa, the Group's casinos were operational for a part of April 2021 at 50% of normal capacity and with effect from 20 September 2021 with restrictions except for King Casino (under subsidiary- Delta Pleasure Cruise Company), which resumed operation from 3 October 2021.
The Group's hotels in Goa were operational for a part of April 2021 at 5096 of normal capacity and with effect from 5 July 2021 with restrictions.
The Group's casino at Sikkim was operational for April 2021 and part of May 2021 at 50% of normal capacity and with effect from 16 August 2021 with restrictions.
The Group's casino at Nepal was operational with effect from 8 September 2021 with restrictions.
The Group and the entire casino industry in Goa have made a representation to the Government of Goa, seeking a waiver/reduction/proportionate payment mechanism for casino licence fees for the period of shut down.
In current period the Group has provided a proportionate charge of license fees of Rs 23.75 crore and Rs 39.58 crore for quarter and six months ended 30 September 2021, respectively. The said license fees for the period of shut down is only provided for and the actual payment for the same has not taken place. Due to the pandemic situation, the stress on the operations and the representations made, the management is hopeful that the Government of Goa may consider its request, favourably. In such a situation, the provision of license fees made in the books may not be payable in full or in part, as per direction of the Government of Goa.
Delta Corp owns and operates casinos in India, in the states of Goa and Sikkim, offering approximately 1,800 gaming positions. The company also started an international casino in Nepal in February 2020. The company also owns and operates the Deltin Suites, a 106 room, all-suite hotel with a casino located in Goa. It also owns and operates The Deltin, a 176 room five-star hotel in Daman, which is an integrated resort with a proposed casino. The company also owns and operates the online poker site 'Adda52.com'; and the online rummy site 'Adda52rummy.com'.
The media reported on Monday that the GST Secretariat has asked GST Council to issue clarity on the GST rate and the applicability of the levy on casinos and racecourses operating in the country. The move comes on the back of the Directorate General of GST Intelligence (DGGI) conducting search and survey actions against several players online gaming industry, casinos and racecourses.
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