Delta Corp tumbles down

Delta Corp reported a 17% (YoY) drop in net profit at Rs.48 crore though revenue was up 3% at Rs.218 crore. Costs soared and impacted the bottomline; this is evident from the EBITDA, which was down 13% at Rs.69 crore. Margins too showed the pressure, down from 37.5% to 31.6%.

In terms of revenue earner, it’s the online skill gaming unit which did well with a 8% increase, while casino gaming unit income fell 16% and that of hospitality fell 25%.

The only silver lining for shareholders – it declared a 125% or Rs.1.25/share dividend (FV of Re.1).

The market took these earnings on its shin – opening 2.5% lower at Rs.314.15, going down almost 3.5% to an intraday low at Rs.308.55.